Key Takeaways

CrowdStrike ( CRWD ) shares slumped Wednesday, a day after the cybersecurity company reported an unexpected loss for the third quarter as it grapples with the fallout from a massive outage in July, but analysts are still bullish on the stock.

“Despite the increased near-term uncertainty, we remain steadfast in our view that CRWD’s cloud security platform is very differentiated,” analysts at Mizuho wrote Wednesday. The firm maintained its “outperform” rating and $375 price target, which would represent a nearly 10% premium to Wednesday's intraday price of $342.18.

Wedbush analysts boosted their price target to $390 from $330, noting CrowdStrike beat revenue expectations in the third quarter and raised its full-year guidance. They added that in the wake of the outage, “lost business continues to seem much more limited than first expected.”

Citi analysts were even more bullish, lifting their price target for the stock to $400 from $300, citing the company's "impressive" revenue milestone above $1 billion for the quarter, and "higher conviction on out-year forecasts."

Shares of CrowdStrike were down 6% in afternoon trading Wednesday. Despite Wednesday's losses, they've gained more than one-third of their value since the start of the year.