CyberArk Shares Slide Despite Positive Outlook, Earnings Report
Portfolio Pulse from Anusuya Lahiri
CyberArk Software Ltd (NASDAQ:CYBR) reported a 37% year-on-year revenue growth for fiscal Q1 2024, reaching $221.55 million and surpassing analyst expectations. Adjusted EPS was $0.75, beating the consensus of $0.28. Despite the positive report, CYBR shares fell by 2.2%. Subscription revenues grew by 69%, while maintenance and professional services slightly declined. The company also raised its fiscal 2024 revenue and EPS outlook, expecting ARR to increase by 26%-28% by the end of 2024. CyberArk's stock is included in the First Trust NASDAQ Cybersecurity ETF (NASDAQ:CIBR) and IShares Cybersecurity And Tech ETF (NYSE:IHAK).
May 02, 2024 | 5:24 pm
News sentiment analysis
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NEGATIVE IMPACT
CyberArk exceeded Q1 fiscal 2024 expectations with significant revenue and EPS growth, yet saw a 2.2% decline in stock price post-announcement.
CyberArk's stock price decline despite surpassing earnings expectations suggests a possible market reaction to factors not directly related to the earnings report, such as broader market trends or profit-taking by investors after the announcement.
CONFIDENCE 90
IMPORTANCE 90
RELEVANCE 100
POSITIVE IMPACT
CyberArk, a component of the First Trust NASDAQ Cybersecurity ETF, reported strong fiscal Q1 2024 earnings, potentially influencing CIBR's performance.
As CyberArk is part of the CIBR ETF, its positive earnings report and raised outlook for 2024 might contribute positively to the ETF's performance, assuming CyberArk holds a significant weight within the ETF.
CONFIDENCE 75
IMPORTANCE 60
RELEVANCE 50
POSITIVE IMPACT
CyberArk's positive earnings report and outlook for fiscal 2024 could positively impact the IShares Cybersecurity And Tech ETF (IHAK), which includes CYBR.
Given CyberArk's inclusion in IHAK, its strong earnings performance and optimistic 2024 outlook could have a favorable impact on the ETF, especially if CyberArk constitutes a significant portion of the ETF.
CONFIDENCE 75
IMPORTANCE 60
RELEVANCE 50