CrowdStrike (NASDAQ:CRWD) shares fell 7.6% to $360.39 in pre-market trading at 6:54 AM ET Wednesday, shedding $29.77, as weaker-than-expected earnings guidance for fiscal 2026 weighed on investor sentiment despite the company reporting better-than-expected Q4 results.

• Warning! GuruFocus has detected 2 Warning Sign with CRWD.

For Q4 FY25, CrowdStrike reported non-GAAP earnings per share of $1.03, surpassing analyst expectations by $0.17. Revenue climbed 25.4% year-over-year to $1.06 billion, exceeding estimates by $20 million.

The company's annual recurring revenue (ARR) increased 23% YoY to $4.24 billion, adding $224 million in net new ARR during the quarter. Full-year subscription revenue reached $3.76 billion, up 31%, while record operating cash flow hit $1.38 billion and free cash flow totaled $1.07 billion. As of Jan. 31, 2025, cash and cash equivalents stood at $4.32 billion.

However, for Q1 FY26, CrowdStrike projected non-GAAP EPS of $0.64 to $0.66, well below the $0.96 consensus estimate. The company guided total revenue of $1.10 billion to $1.11 billion, in line with expectations.

For the full fiscal year, CrowdStrike expects revenue between $4.74 billion and $4.81 billion, ahead of the $3.93 billion consensus. However, non-GAAP EPS guidance of $3.33 to $3.45 came in below the $3.76 analyst forecast, contributing to the stock's pre-market decline.