NEW YORK (TheStreet) -- Shares of Imperva Inc (IMPV) were climbing by 0.02% to $63.95 in pre-market trading Tuesday, after analysts at Piper Jaffray raised their price target on shares of the company this morning.
The firm issued a higher price target of $80 from $66, while maintaining its "overweight" rating.
Piper Jaffray named Imperva its top pick for the second half of the year, citing near-term catalysts.
Analysts believe the company's improved strategy should lead to larger deals.
Redwood City, Calif.-based Imperva provides cyber-security solutions that protect business-critical data and applications.
The company's Imperva SecureSphere platform provides database, file and Web application security across various physical and virtual systems in data centers.
Separately, TheStreet Ratings team rates IMPERVA INC as a Sell with a ratings score of D. TheStreet Ratings Team has this to say about their recommendation:
"We rate IMPERVA INC (IMPV) a SELL. This is driven by multiple weaknesses, which we believe should have a greater impact than any strengths, and could make it more difficult for investors to achieve positive results compared to most of the stocks we cover. Among the areas we feel are negative, one of the most important has been the company's poor growth in earnings per share."
Highlights from the analysis by TheStreet Ratings Team goes as follows:
- IMPERVA INC's earnings per share declined by 7.2% in the most recent quarter compared to the same quarter a year ago. The company has reported a trend of declining earnings per share over the past two years. However, the consensus estimate suggests that this trend should reverse in the coming year. During the past fiscal year, IMPERVA INC reported poor results of -$2.29 versus -$1.02 in the prior year. This year, the market expects an improvement in earnings (-$0.70 versus -$2.29).
- The change in net income from the same quarter one year ago has exceeded that of the S&P 500 and the Software industry average. The net income has decreased by 15.0% when compared to the same quarter one year ago, dropping from -$17.41 million to -$20.03 million.
- Current return on equity exceeded its ROE from the same quarter one year prior. This is a clear sign of strength within the company. Compared to other companies in the Software industry and the overall market, IMPERVA INC's return on equity significantly trails that of both the industry average and the S&P 500.
- The gross profit margin for IMPERVA INC is currently very high, coming in at 79.28%. It has increased from the same quarter the previous year. Regardless of the strong results of the gross profit margin, the net profit margin of -44.75% is in-line with the industry average.
- Net operating cash flow has significantly increased by 114.23% to $6.80 million when compared to the same quarter last year. In addition, IMPERVA INC has also vastly surpassed the industry average cash flow growth rate of -15.89%.
- You can view the full analysis from the report here: IMPV Ratings Report