|Bid||101.50 x 1300|
|Ask||101.75 x 800|
|Day's Range||100.91 - 104.31|
|52 Week Range||31.95 - 118.58|
|Beta (5Y Monthly)||N/A|
|PE Ratio (TTM)||N/A|
|Earnings Date||Sep 02, 2020|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||111.05|
The bullish case for cybersecurity provider Crowdstrike Holdings Inc (NASDAQ: CRWD) is based on the simple premise that the company's premium metrics deserve a premium valuation, according to UBS.The CrowdStrike Analyst: Fatima Boolani initiated coverage of CrowdStrike with a Buy rating and $120 price target.The CrowdStrike Thesis: CrowdStrike's advanced cloud-native and SaaS-based endpoint and workload security platform positions it to take advantage of secular trends, including work from home, cloud adoption and IoT device growth, Bollani said in an initiation note. (See her track record here.)The company's exposure to fast-growing segments should allow it to sustain a strong 40%-plus compounded annual revenue growth rate through 2022, the analyst said.Part of the growth could come from the company's success in expanding to adjacent markets like vulnerability and systems management, she said. Beyond revenue growth, CrowdStrike should show around eight points of annual operating margin improvement through fiscal 2023 to 10%, Boolani said.Over the same time period, gross margins should gain 100 basis points, mostly from higher unit and renewal economics, as 70% of revenue comes from the installed base, the analyst said. The stock is trading at 22 times EV/S on 2021 estimates and 17 times EV/S on 2022 estimates, which is a premium to established SaaS security rivals, she said. Yet given CrowdStrike's superior growth metrics, a premium valuation is not only justified, but the stock trades at a discount on a growth-adjusted basis, according to UBS. CRWD Price Action: Shares of CrowdStrike Holdings were trading higher by 0.44% at $101.33 at last check Friday. Related Links:Remote Workers And The Thieves That Want Their DataRecognizing And Reducing The Impact Of Auto CyberattacksLatest Ratings for CRWD DateFirmActionFromTo Aug 2020UBSInitiates Coverage OnBuy Jun 2020RBC CapitalMaintainsOutperform Jun 2020B of A SecuritiesMaintainsBuy View More Analyst Ratings for CRWD View the Latest Analyst Ratings See more from Benzinga * Pro Offers Cheaper Alternative In The Beauty Stock Drawer * Albertsons, Walmart, Kroger Made Major Announcements This Week: What You Need To Know * DraftKings Trades Lower After Mixed Q2 Earnings Report(C) 2020 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
With strong free cash flow, 85% revenue growth, and a rapidly expanding gross profit margin, this isn't your average software-as-a-service company.
Despite better-than-expected second-quarter results and raised guidance, Qualys' (NASDAQ: QLYS) full-year revenue growth will likely keep decelerating in 2020. Qualys provides cloud security, compliance, and related services. It's vulnerability management legacy activity consists of detecting and responding to security risks such as misconfigurations and unsafe software.