Stifel analysts cited a survey it conducted of CrowdStrike customers that "speaks to the growing customer demand for not only consolidating security functionalities with CrowdStrike over time but also extending their CrowdStrike deployments," analyst Brad Reback said.
Reback also said he sees "significant runway remaining" for the company to gain new customers. The company over time can boost its customer count to more than 100,000 or nearly 10 times the 11,420 customers the company reported having in its January quarter.
The firm also sees expanded use of CrowdStrike's Falcon endpoint protection program that should allow the company to reach the higher end of its non-GAAP subscription gross-margin target range of between 77% and 82% "more quickly than investors currently expect."
CrowdStrike shares were rising 7.9% to $256.46 on Tuesday.
CrowdStrike reported first-quarter revenue of $302.8 million, a 70% increase from $178.1 million in the year-earlier quarter. The FactSet analyst consensus called for revenue of $291.5 million in the latest quarter.
CrowdStrike suffered a net loss of $82.87 million, or 38 cents a share, in the latest quarter, widening from a $19.22 million loss, or 9 cents a share, last year. The analyst consensus called for a loss of 13 cents in the latest quarter.