CrowdStrike Holdings Inc. shares jumped more than 15% in early trading Thursday after the cybersecurity company reported second-quarter earnings that exceeded analyst estimates and raised its full-year guidance.
The company posted adjusted earnings per share of $0.31, topping the $0.29 consensus forecast from Refinitiv. Revenue totaled $1.47 billion, above the $1.44 billion estimate. Net new annual recurring revenue reached a record $333 million in the quarter, reflecting strong demand for its cloud-native security platform.
CrowdStrike also raised its fiscal 2027 outlook, projecting adjusted EPS in a range of $1.25 to $1.26, up from prior guidance. Revenue is now expected between $5.99 billion and $6.01 billion, exceeding the $5.93 billion consensus. The company increased its net new ARR growth forecast by 630 basis points to 34% at the midpoint, underscoring confidence in sustained momentum.
Gross margins expanded sequentially. GAAP subscription gross margin rose to 78% from 77% a year earlier, while non-GAAP subscription gross margin increased to 81% from 80% in the prior-year period.
Chief Executive Officer George Kurtz attributed the results to what he described as the company’s best quarter in history, citing record Falcon Flex adoption and accelerating growth driven by AI security demand. Analysts at Jefferies echoed the optimism, raising their price target for CrowdStrike to $240 from $230 and emphasizing the post-Mythos tailwinds supporting the guidance.
Barclays analysts noted that the upward revision to the net new ARR outlook exceeded the earnings beat, suggesting the company’s growth trajectory is broadening beyond its initial AI-driven momentum.
