Crowdstrike The stock rose 7% on Monday following the announcement that the cybersecurity software vendor would replace the financial company in joining the S&P 500. Comerica.
S&P Dow Jones Indices statement Late on Friday, CrowdStrike announced it would be added to the benchmark index alongside a global investment firm. KKR Web Domain Vendors Godaddywhich has been replaced by Robert Half and IlluminaThe changes will take effect on June 24th.
Shares of companies added to an index often rise after the announcement as fund managers who track the index regularly update their portfolios to reflect the additions. Evercore analysts said in a client note on Monday that the firm’s “trading desk expects index constituents to purchase approximately 30 million shares of CrowdStrike stock.”
Security ETFs rose on Monday, with the First Trust Nasdaq Cybersecurity ETF and the Amplify Cybersecurity ETF (ticker symbol “HACK”) both rising 1.5%.
CrowdStrike has been profitable for each of the last five quarters and is eligible for inclusion in the S&P 500. With a market capitalization of over $90 billion, CrowdStrike’s valuation is more than double the average of the S&P 500 stocks.
“This incredible milestone is a testament to the hard work, dedication and belief shown by our team, customers and partners since our founding in 2011,” said CEO George Kurtz. LinkedIn Post On the weekend.
CrowdStrike shares soared on Monday, closing at an all-time high, bringing their gains this year to 46% following a 142% rise in 2023.
Earlier this month, CrowdStrike report Sales increased 33% year-over-year to $921 million.
clock: CrowdStrike CEO George Kurtz talks one-on-one with Jim Cramer