New York, January 29, 2026, 19:39 EST — After-hours
- CrowdStrike shares closed 5.3% lower at $444.62, with little movement in after-hours trading
- A widespread software selloff dragged down cybersecurity stocks amid renewed concerns over AI disruption
- Attention now turns to Friday’s session and CrowdStrike’s upcoming earnings report, slated for early March
CrowdStrike Holdings shares fell 5.3% to close at $444.62 on Thursday, pressured by a broad selloff in U.S. software stocks that extended into cybersecurity. After hours, the stock showed little movement.
This shift is significant since CrowdStrike has been trading as a high-growth software stock, a segment the market has recently soured on. Investors have swiftly pulled back when earnings or guidance from major software companies suggest artificial intelligence might reshape pricing power in subscription software.
Software stocks tumbled following SAP’s cautious cloud forecast and a sharp post-earnings drop in ServiceNow, reigniting concerns that SaaS — subscription-based software delivered via the internet — is losing ground to newer AI entrants. The S&P 500 Software and Services Index plunged 8.7% to its lowest level in nine months, with cloud security firm Zscaler sliding 6.3% as the sell-off widened. “The market’s kind of … pricing a worst-case scenario that software is dead because AI is disrupting the space,” said Adam Turnquist, chief technical strategist at LPL Financial. 1
The broader market offered little support. The S&P 500 and Nasdaq closed lower as earnings reports sank in and doubts grew over whether heavy AI investments will pay off. Microsoft tumbled roughly 10% after its cloud revenue fell short of expectations. “Microsoft disappointed and there are some genuine concerns that AI investments will eat the software companies’ lunches,” said John Praveen, managing director and co-co chief investment officer at Paleo Leon. Jay Hatfield, CEO and CIO of Infrastructure Capital Advisors, noted rising worries that AI could “supplant” certain software services. 2
CrowdStrike’s shares fluctuated from $431.56 up to $469.21, while roughly 5.2 million shares were exchanged throughout the session.
The company highlighted a recent customer accolade. CrowdStrike announced it earned a spot as a Customers’ Choice in the 2026 Gartner Peer Insights “Voice of the Customer” report for endpoint protection platforms. The recognition came with a 97% willingness-to-recommend rating, drawn from 800 responses as of November 2025. 3
For CrowdStrike, there’s a tricky balancing act. AI fuels the sales pitch for security firms, yet it also challenges the traditional software model — speeding automation, lowering costs, and reducing lock-in. On days like Thursday, investors aren’t focused on the nuances.
The risk remains evident: if investors continue valuing software as a shrinking industry, even strong security firms could face valuation hits. A tough Friday for the sector would add strain on CrowdStrike, particularly if its competitors keep falling.
Traders will be keeping an eye on whether the software selloff continues into Friday’s regular session or if buyers step in following the sector’s sharp decline.
CrowdStrike’s next key event is its quarterly earnings report, slated for around March 3, per Nasdaq’s earnings calendar — though the date could change. 4
