This Digital Security Company is at the TOP of its Game

[View in browser]( [The Spill Logo] BROUGHT TO YOU BY: [Logo]( Proprietary Data Insights Financial Pros’ Top Digital Security Stock Searches in the Last Month Rank Name Searches #1 'Crowdstrike Holdings Inc 137 #2 'Zscaler Inc 82 #3 'Palo Alto Networks Inc 60 #4 'Fortinet Inc 41 #5 'Okta Inc Cl A 12 #ad [It's time you learn about Alternative Investments!]( Brought to you by [Goldco]( [IRA/401(k) ALERT: Secret IRS Loophole May Change Your Life]( [Goldco - IRA/401(k) ALERT: Secret IRS Loophole May Change Your Life]( When The Government Says “Don’t Worry”, Then It’s Time To Panic… As you already know, in 2008 we experienced one of the greatest financial meltdowns in modern history. Markets around the world crashed. Stock prices dropped. Once “invincible” financial institutions started showing signs of collapse. Then Governments “came to the rescue”, handing out massive bailouts and stimulus packages to keep the world economy afloat. We’ve been told these drastic measures prevented a total collapse of our system... But all it did was show the cracks in the system. Many lost faith in the financial system and the U.S Government. And now it’s possible things could get worse. Request a copy of this FREE GUIDE that explains exactly why THOUSANDS have used this IRS Loophole to possibly save their IRA/401(k). [Click here to get your FREE Guide now]( This Digital Security Company is at the TOP of its Game A 5-year average revenue growth of 75%... …surely the company doesn’t generate a profit. That’s true, at least on paper. But financial pros keep pounding the table on CrowdStrike (CRWD), searching for this stock at a rate nearly twice that of its closest competitors. At first glance, this company might look expensive. However, we see a lot of reasons why this high-growth digital security business has all the trappings of a potential 10-bagger. CrowdStrike’s Business Austin-based CrowdStrike is a powerhouse redefining the security landscape with a pioneering approach that's as innovative as it is effective. Its unique prowess lies in its advanced cloud-native platform, providing robust protection for endpoints, cloud workloads, identities, and data. The company offers a comprehensive suite of cybersecurity services anchored by its flagship product, the Falcon platform. This AI-driven software provides a multi-layer defense against known and unknown threats, serving a diverse clientele ranging from small businesses to Fortune 100 companies. Adding a feather to their cap, CrowdStrike also boasts the Charlotte AI, an advanced artificial intelligence system designed to predict and prevent cyber attacks before they happen. [XDR Platform] [Source: CrowdStrike Sept. 2023 Investor Relations]( CrowdStrike segments its business into the following areas: - Subscription (89% of total revenues) - Includes recurring revenues from customers subscribing to the Falcon platform and other related services. - Professional Services (11% of total revenues) - Encompasses all revenues generated from providing personalized cybersecurity solutions and consulting services to clients. CrowdStrike is particularly effective at expanding with its current customers, over half of which have 5+ cloud module subscriptions. [Cloud modules] [Source: CrowdStrike Sept. 2023 Investor Relations]( Recently, CrowdStrike acquired cyber startup Bionic, sealing the deal at $350 million. Bionic adds real-time, frictionless application visibility, application-level vulnerability prioritization, and complete visibility for serverless infrastructures. Crowstrike hopes this will expand its customer base and penetrate existing clients even further. Financials [Financials] Source: Stock Analysis CrowdStrike’s stellar revenue growth still has plenty of runway. Management believes it can more than triple recurring revenues within the next 5-7 years. [Next chapter] [Source: CrowdStrike Sept. 2023 Investor Relations]( Considering the company has 23,000 customers compared to the +500,000 for VMWare (VMW) and Fortinet (FTNT), it certainly has the market share to take. Additionally, margins continue to expand alongside the company’s revenues. Management likes to refer to the non-GAAP operating income as its measure of profitability: [Operating income] [Source: CrowdStrike Sept. 2023 Investor Relations]( The difference is mainly stock-based compensation, which