Strong revenue growth
CyberArk’s (CYBR) stock returns have increased multifold since its IPO back in 2014. What’s boosted its stock price?
CyberArk’s revenue grew 39% compounded annually from $66 million in 2013 to $343 million in 2018, while its non-GAAP operating income grew 58.5% compounded annually from $9 million to $90 million.
Leads its market
CyberArk claims to lead the privileged access security market, and this has been verified by Gartner. Other leaders include CA Technologies, BeyondTrust, and Centrify.
CyberArk has over 4,600 clients globally and services over 50% of Fortune 500 companies, claiming 20 of the top 25 manufacturers as clients. It also services 18 of the top 25 telecom companies, 22 of the top 25 IT service companies, 20 of the top 25 insurance companies, 21 of the top 25 banks, and 17 of the top 25 energy companies. Its top customers include ING, Vodafone (VOD), American Electric Power, ConAgra Foods, Union Bank, and Manulife Financial.
CyberArk’s impressive stock returns may also be due to its earnings beats. In the first quarter, the company’s EPS of $0.56 were 36.6% higher than analysts’ estimate of $0.41. It also beat their earnings estimate by 50.8% in the fourth quarter, 77.8% in the third quarter, and 50.0% in the second quarter.