New York, Jan 9, 2026, 20:15 EST — Market closed
- CrowdStrike shares climbed 1.4% Friday, following its $740 million deal to acquire identity security startup SGNL the previous day
- Berenberg raised the rating to “Buy” and maintained a $600 price target
- Investors are turning to Q4 results for any shifts in guidance and an early read on the impact of deals
CrowdStrike Holdings Inc shares gained 1.4%, closing at $470.61 on Friday, recovering some losses after the company announced a $740 million acquisition of identity security startup SGNL and received an analyst upgrade.
The timing is crucial because “identity”—the log-ins and permissions controlling access to company data—has grown into a major vulnerability as firms link more cloud apps and test software “agents” operating with minimal human oversight. Security buyers are also looking to cut down on vendor numbers, a move that generally favors broad platforms over standalone products. 1
CrowdStrike announced Thursday it will acquire SGNL in a $740 million deal, aiming to tackle attackers who bypass defenses by using stolen credentials. “The adversaries aren’t breaking in; they’re logging in,” CEO George Kurtz told Reuters. The company plans to pay mostly in cash, with some stock, and expects the deal to close in the first quarter of fiscal 2027. 2
The stock dropped roughly 3% on Thursday following the deal announcement, as some investors hesitated to pay a premium for early-stage assets. The identity security space remains packed with competitors like Okta and CyberArk. 3
On Friday, Berenberg’s Rahul Chopra raised CrowdStrike to “Buy” from “Hold,” maintaining a $600 price target. He said the recent pullback makes the valuation more attractive and highlighted the company’s “unified architecture” as a key driver of growth. 4
Despite Friday’s gains, CrowdStrike remains about 17% shy of its 52-week peak, highlighting how investors remain wary of any hint of growth deceleration in high-multiple software stocks. 5
Berenberg noted that SGNL’s immediate revenue boost will probably be modest, shifting the focus to how well CrowdStrike integrates the tech into its Falcon platform and upsells additional modules to current clients. 6
But plenty could trip it up. Integration might stall, identity products could take longer to gain traction, and security budgets remain tightly scrutinized. If CrowdStrike’s upcoming forecast points to weaker demand or shrinking margins, investors’ patience could evaporate quickly.
With U.S. markets closed until Monday, traders will be eyeing any momentum from the SGNL announcement — and more importantly, the company’s upcoming quarterly report. Market calendars are pointing to early March, though CrowdStrike hasn’t officially set a date yet. 7
