CrowdStrike Holdings (NASDAQ:CRWD) delivers shareholders decent 20% CAGR over 3 years, surging 3.9% in the last week alone

The last three months have been tough on CrowdStrike Holdings, Inc. (NASDAQ:CRWD) shareholders, who have seen the share price decline a rather worrying 34%. But over three years, the returns would have left most investors smiling In the last three years the share price is up, 75%: better than the market.

On the back of a solid 7-day performance, let's check what role the company's fundamentals have played in driving long term shareholder returns.

Check out our latest analysis for CrowdStrike Holdings

Because CrowdStrike Holdings made a loss in the last twelve months, we think the market is probably more focussed on revenue and revenue growth, at least for now. Shareholders of unprofitable companies usually expect strong revenue growth. That's because fast revenue growth can be easily extrapolated to forecast profits, often of considerable size.

CrowdStrike Holdings' revenue trended up 50% each year over three years. That's much better than most loss-making companies. While the compound gain of 20% per year over three years is pretty good, you might argue it doesn't fully reflect the strong revenue growth. If that's the case, now might be the time to take a close look at CrowdStrike Holdings. A window of opportunity may reveal itself with time, if the business can trend to profitability.

The graphic below depicts how earnings and revenue have changed over time (unveil the exact values by clicking on the image).

It's probably worth noting we've seen significant insider buying in the last quarter, which we consider a positive. On the other hand, we think the revenue and earnings trends are much more meaningful measures of the business. So it makes a lot of sense to check out what analysts think CrowdStrike Holdings will earn in the future (free profit forecasts).

A Different Perspective

The last twelve months weren't great for CrowdStrike Holdings shares, which performed worse than the market, costing holders 37%. The market shed around 10%, no doubt weighing on the stock price. Fortunately the longer term story is brighter, with total returns averaging about 20% per year over three years. The recent sell-off could be an opportunity if the business remains sound, so it may be worth checking the fundamental data for signs of a long-term growth trend. While it is well worth considering the different impacts that market conditions can have on the share price, there are other factors that are even more important. To that end, you should be aware of the 1 warning sign we've spotted with CrowdStrike Holdings .

CrowdStrike Holdings is not the only stock insiders are buying. So take a peek at this free list of growing companies with insider buying.

Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on US exchanges.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.