Over the past week, CrowdStrike Holdings Inc (CRWD, Financial) has seen a modest gain of 0.58% in its stock price, bringing it to $172.13. This is part of a larger trend, with the company's stock price experiencing a significant surge of 17.23% over the past three months. Despite this increase, the stock remains significantly undervalued according to the GF Value, which currently stands at $367.78. This is a slight decrease from the GF Value of $374.53 three months ago, but the valuation remains consistent, indicating that the stock is significantly undervalued.
Understanding CrowdStrike Holdings Inc
CrowdStrike Holdings Inc operates in the software industry, specializing in cloud-based cybersecurity. The company's primary offering is the Falcon platform, a comprehensive solution for enterprises to detect and respond to security threats attacking their IT infrastructure. Founded in 2011 and publicly listed in 2019, the Texas-based firm has a market capitalization of $41.1 billion. 
Profitability Analysis of CrowdStrike Holdings Inc
As of July 31, 2023, CrowdStrike's Profitability Rank stands at 4 out of 10. The company's operating margin of -5.78% is better than 35.52% of companies in the industry. Similarly, its ROE of -6.28% and ROA of -1.92% are better than 36.48% and 43.06% of companies respectively. The ROIC of -6.64% is better than 35.17% of companies, indicating that CrowdStrike is generating cash flow at a rate that is better than a significant portion of its competitors. 
Growth Prospects of CrowdStrike Holdings Inc
CrowdStrike's Growth Rank is an impressive 9 out of 10. The company's 3-year and 5-year revenue growth rates per share are 43.50% and 66.20% respectively, outperforming over 90% of companies. The future total revenue growth rate estimate stands at 29.88%, better than 93.61% of companies. The 3-year and 5-year EPS without NRI growth rates are 6.30% and 0.80% respectively, while the future EPS without NRI growth rate estimate is 32.69%, outperforming 88.43% of companies. 
Major Holders of CrowdStrike Holdings Inc Stock
The top three holders of CrowdStrike's stock are Jim Simons (Trades, Portfolio), Harbor Capital Appreciation Fund (Trades, Portfolio), and Philippe Laffont (Trades, Portfolio). Simons holds 2,861,329 shares, representing 1.21% of the total shares. The Harbor Capital Appreciation Fund (Trades, Portfolio) holds 1,227,471 shares, accounting for 0.51% of the total shares. Laffont holds 962,825 shares, representing 0.41% of the total shares.
Competitor Analysis
CrowdStrike faces competition from Synopsys Inc (SNPS, Financial), Fortinet Inc (FTNT, Financial), and Block Inc (SQ, Financial). Synopsys has a market capitalization of $70.99 billion, Fortinet's market cap is $46.17 billion, and Block Inc's market cap stands at $26.25 billion.
Conclusion
In conclusion, CrowdStrike Holdings Inc has demonstrated strong growth and profitability, despite being significantly undervalued according to the GF Value. The company's impressive growth rank and profitability rank, coupled with its strong future growth estimates, make it a compelling consideration for investors. However, it's important to consider the competitive landscape and the company's relative performance against its competitors. As always, potential investors should conduct their own thorough research before making investment decisions.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
