Jim Cramer Calls CrowdStrike (CRWD) a Cybersecurity Heavy Hitter

On the September 1 episode of Mad Money, Jim Cramer called CrowdStrike Holdings, Inc. (NASDAQ: CRWD ) a "heavy hitter" in cybersecurity and highlighted its Fal.Con conference in Las Vegas, as he said:

Listen, this is really important. Today was brutal for all things tech because these stocks tend to sell off horribly when hostilities with Iran resume, causing the price of oil to spike, which in turn pushes up bond yields. They have pretty high price-to-earnings multiples, and they're sensitive to rate hikes. But there are a lot of positives from this group, and I don't want you to miss them. Take CrowdStrike, the heavy hitter in the cybersecurity space. Today, in Las Vegas, they're holding their annual Fal.Con conference… and they're focused on securing AI everywhere. They're really hammering home the point that the rise of AI has made cybersecurity more essential than ever because hackers now have access to incredibly powerful AI agents.

CrowdStrike Holdings, Inc.'s (NASDAQ:CRWD) revenue rose 26% year-over-year to $1.47 billion in the fiscal second quarter of 2027, while annual recurring revenue increased 25% to $5.84 billion. Net new ARR reached a record $332.8 million, up 51%, prompting management to raise its fiscal 2027 net new ARR growth outlook to 34% at the midpoint. Free cash flow reached a record $377.4 million, up from $283.6 million a year earlier.

CrowdStrike Holdings, Inc. (NASDAQ:CRWD) is positioning Falcon to secure AI agents as enterprises deploy increasingly autonomous systems. Falcon Guardian, introduced at Fal.Con, provides visibility and runtime controls for AI agents, while an expanded partnership with OpenAI will secure Codex agents. The company also introduced an Agentic Identity Provider to manage trusted identities for AI agents.

As per the transcript of Fal.Con investor briefing, management raised its long-term expectations at the September 2 investor briefing, moving its $10 billion ARR target to within fiscal 2030 and its $20 billion target to within fiscal 2035, each one year earlier than previously expected. CrowdStrike said it is already about 30% of the way to the $20 billion target. It also estimates $29 billion of potential ARR from additional products within its existing customer base, up from $21 billion a year earlier. Moreover, customer expansion provides evidence of the cross-selling opportunity. As of July 31, 51% of subscription customers used six or more CrowdStrike modules, while 35% used seven or more and 26% used eight or more.