CrowdStrike's Stock Is Still Falling. Cathie Wood's ARK Bought Some

Shares of CrowdStrike (CRWD) are still falling aft a faulty update caused a world outage connected Friday, sending nan cybersecurity firm's shares plummeting, but immoderate investors—including Cathie Wood's ARK Invest—are trying to bargain nan dip.

CrowdStrike shares were precocious down astir 2%, extending a more-than-23% driblet from nan time earlier nan incident.

Customers Are Still Working Through Issues

Though nan institution "provided a workaround and caller update reasonably early," galore customers are still experiencing outages arsenic "recovery efforts are being hampered by deficiency of on-site IT personnel" to administer nan workaround, Wedbush analysts wrote.

Citi analysts outlined risks presented by nan outage, highlighting nan anticipation of nan request to connection discounts, customers trading down to less-expensive offerings, aliases nan imaginable for mislaid deals. CrowdStrike's second-quarter net results are expected successful September, and investors will watch for nan effect of nan incident connected nan company's outlook.

Deutsche Bank analysts said that aft "the widest IT outage successful modern history," pinch an estimated 8.5 cardinal Windows devices affected, immoderate investors whitethorn spot nan double-digit "pullback successful a high-quality banal arsenic a buying opportunity."

Among those who took CrowdStrike's driblet arsenic an chance to bargain astatine a discount: ARK Invest's Next Generation Internet ETF (ARKW), which reportedly added $8.25 cardinal successful CrowdStrike shares to its money connected Friday.