CrowdStrike Authorizes 4-for-1 Split, Shares to Trade Near $170 Post-Split
CRWD•CrowdStrike authorized a 4-for-1 stock split distributed after market close July 1, reducing the share price to about $170 from near $680. Shares have rebounded over 210% from the $217.89 low on August 2, 2024, as subscription gross margins expanded to 81% and annualized recurring revenue reached $5.51 billion.
1. Stock Split Details
CrowdStrike’s board approved its first-ever 4-for-1 stock split, effective after market close on July 1. The split will increase share count fourfold and reduce the trading price to roughly $170 per share from near $680, aiming to enhance accessibility and trading liquidity.
2. Operational Recovery and Financial Metrics
After bottoming at $217.89 on August 2, 2024, shares have surged over 210% as the company recovered from a global IT outage. Subscription gross margins expanded to 81%, and annualized recurring revenue climbed to $5.51 billion, reflecting strong platform adoption.
3. Growth Outlook and Valuation
CrowdStrike delivered 26% revenue growth in Q1 with $256 million in net new annual recurring revenue, and analysts forecast 23% growth in fiscal 2027 toward $5.95 billion in sales. At roughly 29x forward sales, the valuation sits below its historical 35x average but above peers.
4. Platform Moat and Competitive Edge
The single-agent Falcon platform processes trillions of endpoint events daily, creating a data gravity moat that fuels continuous threat detection improvements. The Falcon Flex subscription model allows module flexibility, driving customer expansion and making replication by legacy vendors challenging.
