CrowdStrike Stock: Q3 Soars Despite Conservative Outlook

CrowdStrike demonstrated remarkable financial performance in the third quarter of fiscal year 2025, with revenue climbing 29 percent to reach $1.010 billion. The cybersecurity specialist's adjusted earnings per share showed exceptional growth, surging from $0.110 to $0.93, significantly exceeding analyst expectations of $0.81. The company's subscription-based revenue emerged as a particular highlight, contributing $962.7 million to the total revenue. The company's financial position remained strong, with available cash reserves of $4.26 billion at the quarter's end.

Market Response and Future Guidance

Despite the impressive quarterly results, CrowdStrike's conservative guidance for the upcoming quarter prompted a cautious market response, with the stock declining 5.74% in after-hours trading to $343.38. The company projects fourth-quarter revenue between $1.029 and $1.035 billion, alongside adjusted earnings per share of $0.84 to $0.86. For the full fiscal year, CrowdStrike has revised its outlook upward, anticipating total revenue between $3.924 and $3.931 billion, though this guidance only marginally exceeded market expectations.