CrowdStrike (CRWD) Stock Beats Q4 Estimates on Revenue and EPS

TLDR

CrowdStrike reported Q4 EPS of $1.12, beating estimates by $0.02, with revenue of $1.31 billion, up 23.3% year on year
Annual Recurring Revenue hit $5.25 billion, growing 23.8% year on year and narrowly beating Wall Street expectations
Q1 CY2026 revenue guidance came in at $1.36 billion at the midpoint, slightly above analyst estimates
The stock traded up to $391.42 on above-average volume following the earnings release, before settling around $393
Insider selling remains heavy, with executives offloading over 100,000 units of stock in the past three months

CrowdStrike (CRWD) reported its Q4 CY2025 earnings on March 3, beating analyst estimates on both revenue and earnings per share.

CrowdStrike, $CRWD, Q4-26.

ARR engine hits new gear.

📊 Adj. EPS: $1.12 🟢
💰 Revenue: $1.31B 🟢
📈 Net Income: $38.69M

ARR +24% to $5.25B with record $330.7M net new ARR.
Operating leverage and FCF at all-time highs. pic.twitter.com/B6Lg6ugTKr

— EarningsTime (@Earnings_Time) March 3, 2026

The company posted EPS of $1.12 against a consensus estimate of $1.10. Revenue came in at $1.31 billion versus the $1.30 billion expected, a 23.3% increase year on year.

Adjusted operating income was $325.8 million, beating estimates of $317.2 million and representing a 25% margin.

CrowdStrike Holdings, Inc., CRWD

Free cash flow margin improved to 28.8%, up from 24% in the prior quarter. Operating margin came in at -0.5%, a clear improvement from -8.1% in the same quarter last year.

ARR reached $5.25 billion for the quarter, growing 23.8% year on year. Over the past four quarters, ARR growth has averaged 22.1% annually.

Despite the beats, CrowdStrike still carries a negative net margin of -6.88% and a negative return on equity of -2.12%. The P/E ratio sits at -310.65, reflecting the company’s current unprofitability on a GAAP basis.

Guidance and Outlook

For Q1 CY2026, management guided revenue of $1.36 billion at the midpoint, roughly 0.6% above analyst estimates. Full-year FY2027 adjusted EPS guidance came in at $4.84 at the midpoint, in line with expectations.

Sell-side analysts currently expect revenue to grow 21.7% over the next 12 months, a deceleration from recent years but still pointing to healthy demand.

The stock initially traded up $6.56 to $391.42 on above-average volume of over 6.2 million, compared to an average of around 3.9 million. It settled near $393 after the report.

CrowdStrike carries a market cap of around $98.7 billion. Its 52-week range runs from $298 to $566.90, with the stock currently sitting well below its 200-day moving average of $469.55.

Analyst Views and Insider Activity

The analyst community remains broadly positive. MarketBeat’s consensus stands at “Moderate Buy” with an average price target of $520.43. Piper Sandler recently upgraded the stock from neutral to overweight with a $520 target. TD Cowen maintained a buy but trimmed its target from $580 to $480. Of 49 analysts covering the stock, 31 have a buy rating, 15 hold, and 3 sell.

On the institutional side, State Street, T. Rowe Price, and Charles Schwab all added to positions in recent quarters. Institutional investors collectively own 71.16% of the stock.

Insider activity, however, tells a different story. CFO Burt Podbere sold stock worth over $3.2 million in early February. President Michael Sentonas sold nearly $5.5 million worth in late December. Over the past three months, insiders sold over 100,000 units valued at roughly $45.7 million, with no reported purchases.

The customer acquisition cost payback period came in at 29 months for the quarter.