Benzinga | Jan 6, 2022 05:25AM EST

Here's Why Wells Fargo Named CrowdStrike As Top Pick For 2022

* Wells Fargo analyst Andrew Nowinski initiated coverage of CrowdStrike Holdings (NASDAQ:CRWD) with an Overweight rating and a $275 price target, implying a 53.4% upside.

* The analyst sees CrowdStrike being well-positioned to continue to take share from both legacy and next-gen vendors with "one of the most comprehensive platforms in the industry."

* Nowinski named the stock as a top pick for 2022.

* He calls ARR "the most important metric to measure the health of CrowdStrike" and the success of its new modules.

* Nowinski believes the Street is not factoring in enough contribution from the new products and modules, which results in ARR being "largely" underestimated in the consensus view.

* Price Action: CRWD shares traded higher by 0.26% at $179.75 in the premarket session on the last check Thursday.