JPMorgan analyst Brian Essex believes Crowdstrike’s earnings report on August 28 could be a “clearing event for the stock.” Most mentions of the global IT outage during this earnings season “seem benign,” the analyst tells investors in a research note. A review of comments so far this earnings season, in addition to conversations JPMorgan had with partners and IT experts, reflect more efficient recovery efforts from the disruption than headlines seem to imply, the analyst tells investors in a research note. The firm believes expectations are now very low for Crowdstrike’s Q2, but it still expects the company’s “conservative” CFO to set lower expectations for the rest of the year since “there is little risk at this point to being more conservative.” JPMorgan keeps an Overweight rating on Crowdstrike shares.
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