Wells Fargo Lifts CrowdStrike’s (CRWD) Price Target to $550, Maintains Buy Rating

On June 2, analyst Andrew Nowinski from Wells Fargo reiterated a Buy rating on CrowdStrike Holdings, Inc. (NASDAQ:CRWD) and raised the price target to $550.00 from $430.00.

The rating was issued in anticipation of the company’s fiscal Q1 2026 results on June 3, which the analyst expects to show strong growth, suggesting a return to growth in net new Annual Recurring Revenue (ARR) by fiscal Q3 2026.

Security personnel at their consoles, monitoring a global network of threats in real-time.

Although the company underwent a year-over-year decrease in net new ARR for Q1 and Q2, the analyst reasoned that CrowdStrike Holdings, Inc.’s (NASDAQ:CRWD) stock has risen by 25% since the last earnings call. This shows investor confidence in its operations and recovery from previous challenges.

In addition, the company is expanding its market reach through recent product launches at the RSA conference, which included innovations in data protection and AI.

The analyst stated that CrowdStrike Holdings, Inc.’s (NASDAQ:CRWD) operational and cash flow margins are expected to undergo considerable recovery by fiscal year 2029, as management is maintaining targets for these key metrics.

Nowinski further supported the optimistic sentiment through positive feedback from resellers and notable deals, including the $25 million renewal, which point toward the company’s promising future performance.

CrowdStrike Holdings, Inc. (NASDAQ:CRWD) offers cybersecurity services and products to prevent breaches. Its offerings include cloud-delivered protection across endpoints, threat hunting, managed security services, IT operations management, log management, and more.

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 AI stock that is more promising than CRWD and that has 100x upside potential, check out our report about the cheapest AI stock.

READ NEXT: 10 Best Debt Free IT Penny Stocks To Buy and 10 Unstoppable Stocks That Could Double Your Money.

Disclosure: None.