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CrowdStrike Lifts Share Buyback to $1.5 Billion After Stock Slide

The move signals management sees the shares as undervalued versus its long-term $20 billion ARR plan.

Overview

  • CrowdStrike increased its repurchase authorization by $500 million to $1.5 billion on Monday and disclosed $150.6 million of prior purchases covering 413,130 shares.
  • CFO Burt Podbere said the step aligns with a goal to reach $20 billion in annual recurring revenue by fiscal 2036 and cited a disconnect between business momentum and the stock price.
  • Recent results showed Q4 revenue of $1.31 billion, a beat over estimates, with ARR at $5.25 billion and $330.7 million in net new ARR, and the company guided fiscal 2027 revenue to $5.87–$5.93 billion with adjusted EPS of $4.78–$4.90.
  • The stock opened near $399 on Monday and trades about 30% below its 52-week high, leaving shares well under their 50- and 200-day moving averages.
  • Analysts remain broadly positive with Morgan Stanley rating the stock Overweight at $510 and a consensus target near $505, even as insider sales totaled about 68,636 shares over the past 90 days.