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CyberArk (CYBR) Beats Stock Market Upswing: What Investors Need to Know

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CyberArk (CYBR - Free Report) closed the most recent trading day at $449.93, moving +1.92% from the previous trading session. The stock's change was more than the S&P 500's daily gain of 0.62%. Elsewhere, the Dow saw an upswing of 0.99%, while the tech-heavy Nasdaq appreciated by 0.65%.

Shares of the maker of software that detects attacks on privileged accounts have depreciated by 6.19% over the course of the past month, underperforming the Computer and Technology sector's loss of 1.47%, and the S&P 500's gain of 0.59%.

The upcoming earnings release of CyberArk will be of great interest to investors. The company is forecasted to report an EPS of $1.13, showcasing a 41.25% upward movement from the corresponding quarter of the prior year. Our most recent consensus estimate is calling for quarterly revenue of $359.28 million, up 14.28% from the year-ago period.

Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $4.21 per share and revenue of $1.33 billion, indicating changes of +38.94% and 0%, respectively, compared to the previous year.

Investors should also pay attention to any latest changes in analyst estimates for CyberArk. Recent revisions tend to reflect the latest near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.

The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Currently, CyberArk is carrying a Zacks Rank of #2 (Buy).

With respect to valuation, CyberArk is currently being traded at a Forward P/E ratio of 92.26. This signifies a premium in comparison to the average Forward P/E of 53.06 for its industry.

We can also see that CYBR currently has a PEG ratio of 3.79. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. Security stocks are, on average, holding a PEG ratio of 2.74 based on yesterday's closing prices.

The Security industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 110, this industry ranks in the top 45% of all industries, numbering over 250.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.


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