CyberArk Software Ltd.
Information Technology · Systems Software
Structural: PAM is the highest-trust tier of identity security - privileged credentials are the blast-radius layer attackers target first, so PAM spend is non-discretionary in regulated verticals (banking, healthcare, federal). CYBR is the entrenched leader with ~50% category share and a SaaS transition that finished in 2024, leaving ARR growth uncoupled from license recognition.
Venafi adds machine identity - every workload, container, and AI agent needs a cert - extending TAM from ~$$25B PAM to ~$$60B total identity. AI agent identity is the next structural leg: every autonomous agent needs a vaulted credential and audit trail, and CYBR is the default incumbent vendor for that workflow.
(1) ARR growth +30% YoY with net retention >115%; (2) Venafi cross-sell into PAM base barely started - machine identity attach rate <15%; (3) federal + financial PAM mandates (NIST 800-53, DORA) force renewals; (4) AI agent identity SKU launched 2025, early traction with hyperscalers; (5) operating margin inflection as SaaS mix tops 90%.
5B deal, dilutive near-term; (3) $$OKTA + $$CRWD pushing into PAM via platform consolidation; (4) federal budget cycle exposure if DOGE-style cuts hit identity spend; (5) valuation compressed vs $$CRWD but still ~12x forward sales - leaves no margin for ARR deceleration.
No major news in the last 7 days for CYBR - only listicles and opinion pieces, which we filter out by default. .