CrowdStrike Stock: Shares Tumble After Disappointing Outlook

CrowdStrike's stock experienced significant pressure on Wednesday, falling 6.34% to $365.44 on the NASDAQ following disappointing quarterly results. The cybersecurity specialist reported an unexpected loss of $0.37 per share for the fourth quarter of fiscal year 2025, ending January 31, marking a substantial decline from the $0.22 profit recorded in the same period last year. For the full fiscal year, the company posted a loss of $0.08 per share, compared to a positive result of $0.37 in the previous year. Despite these setbacks, CrowdStrike's revenue performance showed strength, with quarterly sales reaching $1.06 billion, exceeding analyst expectations of $1.03 billion and representing significant growth from the $845 million reported in the prior-year period. Annual revenue also surpassed forecasts at $3.95 billion, up from $3.06 billion last year.

Investor Concerns Intensify

The stock's decline represents its largest single-day drop in months, primarily triggered by a disappointing earnings forecast for the current quarter ranging from $0.64 to $0.66 per share, falling below market expectations. Since reaching an all-time high in mid-February, the stock has lost approximately 20% of its value. The broader market context shows a stabilizing Wall Street environment despite CrowdStrike's struggles, with the Nasdaq Composite Index showing a modest recovery of 0.4% on Wednesday. Investors appear to be taking profits following recent strong gains in cybersecurity stocks, which has intensified selling pressure on CrowdStrike shares.

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Source StockWorld