CyberArk Q2 revenue beats expectations; to be acquired by Palo Alto Networks
Overview
CyberArk Q2 revenue rises 46% yr/yr, beating analyst expectations
GAAP net loss widens due to one-time tax payment related to Venafi acquisition
Co to be acquired by Palo Alto Networks in a $25 bln deal
Palo Alto to pay $45 cash and 2.2005 in stock for each CyberArk share
Outlook
CyberArk withdraws financial guidance due to pending acquisition by Palo Alto Networks
Result Drivers
IDENTITY SECURITY DEMAND - Strong demand for identity security solutions drove revenue growth, per CEO Matt Cohen
ACQUISITIONS - Revenue growth includes contributions from Venafi and Zilla Security acquisitions
SUBSCRIPTION REVENUE - Subscription revenue increased 66% yr/yr, reflecting shift towards recurring revenue models
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q2 Revenue | Beat | $328.03 mln | $315.90 mln (32 Analysts) |
Q2 Net Income | Miss | -$90.83 mln | $41 mln (32 Analysts) |
Q2 Operating Income | Miss | -$35.82 mln | $45.40 mln (32 Analysts) |
Q2 Gross Profit |
| $247.48 mln |
|
Q2 Operating Expenses |
| $283.30 mln |
|
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 38 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the software peer group is "buy"
Wall Street's median 12-month price target for Cyberark Software Ltd is $447.50, about 2.9% above its July 29 closing price of $434.48
Press Release: ID:nBw9HHghha
