HomeBusiness1 Artificial Intelligence (AI) Growth Stocks to Buy as Part of Your...

1 Artificial Intelligence (AI) Growth Stocks to Buy as Part of Your 2025 New Year’s Resolutions

CrowdStrike (NASDAQ: CRWD) has developed a cybersecurity platform designed to protect every layer of a business, using artificial intelligence (AI) to automate everything from threat hunting to incident response.

The company started a series of incidents on July 19 when it released a corrupted software update to customers, causing millions of computers used by thousands of companies around the world to crash. The incident was resolved within about a day, but CrowdStrike shares quickly fell 44% as investors feared it would result in a customer exodus. The stock price has now almost fully recovered as the fallout from the event was not as bad as expected.

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The company has just raised its revenue guidance for the current fiscal year. That could be a sign that positive things will happen in 2025. So this is why investors might want to buy the stock as part of their New Year’s resolutions.

Image source: Getty Images.

The cybersecurity industry has a history of fragmentation, meaning companies typically build their security stack from different vendors. CrowdStrike’s Falcon platform is a true all-in-one solution, with 28 different modules for cloud security, identity protection, endpoint security and more.

Falcon offers both convenience and cost savings. Therefore, CrowdStrike’s July 19 outage — which disrupted 8.5 million computers worldwide and cost some of its top customers more than $5 billion — is unlikely to have a lasting impact on its business. Falcon simply delivers too much value.

During the third quarter of fiscal 2025 (ended October 31), an all-time high of 66% of customers used at least five Falcon modules. CrowdStrike management said this was the largest quarter ever for the sales force industry serving organizations with fewer than 2,500 employees.

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The new Falcon Flex product, which launched in 2023, has been a big part of the company’s recent success. It offers companies flexible plans that allow them to distribute their spend across different Falcon modules at different times, depending on their needs. It means they can try new products as they come to market without having to negotiate a separate contract they’re locked into.

The average Flex customer has tried more than nine modules, so it’s a great way for CrowdStrike to entice existing customers to increase their spend over time.

Falcon aims to automate as many cybersecurity workloads as possible, so it can work silently in the background of a customer’s networks and endpoints. AI is the secret to achieving that goal. CrowdStrike’s AI models are trained on more than 2 trillion security events every day, so they continually become more accurate to provide the best protection.

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