Weak guidance+Strong demand, CRWD still surges

$CrowdStrike Holdings, Inc.(CRWD)$ surged 10%+ on Nov.29, after its Q3 earnings.

Why investors rushed into?

Q3 revenue increased by 35% YoY to $786 million, with subscription revenue up 34% YoY to $733 million, ARR up 35% YoY to $31.5 billion, and net new ARR reaching a record high of $223 million.

Additionally, the company became the first cloud-native independent software vendor (ISV) for network security and generated sales of over $1 billion through the $Amazon.com(AMZN)$ AWS marketplace.

Company's new product, CrowdStrike Falcon Go, has also been launched on the Amazon business marketplace. As a result, several analysts have reiterated their optimistic view of CrowdStrike, raising their target stock prices and highlighting its differentiated platform, strong market expansion capabilities, and robust cash flow as beneficiaries in the field of artificial intelligence.

Besides, cybersecurity offerings is high amid rising privacy concerns and hacks on corporate data.

This is also an important reason why institutional investors have increased their holdings after the financial report. In addition, the company acquired Bionic, a pioneer in application security posture management (ASPM), to provide comprehensive risk visibility across the entire cloud industry by combining CrowdStrike's leading cloud-native application protection platform (CNAPP) with ASPM expansion.

On the risk side, the company's billing growth has slowed in line with industry trends, with customers preferring short-term payments rather than pre-paying for multiple years. Additionally, repeat revenue has also performed poorly.