CrowdStrike Holdings, Inc. (NASDAQ:CRWD) stock rose more than 4% Wednesday as investors focused on bullish cybersecurity commentary and continued technical strength, despite a weaker broader market.
The Nasdaq is down 1.17% while the S&P 500 has shed 0.85%, and Technology is down 0.9%, making CRWD’s strength stand out against a broadly red tape.
Lands Among Preferred Cybersecurity Names
Ritholtz Wealth Management’s Josh Brown and Sean Russo included CrowdStrike among four cybersecurity stocks they favor, alongside Palo Alto Networks, Inc. (NASDAQ:PANW), Fortinet, Inc. (NASDAQ:FTNT) and Cloudflare, Inc. (NYSE:NET).
The pair left out Zscaler, Inc. (NASDAQ:ZS) and SentinelOne, Inc. (NYSE:S).
Brown called CrowdStrike "one of the cleanest charts in the sector" and highlighted a post-earnings base around $215 to $220, with the 50-day moving average near $207 as a deeper reference level.
See More: Top Momentum Stocks
CrowdStrike Technical Analysis
CrowdStrike’s rally appears to be driven by stock-specific demand rather than broader market strength. Only two sectors were trading higher Wednesday.
The stock also pushed above its previous 52-week high of $250.80. A breakout to new highs can attract momentum traders and trigger additional buying.
CrowdStrike remains in a strong uptrend. The stock is trading above its 20-day simple moving average of $225.50, 50-day SMA of $210.59, 100-day SMA of $188.64 and 200-day SMA of $148.83.
Shares are about 15.9% above the 20-day SMA and 75.6% above the 200-day SMA. That signals strong momentum, although the extended move could leave the stock vulnerable to sharper pullbacks.
The MACD remains above its signal line, while the histogram is positive. Both indicators point to continued bullish momentum.
Resistance is near $261.44 after the stock moved above its previous 52-week high. The 20-day SMA near $225.50 represents a key support level.
Analyst Outlook
The stock carries a Buy consensus rating with an average price forecast of $247.06.
Morgan Stanley maintained an Overweight rating and raised its price target to $254 on Sept. 21. Bank of America maintained a Neutral rating and raised its target to $260 on Sept. 18. Stephens maintained an Overweight rating and increased its target to $280 on Sept. 18.
Benzinga Edge Rankings
CrowdStrike has a Momentum score of 98.17 and a Growth score of 97.24 on the Benzinga Edge scorecard.
However, its Value score stands at just 0.26. That combination reflects strong market momentum and growth alongside a premium valuation.
Top ETF Exposure
CrowdStrike has an 8.66% weighting in the First Trust NASDAQ Cybersecurity ETF (NASDAQ:CIBR), a 7.50% weighting in the Global X Cybersecurity ETF (NASDAQ:BUG) and a 7.60% weighting in the REX AI Equity Premium Income ETF (NASDAQ:AIPI).
Because CrowdStrike represents a meaningful portion of these funds, ETF inflows and outflows can contribute to trading activity in the stock.
Price Action
CRWD Price Action: CrowdStrike Holdings shares were up 4.23% at $260.64 at the time of publication on Wednesday. The stock is trading at a new 52-week high, according to Benzinga Pro data.
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