New CEO Brings Needed Sales Experience To Imperva
Imperva's Valuation May Not Be So Ridiculous
Stephen Simpson, CFA
Stephen Simpson, CFA
Imperva: Growth Investments Are Setting The Stage For Meaningful Profits
Helix Investment Research
Helix Investment Research
Tue, Jun. 21, 3:00 PM
Tue, Jun. 21, 12:48 PM
Mon, Jun. 20, 5:58 PM
- Imperva (NYSE:IMPV) +9.2% AH after Paul Singer's Elliott Associates reported a 9.8% stake in the company and said it initiated a dialogue with the company about strategic and operational opportunities.
- Elliott says it believes IMPV is materially undervalued and operates in a highly strategic area of the technology industry with an attractive competitive position and compelling product set in the web application firewall and database activity monitoring markets.
- The news comes after Elliott last week launched an activist campaign at LifeLock.
Mon, Jun. 20, 5:36 PM
Thu, May 26, 5:46 PM
- Several security tech names are selling off after next-gen firewall leader and cybersecurity poster child Palo Alto Networks (PANW - down 9.4%) offered in-line guidance (below consensus at the midpoints) to go with an FQ3 sales beat and in-line EPS, disappointing investors accustomed to seeing Palo Alto provide above-consensus sales guidance with its results.
- Palo Alto's billings rose a solid 61% Y/Y in FQ3, nearly on par with FQ2's 62% growth and outpacing revenue growth of 48%. Product revenue rose 33%, and services revenue (boosted by subscription offerings such as WildFire) 63%. EPS was pressured by a 50% Y/Y increase in GAAP operating expenses to $309.5M.
- FireEye (NASDAQ:FEYE) is down 2% after hours. CyberArk (NASDAQ:CYBR) is down 2.4%. Imperva (NYSE:IMPV) is down 1.7%. Fortinet (NASDAQ:FTNT) is down 1.5%.
- ETF: HACK
Fri, May 6, 12:45 PM
Fri, May 6, 10:52 AM
- Though Imperva (IMPV -27.2%) beat Q1 EPS estimates and posted roughly in-line revenue, it's guiding for Q2 revenue of $65.5M-$66.5M and EPS of -$0.02 to -$0.04 vs. a consensus of $70.3M and -$0.04.
- Full-year guidance is for revenue of $304M-$307M and EPS of $0.23-$0.29 vs. a consensus of $305.3M and $0.21.
- On the earnings call, CFO Terrence Schmid said the Q2 outlook "reflects our belief that the underperformance in Europe will continue at least through Q2." He adds Imperva thinks "engaging with our key channel partners to drive higher [web application firewall] sales will also not yield a significant improvement until the second half of 2016." CEO Anthony Bettencourt says the European problems are due to leadership issues that have been addressed.
- Product revenue rose 22% Y/Y in Q1 to $20.8M, and service/subscription revenue 41% to $38.9M. $100K+ deals rose by 30% to 118, and GAAP operating expenses rose 29% to $71M. The deferred revenue balance rose by 29% to $108.1M. Imperva ended Q1 with $259M in cash and no debt.
- Needham's Scott Zeller has downgraded Imperva to Hold. "two issues blunted [Q1] and are pressuring CY16, (a) the 'ease of sale' of Database and Incapsula distracted sales from Web App Firewall deals, and (b) EMEA sales disappointed, leading to a mgmt. change. While we do not believe IMPV is seeing tougher competition, we are concerned that license growth is anemic." He adds full-year guidance is now back-end loaded.
