CrowdStrike Holdings, Inc. (NASDAQ: CRWD)

Sector: Technology Industry: Software - Infrastructure CIK: 0001535527
Market Cap 116.42 Bn
P/B 28.98
P/E -370.56
P/S 25.50
ROIC (Qtr) -12.19
Div Yield % 0.00
Rev 1y % (Qtr) 22.18
Total Debt (Qtr) 818.05 Mn
Debt/Equity (Qtr) 0.20

About

CrowdStrike Holdings, Inc. (CRWD) is a cybersecurity company that has revolutionized the way security is delivered and experienced by customers. Founded in 2011, the company operates primarily in the cybersecurity industry, providing cloud-native solutions that protect against sophisticated attacks, including malware-free and fileless attacks. CrowdStrike's main business activities are centered around its flagship product, the Falcon platform. This cloud-native platform provides endpoint detection and response, threat intelligence, and identity...

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Price action

Investment thesis

Bull case

  • Strong operating cash flow of 1.46B provides robust 1.78x coverage of total debt 818.05M, indicating excellent debt servicing capability and financial flexibility.
  • Healthy cash reserves of 4.80B provide 301.41x coverage of short-term debt 15.93M, demonstrating strong liquidity position and minimal refinancing risk.
  • Strong tangible asset base of 8.47B provides 10.35x coverage of total debt 818.05M, indicating robust asset backing and low credit risk.
  • Operating cash flow of 1.46B provides exceptional 53.82x coverage of interest expenses 27.13M, showing strong debt service capability.
  • Robust free cash flow of 1.10B exceeds capital expenditure of 356.05M by 3.10x, indicating strong organic growth funding capability.

Bear case

  • Operating cash flow of 1.46B barely covers its investment activities of (966.52M), with a coverage ratio of -1.51, indicating heavy reliance on external financing for growth which may not be sustainable in a tighter credit environment.
  • Investment activities of (966.52M) provide weak support for R&D spending of 1.34B, which is -0.72x, suggesting potentially insufficient investment in innovation relative to other capital deployment.
  • Cash reserves of 4.80B provide limited coverage of acquisition spending of (594.79M), which is -8.07x, suggesting aggressive expansion might strain liquidity if market conditions deteriorate.
  • Operating cash flow of 1.46B provides insufficient coverage of deferred revenue obligations of 4.06B, which is 0.36x, raising concerns about future service delivery capabilities.
  • Operating earnings of (202.96M) show weak coverage of depreciation charges of 278.19M, with a -0.73 ratio indicating high capital intensity and potential reinvestment needs.

Geographical Breakdown of Revenue (2025)

Product and Service Breakdown of Revenue (2025)

Peer comparison

Companies in the Software - Infrastructure
S.No. Ticker Company Market Cap P/E P/S Total Debt (Qtr)
1 MSFT Microsoft Corp 3,563.59 Bn 33.97 12.13 60.56 Bn
2 ORCL Oracle Corp 561.87 Bn 36.43 9.21 124.39 Bn
3 PLTR Palantir Technologies Inc. 413.65 Bn 377.64 106.17 0.24 Bn
4 PANW Palo Alto Networks Inc 126.45 Bn 113.19 13.23 0.35 Bn
5 CRWD CrowdStrike Holdings, Inc. 116.42 Bn -370.56 25.50 0.82 Bn
6 SNPS Synopsys Inc 86.06 Bn 64.60 12.20 14.29 Bn
7 NET Cloudflare, Inc. 62.78 Bn -609.27 31.18 3.50 Bn
8 FTNT Fortinet, Inc. 60.83 Bn 32.47 9.28 1.00 Bn

Industry comparisons

Current Valuation Value Ind Avg Percentile
EV to Assets EV to Assets 11.26 2.69
EV to Cash from Ops. EV/CFO 76.88 28.91
EV to Debt EV to Debt 137.22 19.83
EV to EBIT EV/EBIT -553.07 -9.95
EV to EBITDA EV/EBITDA -983.07 6.82
EV to Free Cash Flow [EV/FCF] EV/FCF 101.66 26.09
EV to Market Cap EV to Market Cap 0.96 0.36
EV to Revenue EV/Rev 24.59 -9.34
Price to Book Value [P/B] P/B 28.98 3.88
Price to Earnings [P/E] P/E -370.56 -10.66
Dividend Metrics Value Ind Avg Percentile
Dividend Coverage Ratio Dividend Coverage Ratio 0.00 -0.30
Dividend Payout Ratio % Div Payout % (Qtr) 0.00 2.71
Dividend per Basic Share Div per Share (Qtr) 0.00 0.10
FCF Dividend Payout Ratio % FCF Div Payout % (Qtr) 0.00 1.68
Interest Coverage Int. cover (Qtr) -7.48 -14.20
Growth Metrics Value Ind Avg Percentile
Capex Growth (1y) % Capex 1y % (Qtr) -30.74 -408.01
Cash and Equivalents Growth (1y) % Cash & Equiv 1y % (Qtr) 12.69 226.39
Dividend Growth (1y) % Dividend Growth (1y) % 0.00 -0.28
EBIAT Growth (1y) % EBIAT 1y % (Qtr) -288.89 25.27
EBITDA Growth (1y) % EBITDA 1y % (Qtr) -154.84 47.48
EBIT Growth (1y) % EBIT 1y % (Qtr) -206.12 20.13
EBT Growth (1y) % EBT 1y % (Qtr) -239.30 14.16
EPS Growth (1y) % EPS 1y % (Qtr) -344.23 67.50
FCF Growth (1y) % FCF 1y % (Qtr) -0.59 296.60
Gross Profit Growth (1y) % Gross Profit 1y % (Qtr) 20.24 46.75
Liquidity Ratios Value Ind Avg Percentile
Asset Utilization Ratio Asset Util Ratio (Qtr) 0.46 0.67
Cash Payout Ratio Cash Payout (Qtr) 0.00 0.01
Cash Ratio Cash Ratio (Qtr) 1.33 1.22
Current Ratio Curr Ratio (Qtr) 1.81 2.59
Debt to Equity Ratio Debt/Equity (Qtr) 0.20 -0.96
Interest Cover Ratio Int Coverage (Qtr) -7.48 -14.20
Times Interest Earned Times Interest Earned (Qtr) -7.48 -14.20
Profitability Value Ind Avg Percentile
EBITDA Margin % EBITDA Margin % (Qtr) 1.60 -548.16
EBIT Margin % EBIT Margin % (Qtr) -4.45 -199.84
EBT Margin % EBT Margin % (Qtr) -5.04 -607.20
Gross Margin % Gross Margin % (Qtr) 74.10 51.88
Net Profit Margin % Net Margin % (Qtr) -6.90 -610.00