CrowdStrike Holdings, Inc. (NASDAQ:CRWD) is one of the AI stock analysts are watching closely. On November 19, Berenberg initiated “Hold” coverage of the stock with a price target of $600. The firm acknowledges Crowdstrike’s “best-in-class execution” but maintains a neutral stance because it believes optimism is already priced in.
According to the firm, Crowdstrike’s cloud-native single-agent architecture positions it as “one of the most compelling long-running growth stories in cybersecurity.” The company has managed to grow its total addressable market from $25 billion in FY2019 to $140 billion in FY26E.
In fact, there are projections that Crowdstrike’s TAM could reach $300 billion by FY30E, driven by its consistent “land and expand” strategy. This strategy has led to a net revenue retention (NRR) of 112%.
“CrowdStrike’s cloud-native single-agent architecture has expanded the company’s total addressable market (TAM) beyond endpoint security: from a TAM of $25 billion in fiscal 2019 to $140 billion in fiscal 26E, and is projected to reach $300 billion in fiscal 30E, bolstered by a consistent land-and-expand strategy. (~112% NRR)”.
More specifically, platform consolidation has been the biggest enterprise security highlight that Crowdstrike has been able to successfully deliver at scale. While cybersecurity stocks “are at the top of the revenue duration curve,” this has already been priced into stocks, the analysts noted.
CrowdStrike Holdings, Inc. (NASDAQ:CRWD) is a leader in protecting AI-powered cloud and endpoint workloads.
While we recognize CRWD’s potential as an investment, we believe certain AI stocks offer greater growth potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that’s also benefiting significantly from Trump-era tariffs and the offshoring trend, check out our free report on best short-term AI stock.
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