Why CrowdStrike Is a Top Growth Play in a Tariff-Resistant Sector

At a time when investors are looking for growth wherever they can get it, CrowdStrike Holdings (NASDAQ:CRWD) Inc. stock is up 7% in the last month and over 10% in 2025. And if analysts are correct, CrowdStrike still has plenty of room to run. That’s because cybersecurity remains a must-have, not a nice-to-have for its customers in 2025.

In January 2025, the World Economic Forum released its Global Cybersecurity Outlook. The report identified several key factors making cybersecurity a priority for enterprises and small businesses. Interconnected supply chains were top of the list of concerns. Over 50% of large organizations consider supply chain challenges the biggest source of cyber threats.

Protecting supply chains is an area in which CrowdStrike, with its Falcon platform, excels. And it’s why it’s not unthinkable that CRWD stock will climb back near its all-time high in the next 12 months.

The Diverse Falcon Platform Sets CrowdStrike Apart

Although supply chains are frequently associated with hard goods, there are multiple threats to software supply chains. These frequently take the form of bad actors inserting malicious code into legitimate software updates or applications, which then compromise the end-users’ systems.

The nature of this threat is being amplified by Generative AI. In fact, in the WEF’s report, nearly 50% of organizations cited “adversarial advancements powered by GenAI” as their top concern.

CrowdStrike’s cloud-first, AI native Falcon platform takes a multi-faceted approach to safeguard its customers from supply chain threats. The company leverages its advanced technology, threat intelligence, and expert teams to provide comprehensive protection.

That’s because Falcon reflects CrowdStrike’s advocacy of a Zero Trust security model. This means that every entity, inside or outside an organization, is considered inherently untrustworthy. That means the Falcon platform requires strict verification processes for all users and devices, therefore minimizing the risk of supply chain threats.

The Falcon platform can also help companies establish robust supply chain risk management frameworks. Not only does this help create stringent security standards, it also allows for pre-emptive monitoring for vulnerabilities.

Customer adoption of the Falcon platform is being seen in CrowdStrike’s strong year-over-year (YoY) revenue growth, which topped $1 billion in a quarter for the first time ever in its fiscal year 2025 fourth quarter. And the company is forecasting over $4 billion in revenue for FY 2026, which is a reminder of the company’s strong retention rate as well as the expectation that customers who received a customer compensation package after the July outage will see the value in those services and pay to keep them.

A Tariff-Resistant Sector

As investors move to reposition their portfolios against the tariff threat, they are increasingly looking to companies that are not hardware dependent. That’s another good reason to consider CrowdStrike. Cybersecurity programs won’t be subject to tariffs. And as has been established they are desperately needed.

In that same vein, most of CrowdStrike’s current revenue comes from the United States and is making inroads worldwide. The one exception is China, which is likely to remain a tough market due to its regulatory restrictions against foreign cybersecurity companies.

CRWD Stock Has an Encouraging Setup

Despite the overall positive trend, CRWD stock has had two significant pullbacks since the beginning of March 4. From the stock’s peak to its trough, the stock fell 21% and 17%, respectively. However, that may reflect the stock’s positive performance at a time when investors are looking for liquidity from technology stocks with rich valuations.

And investors can see that the stock has bounced off those lows both times, which has set a level of support. More encouraging, however, is the fact that CRWD stock has just pushed above its 50-day simple moving average and is well above its longer-term moving averages.

As of April 15, 2025, the CrowdStrike analyst forecasts on MarketBeat give CrowdStrike a Moderate Buy rating with a consensus price target of $400.88 is only 1.3% higher than the current CRWD stock price. However, the stock price may not fully reflect the bullish sentiment of some analysts.

For example, on March 31, Truist Financial (NYSE:TFC) lowered its target price from $460 to $450, but that’s still over 12% higher than the consensus rating. Stephens reiterated that price target, initiating coverage on CRWD stock with an Overweight rating.

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