We recently published a list of Top 10 Stocks Everyone is Talking About. In this article, we are going to take a look at where Crowdstrike Holdings, Inc. (NASDAQ:CRWD) stands against other top stocks everyone is talking about.
Investors are on tenterhooks amid the latest selloff as they keep up with President Donald Trump’s volatile tariff policies and assess the slowing enthusiasm in the AI trade. Trivariate’s Adam Parker said in a latest program on CNBC that while he wants to be bullish on the stocks for a rebound, he believes we haven’t seen the bottom yet. The analyst recommends going on the defense:
“I mean every part of me wants to get bullish again, right? You know, we had the good call of saying the market will be down in the first half and choppy with concerns about tariffs and all that. And you know, now we’ve seen a lot of people who were bullish before throwing in the towel and getting bearish, and I really want to do it, right? But I can’t. And the reason is because I don’t think we’ve seen enough of a blowoff on the positioning. I mean, if you look at the companies that were talking at big conferences in March, a lot of things are slowing. And so I think this is more than a growth scare already—this is actually like a growth slowdown. And so the question is, will we get negative guidance in April? Will we see companies guide down and the stocks not go down? If I see that behavior, then I’ll probably want to get more risk on. But until then, I think we have to play a little bit more defense.”
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Security personnel at their consoles, monitoring a global network of threats in real-time.
Crowdstrike Holdings, Inc. (NASDAQ:CRWD)
Number of Hedge Funds Investors: 74
Josh Brown, co-founder and CEO of Ritholtz Wealth Management, said in a latest program on CNBC that he’s a holder of Crowdstrike Holdings, Inc. (NASDAQ:CRWD) and would not react to price target cuts on the stock from Wall Street.
“Look, it’s in this cohort of high beta, high octane growth stocks, and when they sell eight of them, the other two don’t get spared. These things are traded in baskets. Also, you have a sell-the-news situation. You have a company that had really good earnings, but everyone expected them—really good earnings, you know that based on how much the stock had gone up over the prior six months. So that’s really all it takes: sell the news, profit taking, momentum washout. Why would CrowdStrike be higher? Makes no sense. What I do in situations like this: I already own it, so I’m not adding to it. I own it in the low hundreds. But take the $361 mentally and just say, all right, $36 stock. The average Wall Street price target, let’s say, is like $420 to $440. Can a $36 stock recover quickly to $42? Yes, obviously yes. So it’s a big dollar amount. The shares have pulled back in the last week or two, but in the grand scheme of things, we’re still in a major uptrend here, and I would not be reacting to sell-side price target cuts.”
Aristotle Atlantic Core Equity Strategy stated the following regarding CrowdStrike Holdings, Inc. (NASDAQ:CRWD) in its Q4 2024 investor letter:
“CrowdStrike Holdings, Inc. (NASDAQ:CRWD) provides cybersecurity products and services that offer endpoint protection and threat intelligence solutions, enabling customers to prevent damage from targeted attacks, detect advanced malware and search all endpoints. The company’s open cloud architecture enables it and third-party partners to rapidly innovate, build and deploy new cloud modules that can provide customers with enhanced functionality across a myriad of use cases.
We see the cloud cybersecurity market as positioned to experience strong growth over the next few years, driven by continued migration from on-premises to cloud-based architecture. We believe CrowdStrike can benefit from this trend due to its early-mover advantage, multiple product offerings and native integrations with leading cloud platforms. The increasing threats from state-sanctioned cybercriminals using high-performance computing and AI necessitate higher spending on advanced cybersecurity products. The total addressable market (TAM) is projected to grow significantly over the next four calendar years. Additionally, CrowdStrike’s cloud-native architecture and unified platform approach provide competitive advantages, resulting in high customer retention and widespread adoption of multiple modules.”
Overall, CRWD ranks 5th on our list of top stocks everyone is talking about. While we acknowledge the potential of CRWD, our conviction lies in the belief that under the radar AI stocks hold greater promise for delivering higher returns, and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than CRWD but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.