Post Onum Deal: Is CrowdStrike Ready to Rebound After 16% Drop?

Key Points

• CrowdStrike stock is down 16% from July highs, nearing correction territory.
• The $290M Onum acquisition strengthens Falcon with faster, cheaper data protection.
• Technical signals suggest support is near $430, with resistance around $450–$455.

CrowdStrike Holdings Inc. NASDAQ: CRWD stock has been under pressure since reaching an all-time high in July. Since that time, it has been down approximately 16%, which means the stock is approaching correction territory. That may be welcome news for investors who feel that CrowdStrike, like other technology stocks, is overvalued and want to find a better entry point.

But they may have to act sooner rather than later. In late August, CRWD stock got a bump from its $290 million acquisition of Onum. This move aims to further streamline and scale CrowdStrike's industry-leading Falcon cybersecurity platform and enhance the company’s ability to drive autonomous cybersecurity at scale.

Why Did CrowdStrike Acquire Onum?

CrowdStrike’s acquisition of Onum tackles a fundamental pain point in cybersecurity: the inefficiencies of data movement. Currently, companies have to transfer their data into different systems before cybersecurity software can analyze it. This involves time and cost and can slow down the ability to detect threats early.

Onum allows CrowdStrike to integrate real-time data processing directly into Falcon.

Think of it like airport security. Instead of checking in at one counter, dropping bags at another, and then going through a separate screening line, passengers can now use a single, automated, fast-track lane. For CrowdStrike customers, that means less friction, lower costs, and faster protection against attacks.

In a press release announcing the deal, CrowdStrike highlighted three transformational advantages that Onum brings to the Falcon platform:

• Speed: Delivers up to five times more events per second than its nearest competitor and processes security and observability data in real-time versus legacy batch and store methods.

• Cost: Smart filtering reduces data storage costs by up to 50% through intelligent optimization.

• Superior Outcomes: Real-time pipeline detection starts before data enters the Falcon platform, delivering up to 70 percent faster incident response with 40% less ingestion overhead.

Mixed Analyst Sentiment Clouds the Picture

The Onum acquisition news coincided with CrowdStrike’s earnings report on Aug. 27. Since then, over two dozen analysts have issued ratings and/or price targets. Although the company’s revenue and earnings were sharply higher year-over-year, analyst sentiment is mixed.

Several analysts give the stock a higher price target than the consensus target of around $460. The highest target since the earnings report came from Oppenheimer, which reiterated a $520 price for CRWD stock.

However, bearish sentiment still exists, with several analysts lowering their price targets. One was Bernstein, which dropped its target from $371 to $343.

Technical Signals Suggest CRWD Stock Has Found Support

The Onum acquisition wasn’t a “sell the news” event, but it didn’t give the stock much of a lift. After an initial bump following the announcement, CRWD stock has pulled back.

However, there are signs that the stock has found support around its current price of $430, which aligns with its 20-day simple moving average (SMA). Buyers have also stepped in at this level over the past month, suggesting a base is forming. That’s also supported by a neutral relative strength indicator (RSI) in the 50s.

Bullish investors can also look at the MACD line, which shows signs that selling pressure is easing. Investors will want to look for a bullish crossover that could signal a shift in momentum.

If CRWD stock does move higher, investors will want to see two things. First, buying volume has to increase beyond the sales volume in June and July. Second, the stock needs to break past resistance around $450 to $455.