An update error at cybersecurity company CrowdStrike caused massive computer problems worldwide on Friday. Despite a quick fix, CrowdStrike's stock plummeted by double digits. Analysts, however, remain optimistic and view the current weakness as a buying opportunity.

A security solution from CrowdStrike caused significant disruptions in numerous countries on Friday after a faulty software update was applied. Although the error was fixed the same day, the stock fell by 11.1 percent, closing at $304.96. The downward trend continued on Monday, with the stock temporarily falling an additional 12.50 percent to $266.81 on the NASDAQ.

Despite the Decline in the Share Price, Several Analysts Recommend Using the Weak Phase to Buy. Jonathan Ho of the Investment Bank William Blair Remained Calm and Stated That He and His Team View the Current Weak Phase as a Buying Opportunity.

Gregg Moskowitz, an analyst at financial services firm Mizuho, emphasized that the incident is unlikely to cause lasting damage to CrowdStrike. He pointed out that CrowdStrike is probably not contractually liable and could offer discounts to potentially affected customers. Moskowitz remains optimistic about the stock and described the recent pressure as understandable, especially in light of the stock's previous outperformance. The CrowdStrike stock had gained approximately 34.36 percent since the beginning of the year up to Thursday.

Jordan Klein, also an analyst at Mizuho, sees the current situation as a good buying opportunity. He believes that despite the unfavorable timing—just before the quarter-end, when traditionally many deals are closed—CrowdStrike faces only limited risk of market share loss. The key point is that the incident was caused by a failed update and not a hack. CrowdStrike CEO George Kurtz emphasized on platform X that it was not a security incident or cyberattack, which underlines the company's long-term trustworthiness in terms of cybersecurity.

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However, some analysts remain cautious. Saket Kalia from Barclays believes that CrowdStrike will overcome the incident because the company has a dominant market position. Nevertheless, he thinks it might take some time. Kalia points out that other major tech companies like Microsoft or Amazon have also bounced back strongly after similar outages.

An important factor for CrowdStrike's future development could be the timing of the next financial report, which has yet to be determined. Mizuho analyst Klein emphasized that the company needs to deliver a quarterly report that exceeds expectations and raises targets to restore investor confidence.

The current events show that technological errors can also have significant impacts on leading cybersecurity companies. Nevertheless, experts remain confident that CrowdStrike will overcome the crisis and emerge stronger in the long term.