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CyberArk (CYBR) Expands Customer Base With Coca-Cola HBC

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CyberArk Software Ltd. (CYBR - Free Report) stock has demonstrated decent price performance this year so far. Year to date, CYBR has gained 15.2%, outperforming the Zacks IT Services industry’s growth of 4.6%. The company’s sustained focus on expanding its customer base has turned investors optimistic about its growth prospects.

Recently, Coca-Cola Hellenic Bottling Company (“Coca-Cola HBC”), a bottling partner of The Coca-Cola Company (KO - Free Report) , has selected CyberArk Identity Security platform. By implementing CyberArk’s privileged access management capabilities, Coca-Cola HBC will secure access across hybrid and multi-cloud ecosystems without disrupting external vendor access during transformation.

The deal with Coca-Cola HBC has been the third major deal so far in 2024 for CyberArk. Earlier this year, its Identity Security platform has been implemented by Heng Leong Hang and Indiana University Health.

CyberArk Gains From Expanding Customer Base

CyberArk is one of the biggest players in the evolving landscape of cybersecurity. The company’s solutions are based on identity security solutions, privileged access, cloud security and mitigation of sophisticated attacks using artificial intelligence.

CyberArk is a crucial security ally for more than 5,400 global businesses, including over 50% of the Fortune 500 and 35% of the Global 2000 companies. It supports healthcare, finance, energy, retail, government organizations and technology companies with its cybersecurity solutions.

Over the past few years, the company has added some of the big multinational companies to its clientele. Companies, including Cisco (CSCO - Free Report) and Accenture (ACN - Free Report) , have been using CyberArk’s security solutions to prevent cybercrimes.

CyberArk supports Cisco by providing it with privileged credential management and ISE Web UI privileged session management. Accenture has been using CYBR’s Identity Security Platform for a long time and has strengthened the platform by integrating CyberArk Privilege Cloud. Accenture deployed it in its own IT environment and across its clientele.

CyberArk’s growing customer base is aiding top- and bottom-line growth. In the latest reported financial results for the first quarter of 2024, the Identity Security solution provider’s revenues increased 37% year over year to $221.6 million. Non-GAAP earnings improved to 75 cents per share from a loss of 17 cents reported in the year-ago quarter.

The Zacks Consensus Estimate for 2024 revenues is pegged at $935.2 million, which indicates a year-over-year increase of 24.4%. The consensus mark for earnings has been revised upward to $2.04 per share, signifying a whopping 82.1% growth.


The addition of Coca-Cola HBC as a customer strengthens CyberArk's position in the market. The addition of such a prominent client to CyberArk’s portfolio demonstrates the company's ability to meet the stringent security requirements of large and complex enterprises.

CyberArk's platform, designed for dynamic enterprises, leverages intelligent privilege controls to ensure secure access for both human and machine identities, thereby protecting critical assets across diverse environments.

CyberArk is benefiting from the rising demand for cyber security and privileged access security solutions due to the long list of data breaches and increasing digital transformation strategies. Its strong portfolio and growing customer base are likely to continue driving top-line growth. These strengths position the company as a promising opportunity for long-term growth.

However, investors should wait for a better entry point for CyberArk, which currently has a Zacks Rank #3 (Hold), given the stretched valuation. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

Additionally, CyberArk’s near-term prospects might be hurt by softening IT spending. Enterprises are postponing their large IT spending plans due to a weakening global economy amid ongoing macroeconomic and geopolitical issues.

Some of the cybersecurity players have already pointed out that organizations are delaying or taking more time in finalizing deals or even rightsizing deals amid the current uncertain macroeconomic environment.

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