Core Insights - G2 Investment Partners Management has completely exited its position in CyberArk Software Ltd., selling 27,578 shares, resulting in an estimated $11.2 million decrease in reportable holdings [2][7]. Company Overview - CyberArk Software Ltd. is a leader in privileged access management and identity security, focusing on protecting critical assets in hybrid and cloud environments [5]. - The company has a market capitalization of $23.1 billion and reported revenue of $1.3 billion for the trailing twelve months (TTM) [4]. - CyberArk's net income for the TTM is reported at a loss of $226.9 million [4]. Financial Performance - In the third quarter, CyberArk generated $342.8 million in revenue, reflecting a 43% year-over-year increase [9]. - The company achieved record net new annual recurring revenue (ARR) of $68 million, bringing total ARR to $1.34 billion, which is a 45% increase from the previous year [9]. Market Position - As of the latest market close, CyberArk's shares were priced at $458.59, representing a 44% increase over the past year, significantly outperforming the S&P 500's 14% gain during the same period [3]. - The company serves a diverse range of sectors, including financial services, healthcare, manufacturing, energy, and government, with a global customer base [5]. Strategic Insights - The exit by G2 Investment Partners may indicate a shift in risk or valuation preferences, particularly in light of CyberArk's pending acquisition by Palo Alto Networks and its transition to a subscription-heavy model [6]. - Despite the sale, CyberArk's fundamentals remain strong, with continued growth in subscription ARR, suggesting that the portfolio rebalancing does not signal inherent weakness in the company's business [9].

Core Viewpoint - CyberArk (CYBR) has experienced a significant downtrend, with a 14.8% decline over the past four weeks, but it is now in oversold territory, suggesting a potential turnaround due to improved earnings expectations from analysts [1]. Group 1: Technical Analysis - The Relative Strength Index (RSI) is a key technical indicator used to identify oversold conditions, with a reading below 30 typically indicating that a stock is oversold [2]. - CYBR's current RSI reading is 26.56, indicating that the heavy selling pressure may be exhausting, which could lead to a price rebound as the stock seeks to return to its previous equilibrium [5]. Group 2: Fundamental Analysis - There is strong consensus among sell-side analysts regarding an increase in earnings estimates for CYBR, with the consensus EPS estimate rising by 732.7% over the last 30 days, suggesting potential price appreciation in the near term [7]. - CYBR holds a Zacks Rank 2 (Buy), placing it in the top 20% of over 4,000 ranked stocks based on earnings estimate revisions and EPS surprises, further indicating a potential turnaround [8].

Group 1 - Maven Securities initiated a new equity stake in CyberArk Software Ltd. by adding 15,000 shares valued at approximately $6.5 million [2][6] - This new position represents 1.5% of Maven's reportable assets under management, outside its top five holdings [3][6] - As of November 19, 2025, CyberArk shares were priced at $475.67, reflecting a 51% increase over the past year, outperforming the S&P 500 by 43 percentage points [3][4] Group 2 - CyberArk Software Ltd. reported a total revenue of $1.30 billion and a net income of -$227 million for the trailing twelve months [4] - The company specializes in privileged access management, endpoint security, cloud entitlements, and identity management solutions, serving various sectors including financial services, healthcare, and government [8][9] - CyberArk's acquisition by Palo Alto Networks was approved by shareholders, with the deal valuing CyberArk at $25 billion, while it was trading at a $22 billion valuation at the time of the announcement [10]

Core Insights - CyberArk Software Ltd. reported better-than-expected quarterly results with expanding subscription revenue, indicating strong business fundamentals despite acquisition-related costs impacting free cash flow ahead of its merger with Palo Alto Networks [1] Financial Performance - CyberArk's revenue reached $342.8 million, operating profit was $64.8 million, and EPS was $1.20, surpassing estimates of $338.3 million, $54.3 million, and $1.04 respectively [2] - Subscription revenue increased by 60% year-over-year to $280.1 million, now accounting for 82% of total revenue, while total recurring revenue rose 46% year-over-year to $326.3 million, representing 95% of total revenue [3] Free Cash Flow - Free cash flow was reported at $42.4 million with a 12% margin, below estimates of $66.3 million and a 20% margin; adjusted for acquisition-related costs, FCF improved to $51.3 million, or a 15% margin [4] Annual Recurring Revenue (ARR) - Total annual recurring revenue (ARR) was $1.341 billion, up 45% year-over-year, exceeding expectations of $1.334 billion; total net new ARR (NNARR) was $67 million, a 16% increase year-over-year [5] - Subscription ARR stood at $1.16 billion, representing 86% of total ARR, up 58% year-over-year, while subscription NNARR reached $70 million, up 21% year-over-year [6] Updated Forecasts - D.A. Davidson updated its 2025 and 2026 estimates, projecting 2025 EPS of $4.48 and revenue of $1.36 billion, increasing to $5.56 EPS and $1.58 billion in revenue for 2026 [7]

Group 1 - CyberArk Software Ltd. reported third-quarter revenue of $342.8 million, a 43% year-over-year increase, surpassing the consensus estimate of $328 million [1] - Adjusted earnings per share for the quarter were $1.20, reflecting a 28% increase from $0.94 a year ago, exceeding expectations of $0.93 [1] - The company achieved record net new annual recurring revenue (ARR) of $68 million for the quarter, marking a 16% year-over-year increase [2] Group 2 - Total ARR increased by 45% to $1.34 billion, indicating strong momentum in CyberArk's transition to a subscription-based business model [2] - The strong quarterly results come as CyberArk prepares for its merger with Palo Alto Networks, which is expected to enhance market reach and capitalize on the growing demand for identity security solutions [3]

