CyberArk Stock Rises After Treasury Department Hack Hits Rival | Global News Avenue

Cyber ​​Ark Software (CYBR) shares rose on Thursday after analysts said the company would benefit from an acquisition by rival BeyondTrust. hacked Actor sought access by Chinese state-sponsored U.S. Treasury Department system.

CyberArk and BeyondTrust are competitors in the privileged access management (PAM) space, but the hack, which the Treasury Department reported in a letter to Congress on Monday, “is likely to make CyberArk the U.S. government’s preferred choice.” PAM Provider”. Morgan Stanley analysts said in a note on Tuesday.

Treasury hack could boost CyberArk’s market share

Analysts say CyberArk holds 38% of the PAM market, while BeyondTrust has 17%. They wrote that the Treasury Department’s move to CyberArk after the hack would be a tailwind for the company in the coming years, “further solidifying[its]dominance in the space.”

However, despite the potential boost, Morgan Stanley remains generally dovish on the outlook. The company holds an “equal weight” rating and $316 price targetnearly 7% below Thursday afternoon’s level of $338.28.

CyberArk shares rose a further 1.5% intraday on Thursday after rising 4% on New Year’s Eve, taking them up 52% ​​in 2024.