New York, Jan 16, 2026, 7:57 PM EST — After-hours
- CrowdStrike shares slipped roughly 0.2% to close at $453.88, holding steady in after-hours trading
- Reports say China is instructing companies to halt use of certain foreign cybersecurity tools; CrowdStrike confirms it doesn’t sell in China
- A U.S. judge threw out a shareholder lawsuit linked to the July 2024 outage; investors now await the next legal moves.
CrowdStrike Holdings, Inc. shares (CRWD.O) edged down 0.2% on Friday to $453.88, holding steady in light after-hours trading.
The stock is back in the spotlight next week for two contrasting reasons: China’s reported plan to restrict foreign cybersecurity software, and a U.S. court decision dismissing an investor lawsuit related to CrowdStrike’s 2024 outage.
Neither story alone shifts CrowdStrike’s Monday morning outlook. Still, both hit the core drivers behind the stock’s moves since last summer — policy battles and legal risks. With liquidity thin, traders often adjust their risk assessments fast.
SecurityWeek, citing Reuters, reported that China is ordering domestic firms to halt use of software from U.S. and Israeli cybersecurity companies. It’s not clear how many Chinese businesses have gotten the directive. A spokesperson for CrowdStrike said, “Unlike our competitors, CrowdStrike does not sell into China,” and noted the company could be “only negligibly affected.” (SecurityWeek)
ITPro reported that a separate investor lawsuit linked to the July 2024 disruption was dismissed. Shareholders had alleged CrowdStrike misled them regarding software testing and quality assurance. Chief legal officer Cathleen Anderson commented, “We appreciate the Court’s thoughtful consideration and decision to dismiss this case,” though the ruling allows for the complaint to be amended. (IT Pro)
Risk appetite remained subdued. The S&P 500 closed 0.07% lower on Friday, based on preliminary figures, with investors cautious ahead of the extended weekend and upcoming earnings reports. “Most investors will take that as a win two weeks into the year,” said Anthony Saglimbene, chief market strategist at Ameriprise Financial. (ColoradoBiz)
Traders watching CrowdStrike will focus on whether companies named in the China report offer formal guidance, along with any fresh filings in the shareholder lawsuit that could reignite the outage dispute.
The downside is straightforward to map out. Even if direct sales in China stay restricted, a tougher procurement environment could squeeze budgets in other areas. Legal battles may drag on, particularly since the issue was operational, public, and costly for clients.
U.S. markets shut Monday for Martin Luther King Jr. Day. The next real test for CRWD comes at Tuesday’s open and through the holiday-shortened week. (New York Stock Exchange)