Selected stock price target news of the day - June 5th, 2024

By: Matthew Otto

CrowdStrike Exceeds Fiscal Q1 Revenue and Profit Expectations

CrowdStrike Holdings released financial results for the fiscal first quarter ended in April, reporting a revenue of $921 million. A 34% increase from the same period last year, surpassing both its guidance range of $902 million to $906 million and the Street consensus estimate of $905 million. Adjusted profits reached 93 cents per share, exceeding the guidance range of 89 to 90 cents per share and the Street consensus of 89 cents. Under generally accepted accounting principles, CrowdStrike earned 17 cents per share.

Free cash flow also saw a boost, climbing to $322.5 million from $227.4 million in the comparable quarter a year earlier. Annual recurring revenue grew by 33% to $3.65 billion, with net new ARR increasing by 22% to $212 million. Subscription revenue rose 34% to $872.2 million.

Looking ahead, CrowdStrike projects revenue for the July quarter to be between $958.1 million and $961.2 million, ahead of the Street consensus of $955 million, with adjusted profits expected to be 98 to 99 cents per share, above the consensus of 91 cents. For the January 2025 fiscal year, CrowdStrike has raised its revenue forecast to a range of $3.976 billion to $4.011 billion, up from a previous forecast of $3.925 billion to $3.989 billion. The adjusted profit forecast has also been increased to a range of $3.93 to $4.03 per share, compared to the prior forecast of $3.77 to $3.97 per share.

Analysts Reports Mixed Results, Price Targets Adjusted

Wedbush analyst Taz Koujalgi maintained an Outperform rating but lowered the price target from $390 to $385.
Scotiabank analyst Patrick Colville maintained a Sector Outperform rating and lowered the price target from $400 to $393.
Oppenheimer analyst Ittai Kidron maintained an Outperform rating and raised the price target from $355 to $400.
Mizuho analyst Gregg Moskowitz reiterated a Buy rating but downgraded the price target from $390 to $370.
BTIG analyst Gray Powell reiterated a Buy rating and lowered the price target from $432 to $402.
Needham analyst Alex Henderson reiterated a Buy rating and a price target of $425.

Which Analyst has the best track record to show on CRWD?

Analyst Keith Bachman (BMO) currently has the highest performing score on CRWD with 7/7 (100%) price target fulfillment ratio. His price targets carry an average of $9.92 (3.81%) potential upside. CrowdStrike Holdings stock price reaches these price targets on average within 31 days.

Guidewire Software Exceeds Expectations in Q3 Fiscal 2024 Earnings Report, Provides Strong Guidance

Guidewire Software announced its third quarter fiscal 2024 earnings, reporting earnings per share of $0.26, exceeding the analyst estimate of $0.13 by $0.13. Revenue for the quarter stood at $240.7 million, surpassing the consensus estimate of $231.29 million. Operating profit for the quarter reached $21 million. Guidewire ended the quarter with $934 million in cash, cash equivalents, and investments, with operating cash flow at $5 million.

For the fourth quarter of 2024, Guidewire Software provided guidance, expecting revenue to range between $279 million and $287 million, compared to the consensus estimate of $285.6 million. Operating income for the quarter is projected to be between $5 million and $13 million, while non-GAAP operating income is anticipated to range between $43 million and $51 million.

Looking ahead to the full fiscal year 2024, Annual Recurring Revenue is expected to be between $856 million and $864 million. Total revenue is projected to range between $968 million and $976 million. Guidewire anticipates an operating loss between $58 million and $50 million, with non-GAAP operating income ranging between $94 million and $102 million. Operating cash flow for the fiscal year is expected to be between $130 million and $150 million.

Analysts Remain Bullish, Price Targets Raised Across the Board

Stifel analyst Parker Lane maintained a Buy rating and raised the price target from $130 to $140.
Oppenheimer analyst Ken Wong maintained an Outperform rating and increased the price target from $130 to $140.
Wells Fargo analyst Michael Turrin reiterated an Overweight rating and raised the price target from $130 to $140.
BofA Securities analyst Brad Sills maintained an Underperform rating but raised the price target from $80 to $95.
BTIG analyst Matthew Vanvliet reiterated a Buy rating and upgraded the price target from $135 to $140.

Which Analyst has the best track record to show on GWRE?

Analyst Joe Goodwin (JMP) currently has the highest performing score on GWRE with 7/7 (100%) price target fulfillment ratio. His price targets carry an average of $17.11 (17.48%) potential upside. Guidewire Software stock price reaches these price targets on average within 238 days.

Hewlett Packard Enterprise Shines in Q2 Earnings Report, Beats Estimates and Raises Guidance

Hewlett Packard Enterprise announced second-quarter earnings per share of $0.42, surpassing analyst estimates by $0.03, which was projected at $0.39. Revenue for the quarter stood at $7.2 billion, outperforming the consensus estimate of $6.83 billion. This marked a 4% year-over-year growth and a 7% quarter-over-quarter increase in constant currency. The performance was driven by the growth in AI systems revenue, which more than doubled to over $900 million. Cumulative AI systems orders reached $4.6 billion for the quarter.

Furthermore, HPE’s HPE GreenLake hybrid cloud service showed momentum, with the number of customer organizations using it increasing by almost 9% sequentially to 34,000. The as-a-service lifetime total contract value surpassed $15 billion, with an annualized revenue run rate growing by 39% year-over-year. Server revenues reached $3.9 billion, up 16% and 18% year-over-year, driven by both AI systems and traditional servers.

Hybrid cloud revenues stood at $1.3 billion, showing slight increases throughout the year, while Intelligent Edge revenues reached $1.1 billion. HPE’s financial services revenue increased by 1% year-over-year, with financing volume reaching $1.7 billion.

Looking ahead, Hewlett Packard Enterprise provided guidance for fiscal year 2024, expecting EPS in the range of $1.85 to $1.95. This guidance compares favorably to the consensus estimate of $1.88. For the third quarter of 2024, the company anticipates EPS between $0.43 and $0.48, differing slightly from the consensus of $0.47. Additionally, Hewlett Packard Enterprise projects third-quarter revenue to fall within the range of $7.4 billion to $7.8 billion, compared to the consensus estimate of $7.46 billion.

Analysts Bullish: Price Targets Raised After Q2 Earnings

Susquehanna analyst Mehdi Hosseini maintained a Neutral rating and raised the price target from $14 to $20.
Stifel analyst Matthew Sheerin reiterated a Buy rating and increased the price target from $18 to $22.
Morgan Stanley analyst Meta Marshall kept an Equal-Weight rating and upgraded the price target from $19 to $21.
Evercore ISI Group analyst Amit Daryanani maintained an In-Line rating and raised the price target from $18 to $22.
Wells Fargo analyst Aaron Rakers reiterated an Equal-Weight rating and increased the price target from $19 to $22.
BofA Securities analyst Wamsi Mohan kept a Neutral rating and upgraded the price target from $19 to $22.

Which Analyst has the best track record to show on HPE?

Analyst Matthew Sheerin (STIFEL) currently has the highest performing score on HPE with 1/2 (50%) price target fulfillment ratio. His price targets carry an average of $2.44 (15.68%) potential upside. Hewlett Packard Enterprise stock price reaches these price targets on average within 4 days.