CrowdStrike Holdings raised its targets for subscription gross margins and operating margins, leaving Wall Street optimistic about the security software company.
At a briefing at Fal.Con, CrowdStrike (ticker: CRWD) said it was raising its new target model of subscription gross margin to 82% to 85% of revenue, up 400 basis points from its previous target, and boosting its operating margin target to 28% to 32%, up 900 basis points. The company said the timeframe for meeting those targets was three to five years.