CyberArk (CYBR) Suffers a Larger Drop Than the General Market: Key Insights

Core Viewpoint - CyberArk's stock performance has shown mixed results, with a recent decline while outperforming the broader technology sector over the past month [1][2]. Company Performance - CyberArk's stock closed at $491.30, reflecting a decrease of 2.52% from the previous day, underperforming the S&P 500's loss of 0.16% [1]. - Over the past month, CyberArk's shares gained 5.9%, surpassing the Computer and Technology sector's gain of 3.34% and the S&P 500's gain of 1.14% [2]. Earnings Projections - The upcoming earnings report is projected to show earnings of $0.92 per share, indicating a year-over-year decline of 2.13%, while revenue is expected to reach $327.05 million, representing a 36.21% increase from the same quarter last year [3]. - Full-year estimates suggest earnings of $3.86 per share and revenue of $1.33 billion, reflecting year-over-year increases of 27.39% and 32.53%, respectively [4]. Analyst Estimates and Rankings - Recent adjustments to analyst estimates for CyberArk indicate a shift in business outlook, with positive revisions seen as a sign of optimism [4]. - The Zacks Rank system currently rates CyberArk as 4 (Sell), with a consensus EPS projection having decreased by 66.92% in the past 30 days [6]. Valuation Metrics - CyberArk has a Forward P/E ratio of 130.72, significantly higher than the industry average of 70.9, indicating a premium valuation [7]. - The company also has a PEG ratio of 5.38, compared to the Security industry's average PEG ratio of 2.82, suggesting a higher valuation relative to expected earnings growth [8]. Industry Context - The Security industry, part of the Computer and Technology sector, currently holds a Zacks Industry Rank of 211, placing it within the bottom 15% of over 250 industries [8].