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

Zacks Equity Research

CyberArk (CYBR) closed the most recent trading day at $104.80, moving -0.02% from the previous trading session. This change lagged the S&P 500's daily gain of 1.42%. Elsewhere, the Dow gained 1.42%, while the tech-heavy Nasdaq added 1.4%.

Prior to today's trading, shares of the maker of software that detects attacks on privileged accounts had lost 9.56% over the past month. This has lagged the Computer and Technology sector's gain of 1.95% and the S&P 500's gain of 0.38% in that time.

Wall Street will be looking for positivity from CYBR as it approaches its next earnings report date. The company is expected to report EPS of $0.47, down 2.08% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $103.02 million, up 21.71% from the year-ago period.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $2.29 per share and revenue of $421.78 million. These totals would mark changes of +11.17% and +22.9%, respectively, from last year.

Investors should also note any recent changes to analyst estimates for CYBR. These recent revisions tend to reflect the evolving nature of short-term business trends. 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. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

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. Over the past month, the Zacks Consensus EPS estimate has moved 0.04% higher. CYBR is currently sporting a Zacks Rank of #2 (Buy).

Looking at its valuation, CYBR is holding a Forward P/E ratio of 45.86. This represents a premium compared to its industry's average Forward P/E of 38.44.

We can also see that CYBR currently has a PEG ratio of 2.86. 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 2.25 as of yesterday's close.

The Security industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 106, putting it in the top 42% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our 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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