Analyst Disagrees With Crowdstrike (CRWD) Downgrade, Says Company in ‘Sweet Spot’

Joseph Terranova from CNBC Investment Committee said in a recent program that he disagrees with Evercore ISI’s recent downgrade of the stock based on valuation.

“I disagree with that. I think this company is in the sweet spot, as is most of these cybersecurity names. I own the company personally, and I’ve said I’m maintaining it for long-term positioning. I’m not going to have a reflex reaction to an earnings report based on one quarter that I don’t think was troubling. I just think positioning was very full, and you needed to blow out the numbers.”

Photo by AlphaTradeZone

Maple Tree Capital stated the following regarding CrowdStrike Holdings, Inc. (NASDAQ:CRWD) in its Q1 2025 investor letter:

“We purchased CrowdStrike Holdings, Inc. (NASDAQ:CRWD) during the July cyber outage dip. This was one of those rare moments where the market panicked on a market leader. CrowdStrike fits Heartwood’s strategy well. They have strong customer retention, a clear moat, a path to margin expansion and operating leverage as they grow their platform. As one of the most crucial cyber security providers out there, their recent failure has largely been forgotten. CRWD trades expensive, but future growth prospects are heavy.”

While we acknowledge the potential of CRWD as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.