CrowdStrike rallies 17% after beating estimates for 3rd quarter earnings and future growth

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CrowdStrike rallies 17% after beating estimates for 3rd quarter earnings and future growth
CrowdStrike Chief Executive George Kurtz is photographed in the company's offices. CrowdStrike help CrowdStrike Chief Executive George Kurtz is photographed in the company's offices. CrowdStrike helps companies protect their data, and the company has been successful given the increased threat of foreign based hackers from Russia and China.Katie Falkenberg/Los Angeles Times via Getty Images
  • CrowdStrike rallied as much as 16.9% on Thursday after beating earnings expectations across the board.
  • The cybersecurity company's fiscal third-quarter profit and revenue landed well above estimates.
  • CrowdStrike also lifted its forward guidance above Wall Street's forecasts.
  • The leap placed shares at record highs.
  • Watch CrowdStrike trade live here.
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CrowdStrike leaped as much as 16.9% on Thursday after the cybersecurity company's quarterly report broadly exceeded expectations.

The firm beat estimates for fiscal third-quarter earnings and revenue when it reported figures Wednesday afternoon. CrowdStrike also lifted its current-quarter guidance above Wall Street's forecasts, further boosting bullishness for its shares.

Here are the key numbers:

Revenue: $232.5 million, versus the $213.8 million estimate from analysts surveyed by Bloomberg

Adjusted earnings per share: 8 cents, versus the 0.5 cent estimate

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Q4 revenue: $245.5 million to $250.5 million, versus the $232.1 million estimate

Q4 adjusted EPS: 8 cents to 9 cents, versus the 1.5 cent estimate

Read more: Morgan Stanley handpicks 42 stocks to buy as their company-specific strengths help them deliver strong growth for many years to come

"CrowdStrike delivered a record third quarter with results exceeding our expectations across the board," CEO George Kurtz said in a statement.

The stock's jump placed prices at record highs. Shares are up roughly 227% year-to-date.

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Subscription revenue grew 87% from the year-ago period. The company also added a record 1,186 net new subscription customers in the quarter ended October 31.

The quarterly performance notched CrowdStrike's third straight quarter of non-GAAP operating profitability. Operating and free cash flow was positive for the fifth consecutive quarter. Still, unadjusted earnings showed a loss of 11 cents per share.

CrowdStrike traded at $163.62 per share as of 10:15 a.m. ET Thursday. The company has 25 "buy" ratings and six "hold" ratings from analysts.

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