NEW YORK (TheStreet) -- Shares of Imperva (IMPV) - Get Imperva, Inc. Report are jumping 11.77% to $45.20 on heavy trading volume Tuesday afternoon after Elliott Management launched a late-day activist campaign at the Redwood City, CA-based cyber security solutions company.
The New York-based firm said it has initiated a dialogue with the company as it believes Imperva is materially undervalued. Elliott also said the company operates in a highly strategic area of the technology industry with an attractive competitive position and compelling product set, according to a securities filing.
Additionally, the firm indicated Imperva may be a target for M&A, saying there are both "strategic and operational opportunities" for the issuer that would meaningfully boost value to shareholders.
Last week, Elliott launched a campaign at identity theft protection company LifeLife (LOCK).
About 1.61 million of the company's shares changed hands so far today vs. its average volume of 695,982 shares per day.
Separately, TheStreet Ratings Team has a "Sell" rating with a score of D on the stock.
The company's weaknesses can be seen in multiple areas, such as its unimpressive growth in net income, weak operating cash flow and generally disappointing historical performance in the stock itself.
Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this article's author.
You can view the full analysis from the report here: IMPV