FireEye, Inc. (FEYE), a publicly traded cybersecurity company, offers products and services to protect against advanced cyber threats, including nation-state actors, organized crime, and terrorists. The company’s stock price has been on a rollercoaster ride over the past year, and it is currently down about 50% from its 52-week high.
FireEye’s stock price may be worth watching for a few reasons. First, the company’s products and services are in high demand as organizations seek to protect themselves from increasingly sophisticated cyber attacks. Second, FireEye has a strong track record of revenue and earnings growth. And third, the stock is currently trading at a significant discount to its historical valuation.
FireEye’s products and services are in high demand
There is no doubt that cybersecurity is a hot topic. Headlines about major cyber attacks are becoming more common, and organizations are increasingly aware of the need to protect themselves from these threats. This has translated into strong demand for FireEye’s products and services.
The company’s revenue grew 37% year-over-year in the first quarter of 2018, and its billings (a measure of future revenue) grew even faster, at 41%. This strong growth is being driven by increasing demand for FireEye’s subscription-based threat protection services.
FireEye has a strong track record of revenue and earnings growth
FireEye has a strong track record of revenue and earnings growth. The company has been profitable on an adjusted basis for each of the past four quarters, and its revenue has grown at a double-digit clip in each of the past three years.
Significant discount to its historical valuation
Despite the company’s strong track record, FireEye’s stock is currently trading at a significant discount to its historical valuation. The stock is currently trading at about 7 times trailing 12-month sales, which is well below the company’s five-year average valuation of 11 times sales.
Investors may want to keep an eye on FireEye’s stock price. The company’s products and services are in high demand, it has a strong track record of growth, and the stock is currently trading at a significant discount to its historical valuation.
Fireeye’s stock price may be worth watching for a few reasons. First, the company’s products and services are in high demand as organizations seek to protect themselves from increasingly sophisticated cyber attacks. Second, Fireeye has a strong track record of revenue and earnings growth. And third, the stock is currently trading at a significant discount to its historical valuation.