CRWD: Long Term Investment For CRWDTechnical Analysis (TA):
Support and Resistance Levels:
Current Price: Around $259.96.
Resistance Levels:
Near $360 (highlighted as R1 around the $360 level multiple times in the chart).
Another resistance is $417.39 (R1 level from an earlier high).
Support Levels:
$172.68 appears as a strong support level (S1).
$225.50 could be a psychological support, aligned with recent price movements.
$200.81 also serves as a significant support level.
Ichimoku Cloud:
The price seems to have fallen below the Ichimoku cloud in recent months, indicating bearish momentum.
The cloud itself is red, which often suggests continued bearish sentiment. However, the price is approaching the cloud from below, and a breakout above it could signal a bullish reversal.
Stochastic Oscillator:
The Stochastic Oscillator at the bottom of the chart seems to be in the oversold territory and may have started to curve upwards. This might indicate a potential buying opportunity if the momentum continues to swing back upwards.
Price Action:
The price seems to be in a corrective phase after a steep decline. If the current bullish momentum continues, a retest of the $360 resistance could be possible in the near term.
A sustained break below $200 could suggest further downside risk.
Technical Analysis Summary:
Following key observations can be made:
Price Action: The stock has been in a corrective phase but is currently showing signs of recovery, with price attempting to break above the $260 level. This aligns with the support and resistance levels indicated by the pivot points and Fibonacci retracements on the chart.
Ichimoku Cloud: The price is below the cloud, which is generally bearish, but the stock is trying to break into the cloud. A successful breakout above the cloud could signal a trend reversal.
Stochastic Oscillator: The stochastic is in the oversold region, which indicates potential upward momentum in the near future.
Market Data and Analyst Insights:
Analyst Ratings: According to recent analyst coverage, CRWD has an overall positive outlook, with most analysts recommending a "Buy" or "Strong Buy." The average 12-month price target is around $340.18, with a potential upside of approximately 31% from the current price levels (Stock Analysis) stockanalysis.com
Revenue and Earnings Forecast:
Revenue Growth: CRWD is expected to see significant revenue growth, with projections of $4.06 billion this year, increasing to $5.10 billion next year, representing a 25.68% increase (Stock Analysis) .
EPS Growth: The company's EPS is forecasted to grow from $4.04 this year to $4.94 next year, indicating strong profitability (Stock Analysis).
Valuation: CRWD's forward P/E ratio is expected to decrease as the company continues to grow, making it potentially more attractive for long-term investors as earnings expand (Stock Analysis).
Investment Considerations:
Upside Potential: With a strong forecast and the majority of analysts leaning towards a "Buy" rating, CRWD appears to have substantial upside potential. The current technical setup also suggests that if the stock can maintain its recovery above key support levels, it could be well-positioned for growth.
Risks: However, the stock is still below significant resistance levels, and the overall market sentiment should also be considered, especially if broader market conditions become unfavorable.
Given this combination of technical and fundamental factors, CRWD seems to be a stock with good growth potential but also some risks that should be monitored closely.
