CrowdStrike Holdings (NASDAQ:CRWD) looks to get shares back to all-time highs with second-quarter financial results Wednesday after market close.

Here are the earnings estimates, what experts are saying ahead of the report and the key items to watch.

• CrowdStrike Holdings shares are experiencing downward pressure. Why is CRWD stock retreating?

CrowdStrike Q2 Earnings Estimates

Analysts expect CrowdStrike to report second-quarter revenue of $1.44 billion, up from $1.17 billion in last year’s second quarter, according to data from Benzinga Pro.

The company has beaten analyst estimates for revenue in four straight quarters and in eight of the past 10 quarters overall.

Analysts expect CrowdStrike to report earnings of 29 cents per share, up from 23 cents per share in last year’s second quarter.

The company has missed analyst estimates for earnings per share in eight straight quarters and in eight of the past 10 quarters overall.

Read Also: Stock of the Day: Will CrowdStrike Reverse off of this Important Level?

What Experts are Saying

Freedom Capital Markets Chief Market Strategist Jay Woods says the two key things investors should focus on from CrowdStrike’s report are ARR growth and AI-security demand.

"The cybersecurity leader delivered record net-new ARR growth last quarter and raised its full-year outlook, setting a high bar heading into this report," Woods said in a weekly newsletter.

Woods recalls the stock falling after those record figures, saying that "good numbers may not be good enough."

"As a result, good numbers may not be good enough. With expectations elevated, another beat will help, but the forward outlook may ultimately determine the stock’s reaction."

Woods says the stock has traded lower by an average of 4% after the past three earnings reports, with an expected move of +/- 7.5% after Wednesday’s report.

"Expect volatility."

Looking at the chart, Woods says the stock is holding onto its rising 50-day moving average.

"Shares look poised to rally back to old highs and earnings could be that catalyst."

Here are recent analyst actions for CrowdStrike stock and their price targets:

  • Jefferies: Maintained Buy rating, raised price target from $190 to $230
  • KeyBanc: Maintained Overweight rating, raised price target from $234 to $240
  • JPMorgan: Maintained Overweight rating, raised price target from $200 to $235
  • Evercore ISI Group: Maintained In-Line rating, raised price target from $178 to $205

Key Items to Watch

With a string of mixed financial results, investors will likely be focused in different areas from Wednesday’s report. The company has been beating revenue estimates recently, while missing earnings per share estimates.

The company’s record net new ARR will be a key point in Wednesday’s report.

The company saw annual recurring revenue up 24% year-over-year in the first quarter.

CrowdStrike CEO George Kurtz said the company’s AI security infrastructure is critical for successful AI adoption, which is leading to platform adoption from existing customers and new customers.

The company raised its full-year revenue and earnings per share guidance after first quarter results and analysts and investors are likely counting on another raise with strong quarterly results.

CrowdStrike Stock Price Action

CrowdStrike stock is down 3.11% to $184.76 on Tuesday versus a 52-week trading range of $85.68 to $227.50. Shares are up 65.4% year-to-date, but are now down around 18% from all-time highs set earlier this month.

Read Also: CrowdStrike Stock Trades Lower Following Report of Executive CTO Departure

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