Scalper1 News
CyberArk Software ( CYBR ) stock lifted Thursday on a bullish report from Imperial Capital that sees an 8% upside to the privileged account manager’s Q1 earnings, posted early this month, driven by increased cross-selling opportunities and broader greenfield adoption. Imperial Capital analyst Michael Kim kept his in-line rating on CyberArk stock, but boosted his price target to 45 from 41. In early afternoon trading on the stock market today , CyberArk stock was up 2%, near 42, and touched a six-week high at 42.94. But shares are 16% off a 2016 high of 49.56, achieved Jan. 22. The lift defied a fractional decline in IBD’s 26-company Computer Software-Security industry group. Shares of Imperva ( IMPV ), FireEye ( FEYE ), Check Point Software Technology ( CHKP ) and Symantec ( SYMC ) were all down more than 1% apiece Thursday afternoon. “At current levels, we think CyberArk shares offer balanced risk/reward,” Kim wrote in a research report. “Investors could become more constructive as the company gains greater scale and broader adoption of its new offerings.” Kim expects less volatile near-term license revenue growth and margin expansion. But he cut his 2017 earnings per share minus items view to $1.14 from $1.16 on expected investments in growth. Wall Street models $1.13, up 23% above 2016 views for 92 cents. CyberArk still has runway to add new customers, Kim wrote. During Q1, CyberArk added 100 new customers, bringing the company’s installed base to 2,600. Nearly a third of new customers added three or more products, “highlighting the company’s broadening cross-selling and up-selling opportunities.” In Q1, CyberArk also doubled its sales in its government, health care, retail, media and education segments. License revenue grew 38% vs. the year-earlier quarter, trailing 50% growth in the maintenance and professional services business. Scalper1 News
Scalper1 News