Imperva Inc(NASDAQ:IMPV) is making headlines after Evercore ISI’s analyst Ken Talanian said in a report that the company might become a takeover target in the future. The analyst issued the note after Thoma Bravo announced its intention to buy Barracuda Networks (NASDAQ: CUDA) for $1.6 billion. Barracuda makes security solutions for Cloud apps and software. Major companies are Barracuda’s clients, including Boeing, Microsoft and the U.S. Department of Defense. Evercore’s report says that Imperva has high chances of getting a buyout offer in 2018 as the company is operating successfully in the cybersecurity sector. This sector is thriving amid major hacking attacks around the world. Companies and public sectors are ready to pay a fortune to increase defense of their digital assets, which makes Imperva stock a promising choice.
Investment firm Oppenheimer recently reiterated a “Buy” rating for the stock. The firm has a price target of $55 for Imperva stock. Imperva is a cybersecurity company based in California. The company is operating in an industry which is set for explosive growth. According to an estimate, total market worth of the cybersecurity sector is expected to increase to $232 billion by the end of 2022. Imperva’s quarterly results have been strong. In July, the company posted better-than-expected second quarter results, posting a revenue of $74.4 million. In October, Imperva announced preliminary third quarter results that were better than the high-end guidance of both revenue and profitability provided by the company back in July.
But earlier this month, Imperva reported a Q3 loss of $0.33 per share, versus, while revenue in the quarter came in at $83.9 million, versus the consensus estimate of $83.13 million. In the fourth quarter, Imperva expects to earn $0.24-$0.29 per share. Revenue in the fourth quarter is expected to total $89.2-92.2 million. For full year 2017, Imperva is expected to earn $0.90-$0.95 per share, while the company is eyeing a revenue of $319.8-322.8 million.
Earlier this year, Evercore added Imperva to its SMID Core ideas list. The firm said in its report that Imperva is a marker leader in the industry of web firewalls. Web firewalls are going to be in high demand because they form the best line of defense against DDoS attacks. DDoS attacks are getting really common around the world as these attacks are the easiest to initiate and execute.
Taken from https://seekingalpha.com/article/4106802-search-growth-imperva?page=2
Imperva stock is up 8% since the start of the year.