U.S. Markets closed

CyberArk (CYBR) Dips More Than Broader Markets: What You Should Know

Zacks Equity Research
Hill-Rom (HRC) reported earnings 30 days ago. What's next for the stock? We take a look at earnings estimates for some clues.

CyberArk (CYBR) closed the most recent trading day at $83.53, moving -0.71% from the previous trading session. This move lagged the S&P 500's daily loss of 0.15%. Meanwhile, the Dow gained 0.21%, and the Nasdaq, a tech-heavy index, lost 0.81%.

Prior to today's trading, shares of the maker of software that detects attacks on privileged accounts had gained 13.48% over the past month. This has outpaced the Computer and Technology sector's gain of 5.57% and the S&P 500's gain of 6.55% in that time.

CYBR will be looking to display strength as it nears its next earnings release, which is expected to be February 14, 2019. On that day, CYBR is projected to report earnings of $0.59 per share, which would represent year-over-year growth of 43.9%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $95.78 million, up 19.17% from the year-ago period.

Investors might also notice recent changes to analyst estimates for CYBR. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. CYBR is currently a Zacks Rank #2 (Buy).

In terms of valuation, CYBR is currently trading at a Forward P/E ratio of 44.77. This valuation marks a premium compared to its industry's average Forward P/E of 44.5.

We can also see that CYBR currently has a PEG ratio of 2.69. 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. CYBR's industry had an average PEG ratio of 2.21 as of yesterday's close.

The Security industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 19, putting it in the top 8% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. 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.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
CyberArk Software Ltd. (CYBR) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research