CrowdStrike Holdings, Inc. (NASDAQ:CRWD) is one of the Best American AI Stocks to Buy Now. On Tuesday, CrowdStrike closed 1.55% higher at $476.53 as the company announced the expansion of its Project QuiltWorks, the cybersecurity coalition for securing frontier AI Risk.
In a statement, CrowdStrike announced the addition of more partners to the coalition, particularly Armadin, Cognizant, HCLTech, Infosys, KPMG, NTT DATA, Tata Consultancy Services (TCS), and Wipro Limited. Project Quiltworks, which is powered by frontier models from OpenAI and Anthropic, combines CrowdStrike’s AI-driven vulnerability discovery and adversary-informed prioritization with remediation services from Accenture, EY, IBM Cybersecurity Services, and Kroll.
CrowdStrike said it is advancing the project with the latest frontier AI capabilities from Anthropic as it integrates Opus 4.7 across the CrowdStrike Falcon platform, while extending its advanced vulnerability discovery capabilities to the broader market through QuiltWorks.
Additionally, CrowdStrike also announced Falcon OverWatch for Defender, which extends industry-leading managed threat hunting to Microsoft endpoint customers. According to CrowdStrike, the service strengthens security outcomes for Microsoft Defender with enhanced visibility, real-time detection and response, and continuous expert monitoring to identify and stop sophisticated threats that would otherwise go undetected.
On May 5, Wells Fargo analyst Michael Turrin maintained a Buy rating on CrowdStrike, with a price target of $525.00, according to a TipRanks report. Based on 56 analyst ratings compiled by CNN, 77% rated CrowdStrike Buy while 23% rated it Hold. The stock has a median price target of $500, a 4.93% upside from the current price of $476.53.
For its full fiscal year 2026, CrowdStrike reported a 22% rise in total revenue to $4.81 billion compared to $3.95 billion in fiscal 2025. Subscription revenue posted a 21% gain to $4.56 billion compared to $3.76 billion in the previous fiscal year.
The company also reported a 24% increase in annual recurring revenue (ARR) to $5.25 billion as of January 31, 2026, with $330.7 million in net new ARR added in the fourth quarter of fiscal year 2026.
Crowdstrike CFO Burt Podbere said the company delivered a record fourth quarter and fiscal year 2026, exceeding expectations across all guided metrics. He added:
“The combination of accelerating growth, expanding profitability, and record cash flow generation puts CrowdStrike in rare air. With exceptional momentum across the business and a record Q1 pipeline entering FY27, we have strong conviction to once again raise our FY27 ARR (Annual Recurring Revenue) outlook. The AI revolution represents a new, generational growth opportunity for CrowdStrike, and we are confident in our ability to deliver durable, profitable growth as we scale to our goal of $20 billion ending ARR in FY36.”
For the first quarter of fiscal 2027, CrowdStrike set an ARR guidance of $5.5018 billion to $5.5038 billion and a guidance of $6.4658 to $6.5164 billion for the full year.
CrowdStrike (NASDAQ:CRWD) is a global cybersecurity leader offering an advanced cloud-native platform for protecting critical areas of enterprise risk – endpoints and cloud workloads, identity, and data.
While we acknowledge the risk and potential of CRWD as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than CRWD and that has 10,000% upside potential, check out our report about this cheapest AI stock.
READ NEXT: 8 Best Digital Infrastructure REITs to Buy According to Analysts and 10 Best AI Stocks to Watch in May
Disclosure: None. Follow Insider Monkey on Google News.
Hedge Fund Resource Center