This cybersecurity play that's up more than 40% in 2025 has room to run, managing partner says
CrowdStrike and Microsoft shares have had a solid start to 2025, and further upside is still ahead for both names, according to Key Advisors Group co-founder and CEO Eddie Ghabour. Ghabour, who is also managing partner at the firm, joined CNBC's " Power Lunch " on Tuesday to give his thoughts on those stocks, as well as why he thinks Tesla could be poised for a breakout. CrowdStrike Shares gained about 2% on Tuesday and touched an all-time high ahead of the cybersecurity company's first-quarter earnings, which are due after the bell. "Cybersecurity is gonna be huge, and I think they're going to have a revenue beat," Ghabour said. "If you don't own it, I would be comfortable putting a position on now and then the other half of that position post-earnings, in case of a big move." Shares are up 42% in 2025. CRWD YTD mountain CrowdStrike stock in 2025. "Cybersecurity demand over the next decade...I can't think of another business that's going to have more natural demand than this because of the threat to companies," he added. "The outlook is really strong for this name." Microsoft Ghabour said that Microsoft will likely emerge as a top performer in the Magnificent Seven in 2025, after being a laggard in the cohort last year. In its fiscal third quarter , Microsoft beat on the top and bottom lines, but the software giant also saw its Azure revenue grow 33% — with 16 points of this growth associated with artificial intelligence. "They're still continuing to invest in AI, so we really like Microsoft to be a big winner in 2025," Ghabour said. MSFT YTD mountain Microsoft stock in 2025. Shares were near the flatline on Tuesday. The stock has climbed nearly 10% in 2025. Tesla Tesla CEO Elon Musk's exit from the Trump administration should allow the electric vehicle stock to potentially regain its December highs by the end of the summer, Ghabour said. "I think one of the best things for us shareholders is Elon leaving DOGE and focusing really back on his business, and I think they're being rewarded," he said, referring to the Department of Government Efficiency. TSLA YTD mountain Tesla stock in 2025. The electric vehicle company's sales have taken a hit amid Musk's involvement in the political sphere. Still, Ghabour thinks Tesla's efforts on robotics and artificial intelligence are a strong enough tailwind to overshadow EV weakness. "I think too many people are focused on car sales. This is not a car company. This is an AI play, so you have to look at it a little bit differently instead of focusing on that fundamental breakdown and look at the big picture," he said. Shares were marginally higher Tuesday, but are off nearly 15% in 2025.
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