- Imperva's Q1 results, earnings release
Thu, May 5, 5:35 PM
Thu, May 5, 4:19 PM
Wed, May 4, 5:35 PM
- ABCO, ABTL, ACAD, ACET, AHS, AHT, AIRM, AL, ALEX, AMBR, AMH, ANET, APLE, ASYS, ATHX, ATVI, ATW, BBG, BCEI, BIO, BIOS, BLDR, BOJA, CAA, CARA, CERN, CINR, CLNE, CLVS, CMLS, CPA, CTRL, CYBR, CZR, DATA, DCT, DEPO, DIOD, DK, DKL, DV, DWA, EBS, ECOM, ED, EFC, EGAN, EGL, EGN, EGY, ELON, ENDP, ENV, EOG, ERII, ESL, EVC, EVDY, EVHC, FCE.A, FEYE, FISV, FLR, FPRX, FTD, GBDC, GEOS, GERN, GPRO, GSAT, GST, GUID, GXP, HLF, HTGC, ICPT, IMMR, IMPV, INAP, JCOM, LADR, LOCO, MAIN, MCHX, MDR, MDRX, MDVN, MELI, MHK, MITT, MNTX, MRIN, MSI, MTD, MTZ, NBIX, NGVC, NSTG, NWSA, OLED, OMED, OUT, OVAS, PACD, PCTY, PEGA, PETX, PKI, PMT, POST, PRSS, PTCT, PTLA, QLGC, RPTP, RRMS, RWT, SAAS, SEM, SEMG, SNCR, SPPI, SPWR, SPXC, SQ, SSNC, SWIR, TCRD, TEAM, TRMR, TRUE, TRQ, TRUP, TSRO, TWOU, UBNT, UEPS, UNXL, WAGE, WAIR, WEB, WIFI, WING, XNPT, Y, YELP
Mon, Feb. 8, 2:37 PM
- Many tech stocks are seeing 6%+ losses as investors flee to safety yet again. The Nasdaq is down 3.4%, and the S&P 2.7%.
- As was the case on Friday following Tableau and LinkedIn's disappointing guidance, a slew of enterprise tech stocks are seeing big losses, with cloud software and security tech names well-represented on the casualty list.
- Also: Solar stocks are having another brutal day (TAN -6.7%) as energy stocks get routed amid fears Chesapeake Energy is close to bankruptcy. WTI crude oil is once more near $30/barrel.
- Enterprise software decliners: Adobe (ADBE -9.6%), Paylocity (PCTY -19.1%), Salesforce (CRM -9.9%), Workday (WDAY -12%), Guidewire (GWRE -12.5%), ServiceNow (NOW -11.5%), Zendesk (ZEN -13.8%), Paycom (PAYC -13.4%), Marin Software (MRIN -10.3%), Castlight (CSLT -8.4%), Cornerstone OnDemand (CSOD -12.1%), Atlassian (TEAM -13.2%), inContact (SAAS -9.6%), and Bazaarvoice (BV -14.5%).
- Enterprise security decliners: Palo Alto Networks (PANW -12.2%), FireEye (FEYE -9.8%), CyberArk (CYBR -11.5%), Proofpoint (PFPT -12.7%), Qualys (QLYS -8.9%), Imperva (IMPV -9.7%), Rapid7 (RPD -9.4%), and Barracuda (CUDA -8.4%).
- Solar decliners: SunEdison (SUNE -11.3%), SunPower (SPWR -8.8%), JinkoSolar (JKS -7.6%), SolarEdge (SEDG -7.9%), Yingli (YGE -7.1%), TerraForm Power (TERP -10.7%), and TerraForm Global (GLBL -9.2%).
- Other major decliners: Micron (MU -9.1%), Western Digital (WDC -10.5%), Arista (ANET -10.9%), Universal Display (OLED -10.6%), Rackspace (RAX -11.3%), Fitbit (FIT -8.7%), Nimble Storage (NMBL -11.3%), Sierra Wireless (SWIR -9.9%), Rocket Fuel (FUEL -9.8%), Knowles (KN -9%), Mitel (MITL -8.9%), and Alarm.com (ALRM -8.9%).
- Previously covered: Yelp, Cognizant, Tableau, Globant, Ambarella, European tech stocks
Fri, Feb. 5, 11:01 AM
- A long list of enterprise software and security tech names are off sharply after business intelligence/analytics software upstart Tableau (down 45.3%) reported slower-than-expected license revenue growth and issued below-consensus Q1/2016 guidance.
