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Nepsis fully Exits CyberArk Position Amidst Cybersecurity Firm’s Soaring Valuation
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The investment firm Nepsis inc. has liquidated it’s entire stake in cybersecurity company CyberArk Software (NASDAQ: CYBR), according to a recent SEC filing, marking a complete exit from a position that once represented nearly 4% of its assets under management.
Nepsis sold 34,236 shares of CyberArk during the third quarter of 2025, realizing an estimated $13.93 million from the transaction. This move reduces the firm’s exposure to CyberArk to zero, a significant shift from its previous holdings.
the sale comes as CyberArk’s share price has experienced substantial growth, increasing 75.5% over the past year and outperforming the S&P 500 by 54 percentage points. As of October 23, 2025, the stock closed at $507.04, with a market capitalization of $25.59 billion.
Strategic Shift or Opportunistic Sale?
While Nepsis’s exit represents a 4.42% reduction in its 13F reportable assets under management, analysts suggest the decision may be less an indictment of CyberArk’s business and more a strategic move to capitalize on the stock’s recent surge. “Firms like Nepsis can sell off thes positions for any number of reasons,” one analyst noted, “but in this case, it appears to be an opportunistic sale from the stock’s recent spike in price.”
CyberArk currently trades at 21 times its sales, a valuation some consider aspiring. Management anticipates growing free cash flow (FCF) to $600 million by 2028, which would place the stock at 43 times that future FCF – a figure that may reflect considerable optimism.
Nepsis Reallocates Portfolio Holdings
The liquidation of the CyberArk position allows Nepsis to reallocate capital within its portfolio. As of Q3 2025, the firm’s top holdings include:
- United Therapeutics: $18.62 million (5.9% of AUM)
- Advanced Micro Devices: $18.46 million (5.9% of AUM)
- Shopify: $18.13 million (5.75% of AUM)
- devon Energy: $16.50 million (5.23% of AUM)
- Super Micro Computer: $16.25 million (5.15% of AUM)
CyberArk’s Strong Fundamentals and Future Potential
Despite Nepsis’s exit, many remain bullish on CyberArk’s long-term prospects.The company provides crucial identity security and privileged access management solutions, addressing a growing need in the face of escalating cyber threats. A 2024 CyberArk survey revealed that 93% of businesses experienced a security breach in the past year, highlighting the essential
