CyberArk Software (CYBR) shares are overvalued with a Value Score of F and trading at a premium compared to the Computer & Technology sector. The 12-month Price/Sales (P/S) of 12.81X is higher than the sector’s 6.59X. CyberArk’s traction in identity security shows strong growth potential with $1.17 billion in ARR in fiscal 2024.

CyberArk drives growth through key alliances with Accenture and AI integration, offering comprehensive identity security solutions. Strategic partnerships with Microsoft, Amazon’s AWS, and Google Cloud enhance CyberArk’s ability to secure cloud environments. CyberArk’s stock has outperformed the sector year to date, reflecting strong market performance.

CyberArk’s innovative cybersecurity portfolio and collaborations position it well in the identity security space, making it a strong buy. The company’s high-margin operational model justifies its premium valuation. CyberArk currently holds a Zacks Rank #1 (Strong Buy) and is expected to see continued growth in revenues and bottom line in 2025.

Read more at Nasdaq: CYBR Stock Trades at a P/S of 12.81X: Should You Buy, Sell or Hold?