- Also possibly weighing: LinkedIn (down 39.6%), which derives a large % of its revenue from cloud-based recruiting and sales tools for enterprises, issued weak Q1/2016 guidance.
- Given the magnitude of the drops, margin calls and forced selling by funds could be playing a big role. The Nasdaq is down 2.2%.
- Tableau suggested its growth slowdown has to do with softening IT spend and a need to improve sales productivity, but analysts have raised questions about competition from the likes of Microsoft, Amazon, and Qlik. LinkedIn forecast a growth slowdown for its field sales hiring solutions business, while blaming European/Asian macro pressures. The company also noted its display ad business continues declining amid weak industry growth.
- Major enterprise software decliners include Splunk (SPLK -23.7%), Workday (WDAY -15.1%), Adobe (ADBE -7%), Zendesk (ZEN -15.2%), ServiceNow (NOW -13.6%), NetSuite (N -12.4%), Salesforce (CRM -11.2%), Paycom (PAYC -10.6%), Ellie Mae (ELLI -11.5%), Cornerstone OnDemand (CSOD -7.8%), Veeva (VEEV -7.7%), Ultimate Software (ULTI -9%), Luxoft (LXFT -7.5%), Manhattan Associates (MANH -8.5%), Box (BOX -6.6%), Guidewire (GWRE -13.6%), Demandware (DWRE -9.3%), Hortonworks (HDP -9.7%), and Tableau rival Qlik (QLIK -16.6%). The casualty list includes many cloud software firms, as well as several analytics software plays. Previously covered: New Relic, Atlassian.
- Major decliners among security tech firms: Palo Alto Networks (PANW -12%), FireEye (FEYE -8.9%), Rapid7 (RPD -8.6%), CyberArk (CYBR -8.3%), Proofpoint (PFPT -8%), Imperva (IMPV -8.3%), Fortinet (FTNT -6.9%), and Vasco (VDSI -5.1%). The selloff comes in spite of an FQ3 beat and in-line FQ4 guidance from Symantec, which has been losing share to various upstarts.
Thu, Feb. 4, 9:19 AM
- Gainers: VHC +89%. GLUU +21%. OCLS +18%. WFT +12%. ATNY +11%. SEDG +11%. PETX +10%. SVA +9%. ING +9%. TTWO +8%. SBH +8%. GRUB +7%. VALE +7%. HMY +7%. CDNS +6%. CDE +6%. SBGL +6%. GSH +5%. AUY +5%. VIAB +5%. RIO 5%.
- Losers: PPP -16%. KSS -15%. GPRO -15%. IMPV -13%. CS -13%. PACB -13%. RL -9%. AZN -7%.
Wed, Feb. 3, 6:17 PM
- Though Imperva (NYSE:IMPV) beat Q4 estimates, the company is guiding for Q1 revenue of $58M-$60M and EPS of -$0.26 to -$0.32 vs. a consensus of $59.8M and -$0.12.
- Full-year guidance is mixed: Revenue of $302M-$307M and EPS of $0.17-$0.23 vs. a consensus of $290.2M and $0.31.
- No explanation is given in the earnings release for the soft Q1 outlook. Product revenue rose 38% Y/Y in Q4 to $36.1M, and services revenue 45% to $36.6M; the latter was aided by a 105% increase in subscription revenue to $14.9M.
- GAAP operating expenses rose 23% Y/Y to $64.6M. 2015 free cash flow (lifted by subscription/services growth) was $15.8M in spite of a $19M net loss. Q4 $100K+ deals and new customer adds respectively totaled 165 and 228 vs. 143 and 245 a year ago; total customer count is now above 4,500.
- Imperva has dropped to $42.07 after hours.
- Imperva's Q4 results, earnings release
Wed, Feb. 3, 5:38 PM
Wed, Feb. 3, 4:08 PM
Imperva, Inc. provides business security solutions. It also offers on-demand cloud-based security services which provide cost-effective web application security, web site acceleration and denial of service protection. The company was founded by Shlomo Kramer, Amichai Shulman and Michael Boodaei... More
Industry: Application Software
Country: United States
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