CrowdStrike and Fortinet Flash Overbought Warning Signs

Two of the most closely watched names in cybersecurity are drawing caution from momentum-focused investors. Benzinga reported Thursday that both Fortinet Inc. (NASDAQ: FTNT) and CrowdStrike Holdings Inc. (NASDAQ: CRWD) are exhibiting overbought RSI signals as of May 22.

What the RSI Is Telling Traders

The Relative Strength Index measures a stock’s upside momentum against its downside movement over a given period. Readings above 70 are the conventional threshold for overbought conditions. Both Fortinet and CrowdStrike have now crossed that level. Fortinet’s RSI sits at a notably elevated 87.3. Momentum scores that extreme often precede short-term pullbacks, though they do not guarantee them.

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Fortinet’s Blowout Quarter Drove the Surge

Fortinet’s sharp run-up follows a strong first-quarter earnings report on May 6. The company exceeded its own guidance range and issued second-quarter targets above Wall Street’s expectations. Ken Xie, founder, chairman and CEO of Fortinet, described the results as reflecting broad-based demand across both product lines and geographies. Shares have climbed roughly 52% over the past month alone. The stock hit a 52-week high of $130.36 and closed Thursday near that level before pulling back slightly. Fortinet’s edge momentum score is registered at 89.70, while its value score sits at a much lower 1.67, suggesting the market has priced in significant growth expectations.

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CrowdStrike Holds Analyst Confidence Despite Stretched Valuation

CrowdStrike’s situation is somewhat different. Michael Turrin, analyst at Wells Fargo, maintained an Overweight rating on the stock as recently as May 21. That vote of confidence reflects strong underlying fundamentals in the endpoint security market. Yet the RSI reading still flags short-term overextension. CRWD shares were trading near $649.70 at last check, up a fraction on the day.

Background: Cybersecurity Stocks Have Led the 2026 Tech Rally

The broader context matters here. Cybersecurity has been among the strongest subsectors in information technology this year. Enterprise spending on threat detection and network security has remained resilient even as other software categories faced budget pressure. That tailwind has powered both FTNT and CRWD well above their year-ago levels. Momentum chasers helped accelerate those moves in recent weeks, which is precisely what the elevated RSI figures are capturing.

Overbought conditions can persist for extended periods during strong bull runs. Even so, traders using RSI as a primary entry-and-exit signal will likely treat both stocks with increased caution until readings normalise.

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