Morgan Stanley Downgrades CrowdStrike Ahead of Q2 - Here's Why The Stock Is Falling
Portfolio Pulse from Anusuya Lahiri
Morgan Stanley analyst Hamza Fodderwala downgraded CrowdStrike Holdings, Inc (NASDAQ:CRWD) to Equal Weight from OverWeight with a price target of $167. The downgrade is due to a potential downside to consensus CY23 and CY24 estimates, slowdown in key industry verticals, cloud optimization headwinds, and limited upside to FCF margins. Meanwhile, Wells Fargo analyst Andrew Nowinski reiterated OverWeight and raised the price target from $175 to $200.
August 28, 2023 | 6:44 pm
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CrowdStrike's stock was downgraded by Morgan Stanley due to potential downside to future estimates, industry slowdown, and limited upside to FCF margins. However, Wells Fargo maintains a positive outlook and raised its price target.
The downgrade by Morgan Stanley is based on potential downside risks to future estimates, industry slowdown, and limited upside to FCF margins. This could negatively impact the stock price in the short term. However, the positive outlook from Wells Fargo could mitigate some of this impact.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100