wanes over time. That explains why operating cash flow is outstanding and growing - more than double what it was in 2022. And like many tech companies, CrowdStrike holds negligible amounts of debt. Valuation [Valuation] Source: Seeking Alpha Everything we’ve written about CrowdStrike to this point helps explain the hefty price-to-earnings valuation. However, at 42.2x operating cash flow, it’s smack in the middle of the group, with big players like FTNT trading at half the price-to-cash flow and Okta (OKTA) trading at 53.0x operating cash flow. And considering CrowdStrike’s revenue growth, that’s not too shabby. Interestingly, CrowdStrike trades at the highest price-to-sales ratio of the group. But we can explain that by looking at the next section. Growth [Revenue] Source: Seeking Alpha CrowdStrike’s revenue growth this year is a touch lower than ZScaler’s (ZS), coming in at 44.1% But looking forward, it’s the top of the class. And when you expand to look back over a 5-year period, the 80% annual average growth is flat-out phenomenal. That’s precisely why big money is so hot on this stock. Profitability [Profits] Source: Seeking Alpha CrowdStrike’s margins aren’t its selling point…until you look at its levered free-cash-flow. Again, it’s the top of the group, which says a lot about a company that’s a fraction of the size of its peers. [Become a Pro Investor in Just 5 Minutes a Day]( Invest just 5 minutes a day to deeply understand the mechanisms of business, the economy, consumer debt, inflation, and a lot more! Make better money decisions, keep up with The Juice newsletter, and stay ahead of the curve! Subscribe for FREE now! [Subscribe now.]( Our Opinion 9/10 CrowdStrike is doing everything right. Management keeps plowing money back into the business. Customers buy more and more. And let’s not forget the massive runway between taking market share and the general growth needs in the sector. Although the stock is volatile, we can use that to our advantage. We like this company and picking up shares starting around $165. [-facebook-share]( [-twitter-share]( [-linkedin-share]( [-email-share](mailto:?body= %3Cbr+%2F%3E%0A%3Cb%3ENotice%3C%2Fb%3E%3A++Undefined+property%3A+stdClass%3A%3A%24previewText+in+%3Cb%3E%2Fvar%2Fwww%2Fhtml%2Fnl_forms%2Fsrc%2FICTheSpill%2Fautomate-ic-article.php%3C%2Fb%3E+on+line+%3Cb%3E102%3C%2Fb%3E%3Cbr+%2F%3E%0Ahttps%3A%2F%2Finvestingchannel.com%2F%3Fp%3D593847?utm_medium=ic-nl&utm_source=113418 ) News & Insights Just Spilled - [Financial Pros Are Clear: Steer Clear of NextEra Energy]( - [Tickers Trending Among FinPros & Retail Investors]( - [Which Packaged Food Stock is a Steal?]( - [Guess Which Country Financial Pros Are Investing In]( [News & Insights-facebook-share]( [News & Insights-twitter-share]( [News & Insights-linkedin-share]( [News & Insights-email-share](mailto:?body= %3Cbr+%2F%3E%0A%3Cb%3ENotice%3C%2Fb%3E%3A++Undefined+property%3A+stdClass%3A%3A%24previewText+in+%3Cb%3E%2Fvar%2Fwww%2Fhtml%2Fnl_forms%2Fsrc%2FICTheSpill%2Fautomate-ic-article.php%3C%2Fb%3E+on+line+%3Cb%3E102%3C%2Fb%3E%3Cbr+%2F%3E%0Ahttps%3A%2F%2Finvestingchannel.com%2F%3Fp%3D593847?utm_medium=ic-nl&utm_source=113418 ) [We want to hear from you. Let us know your thoughts by clicking here]( [Ads] [InvestingChannel Logo](#) Follow us on: [Facebook Logo]( [LinkedIn Logo]( [Twitter Logo]( [Instagram Logo]( To ensure delivery of all emails, [allow us on your list](. Manage your subscriptions with our [preference center](. [Unsubscribe here.]( View our privacy policy [here](. Copyright ©2023 InvestingChannel. All rights reserved. 1325 Avenue of the Americas, Floor 27 & 28 New York, New York 10019 Disclaimer: This is not investment advice. This InvestingChannel, Inc., newsletter is for information purposes only and is based on opinion. Futures, forex, stock, and options trading are not appropriate for all investors. There is a substantial risk of loss associated with trading these markets. Losses can and will occur. No system or methodology has ever been developed that can ensure returns or eliminate losses. InvestingChannel, Inc., makes no representation or implication that using any of the methodologies or systems in this newsletter will generate returns or insure against losses. Investors should be cautious about any and all investments and are advised to conduct their own due diligence prior to making any investment decisions. [Link](