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CyberArk (CYBR) Stock Sinks As Market Gains: What You Should Know

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CyberArk (CYBR - Free Report) closed the most recent trading day at $140, moving -0.38% from the previous trading session. This change lagged the S&P 500's daily gain of 0.39%. Elsewhere, the Dow gained 0.17%, while the tech-heavy Nasdaq added 0.34%.

Coming into today, shares of the maker of software that detects attacks on privileged accounts had gained 15.87% in the past month. In that same time, the Computer and Technology sector gained 6.58%, while the S&P 500 gained 4.73%.

Investors will be hoping for strength from CYBR as it approaches its next earnings release, which is expected to be February 12, 2020. On that day, CYBR is projected to report earnings of $0.80 per share, which would represent a year-over-year decline of 10.11%. Meanwhile, our latest consensus estimate is calling for revenue of $126.46 million, up 15.96% from the prior-year quarter.

Any recent changes to analyst estimates for CYBR should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.47% lower. CYBR is holding a Zacks Rank of #3 (Hold) right now.

Valuation is also important, so investors should note that CYBR has a Forward P/E ratio of 51.84 right now. For comparison, its industry has an average Forward P/E of 43.93, which means CYBR is trading at a premium to the group.

Investors should also note that CYBR has a PEG ratio of 3.05 right now. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Security stocks are, on average, holding a PEG ratio of 2.34 based on yesterday's closing prices.

The Security industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 120, putting it in the top 48% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual 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.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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