Shares of RSA Security ( RSAS) bounced Thursday after an analyst raised his rating from neutral to outperform.

In recent trading, shares were up $1.10, or 7.3%, to $16.20.

Baird analyst Steven Ashley wrote that the upgrade was based on above-average growth predictions for the recently-acquired Cyota , which makes security software for financial institutions. Many banks are now in the process of reassessing security for online banking at the request of the Federal Financial Institutions Examination Council, and Cyota has a strong "first-mover advantage."

"Cyota's 'network based' solution offers banks a behind-the-scenes solution that is invisible to customers, easier to implement and maintain, and helps thwart new anti-fraud thefts," Ashley wrote. "This is why VeriSign ( VRSN) and Symantec ( SYMC) recently announced plans to launch similar network-based solutions, and we would expect McAfee ( MFE) to do the same at some point."

We "believe Cyota will become the key growth driver for RSA," Ashley wrote.

Ashley also noted that RSA Security recently hired new executives to its senior management team and should have an up-tick in token renewals for the second half of the current year. He bumped up his price target from $16 to $19.

Baird does not permit its analysts to own stock in companies they cover.