CrowdStrike Q2 - Strong demand

Cybersecurity company CrowdStrike is the smallest Vestact-recommended stock by market cap, at just $105.6 billion. Their latest quarterly results, out last week, showed good momentum. They added a record $221 million in recurring revenue, lifting total sales 21% to $1.17 billion, and crossed 1 000 customers on their Falcon Flex model.

Demand for their cloud, identity, and security products jumped more than 40%, showing that customers are doubling down and buying more products rather than spreading budgets across multiple vendors. CEO George Kurtz is still aiming for $10 billion in annual subscriptions by 2031, and based on this quarter, he's ahead of schedule.

Free cash flow and profits also hit new highs, showing the business is scaling well and proving growth isn't coming at the expense of cost discipline. On top of that, CrowdStrike announced a deal to buy Onum, a data pipeline startup that should turbocharge CrowdStrike's next-gen security monitoring offering, critical in a world where controlling and making sense of security data is the real moat.

CrowdStrike is pushing customers to adopt more modules faster, compressing the sales cycle and deepening wallet share. For us investors, it means the story is less about whether demand exists and more about how quickly the company can scale into it.