Prediction: CrowdStrike Stock Is Going to Soar After Nov. 26

In fact, CrowdStrike’s flagship Falcon platform offers 28 different modules (products), and during the fiscal 2025 second quarter (ended July 31), 65% of customers were using at least five of them. The company also experienced a whopping 66% year-over-year growth in the number of deals it signed for eight or more modules. That’s where the spending really ramps up — almost half of customers who are spending $100,000 or more annually are using at least eight modules.

Plus, CrowdStrike is an industry leader when it comes to artificial intelligence (AI), which it uses to automate everything from threat detection to incident response. The company’s AI models are trained on over 2 trillion security events every single day, so their accuracy is constantly improving.

CrowdStrike also launched a virtual assistant called Charlotte AI last year, which integrates with Falcon. It can autonomously generate incident summaries, and since it uses a chatbot-style interface, it can be prompted to provide further details or even to hunt for a specific threat. Those capabilities can significantly reduce manual workloads for cybersecurity managers, and CrowdStrike says they are already saving customers two hours per day, on average.

As I mentioned, CrowdStrike stock is up 58% from its low point after the incident. Most of that gain occurred after the company released its fiscal 2025 second-quarter results on Aug. 28. I predict it will continue moving higher after the Q3 report is released on Nov. 26, and perhaps even soar by 14% to retake its previous all-time high, as long as the following things happen.

First, CrowdStrike needs to meet or exceed its revenue forecast of $981.9 million (at the midpoint of the range), because it will prove that customers are staying put. Second, the company needs to either increase its fiscal 2025 full year forecast, or at least keep it unchanged. It would be a sign that management is confident in the sales pipeline, meaning new deals are expected to close without issue.

Finally, Kurtz needs to strike a reassuring tone in his commentary. Investors want to feel comfortable that July 19 won’t happen again, and that the business effect is gradually fading away. Based on the recent statements from Kurtz, I think there is a good chance of the above things happening.

But any missteps could lead to some temporary downside for CrowdStrike stock. After all, it isn’t cheap. It currently trades at a price-to-sales (P/S) ratio of 24.3, making it notably more expensive than its main rival, Palo Alto Networks, which trades at a P/S ratio of 17.3.

With that said, CrowdStrike grew its revenue by 32% in the recent quarter compared to just 12% for Palo Alto, so it does deserve a premium valuation. Plus, management’s long-term revenue forecast of $10 billion by fiscal 2031 implies 159% growth over the next six years, which means the stock might be a bargain at the current price for long-term investors.

As a result, I think CrowdStrike stock will continue to march higher in the weeks and months following its Nov. 26 report.

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Anthony Di Pizio has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends CrowdStrike and Microsoft. The Motley Fool recommends Delta Air Lines and Palo Alto Networks and recommends the following options: long January 2026 $395 calls on Microsoft and short January 2026 $405 calls on Microsoft. The Motley Fool has a disclosure policy.

Prediction: CrowdStrike Stock Is Going to Soar After Nov. 26 was originally published by The Motley Fool