Core Insights - CyberArk's stock performance has lagged behind major indices, with a recent decline of 2.12% to $507.98, while the S&P 500 lost 1.17% [1] - The upcoming earnings report is anticipated to show a decline in earnings per share (EPS) by 2.13% year-over-year, with projected revenue increasing by 36.21% [2] - For the full year, analysts expect a significant increase in both EPS (+27.39%) and revenue (+32.53%) compared to the previous year [3] Financial Performance - CyberArk is projected to report earnings of $0.92 per share and revenue of $327.05 million in the upcoming quarter [2] - The Zacks Consensus Estimates for the full year suggest earnings of $3.86 per share and revenue of $1.33 billion [3] Analyst Sentiment - Recent changes in analyst estimates are crucial as they reflect short-term business trends, with positive revisions indicating optimism [4] - The Zacks Rank system, which evaluates these estimate changes, currently ranks CyberArk as 4 (Sell) [6] Valuation Metrics - CyberArk has a Forward P/E ratio of 134.6, significantly higher than the industry average of 74.85 [6] - The company also has a PEG ratio of 5.54, compared to the Security industry's average PEG ratio of 2.92 [7] Industry Context - The Security industry is part of the Computer and Technology sector, which has a Zacks Industry Rank of 163, placing it in the bottom 35% of over 250 industries [7][8] - Historical data indicates that top-rated industries outperform lower-rated ones by a factor of 2 to 1 [8]

Company Performance - CyberArk's stock increased by 1.54% to $519.81, outperforming the S&P 500's gain of 1.23% on the same day [1] - Prior to the recent trading session, CyberArk shares had risen by 6.55%, exceeding the Computer and Technology sector's gain of 3.49% and the S&P 500's gain of 2.45% [1] Upcoming Earnings - The upcoming earnings release is anticipated, with projected earnings per share (EPS) of $0.92, indicating a 2.13% decrease from the same quarter last year [2] - Quarterly revenue is expected to be $327.05 million, reflecting a 36.21% increase from the previous year [2] Fiscal Year Projections - For the entire fiscal year, earnings are projected at $3.86 per share and revenue at $1.33 billion, representing increases of 27.39% and 32.53% respectively from the prior year [3] - Recent changes in analyst estimates suggest a positive outlook for the company's business and profitability [3] Analyst Ratings and Valuation - CyberArk currently holds a Zacks Rank of 5 (Strong Sell), with a recent 0.9% increase in the Zacks Consensus EPS estimate over the last 30 days [5] - The company has a Forward P/E ratio of 132.77, which is significantly higher than the industry's Forward P/E of 72.76 [6] - CyberArk's PEG ratio stands at 5.46, compared to the Security industry's average PEG ratio of 2.87 [7] Industry Context - The Security industry, part of the Computer and Technology sector, ranks 209 in the Zacks Industry Rank, placing it in the bottom 16% of over 250 industries [8] - Research indicates that the top 50% rated industries outperform the bottom half by a factor of 2 to 1 [8]

Core Insights - Nepsis Inc. has fully exited its position in CyberArk Software, selling 34,236 shares for an estimated $13.93 million in Q3 2025, reducing its exposure to zero [1][2][9] Company Overview - CyberArk Software has a market capitalization of $25.59 billion and reported a revenue of $1.20 billion for the trailing twelve months (TTM) [4] - The company has a net income of -$165.37 million for the TTM [4] - As of October 23, 2025, CyberArk's share price was $507.04, reflecting a 75.5% increase over the past year [3][4] Business Model - CyberArk specializes in privileged access management, identity and access management, endpoint security, and cloud entitlement solutions, focusing on software-based and SaaS offerings [5][6] - The company serves a diverse customer base across various sectors, including financial services, healthcare, technology, and government [5][6] Financial Performance - CyberArk's share price has tripled over the last two years, currently trading at 21 times sales, indicating a high valuation [9][10] - The management aims to grow free cash flow to $600 million by 2028, which would imply a valuation of 43 times future free cash flow [10] Market Context - The cybersecurity sector is experiencing significant demand, with 93% of businesses reporting security-related breaches in the past year, highlighting the essential nature of CyberArk's offerings [11] - CyberArk has achieved a 44% annual growth rate in its annual recurring revenue over the last five years, suggesting potential for continued growth [12]

Core Insights - The third-quarter earnings season is gaining momentum, with investors focusing on companies that consistently outperform Wall Street forecasts and achieve stock gains post-report [1] Group 1 - Historical data indicates a trend where companies that exceed earnings expectations tend to see positive stock performance following their earnings reports [1]

Core Insights - CyberArk has been recognized as a Leader in the 2025 Gartner® Magic Quadrant for Privileged Access Management for the seventh consecutive time, highlighting its strong position in the market [1] - The company is positioned furthest in Completeness of Vision, indicating its commitment to shaping the future of privilege access management (PAM) [1] Company Summary - CyberArk is identified as the global leader in identity security, emphasizing its expertise and influence in the industry [1] - The recognition from Gartner reflects CyberArk's ongoing innovation and strategic direction in the PAM sector [1]