diff --git a/prowler/CHANGELOG.md b/prowler/CHANGELOG.md
index 5bb7da487f..8f2b480a36 100644
--- a/prowler/CHANGELOG.md
+++ b/prowler/CHANGELOG.md
@@ -37,6 +37,7 @@ All notable changes to the **Prowler SDK** are documented in this file.
 ### 🐞 Fixed
 
 - Duplicate Kubernetes RBAC findings when the same User or Group subject appeared in multiple ClusterRoleBindings [(#10242)](https://github.com/prowler-cloud/prowler/pull/10242)
+- Return a compact actor name from CloudTrail `userIdentity` events [(#10986)](https://github.com/prowler-cloud/prowler/pull/10986)
 
 ---
 
diff --git a/prowler/providers/aws/lib/cloudtrail_timeline/cloudtrail_timeline.py b/prowler/providers/aws/lib/cloudtrail_timeline/cloudtrail_timeline.py
index b73d070078..2f03dd8c84 100644
--- a/prowler/providers/aws/lib/cloudtrail_timeline/cloudtrail_timeline.py
+++ b/prowler/providers/aws/lib/cloudtrail_timeline/cloudtrail_timeline.py
@@ -221,27 +221,12 @@ class CloudTrailTimeline(TimelineService):
 
     @staticmethod
     def _extract_actor(user_identity: Dict[str, Any]) -> str:
-        """Extract a human-readable actor name from CloudTrail userIdentity."""
-        # Try ARN first - most reliable
+        """Return a compact actor name from CloudTrail userIdentity.
+
+        For ARNs, returns the resource portion (everything after the last
+        `:`) — e.g. `user/alice`, `assumed-role/MyRole/session-name`,
+        `root`. The full ARN is preserved separately in `actor_uid`.
+        """
         if arn := user_identity.get("arn"):
-            if "/" in arn:
-                parts = arn.split("/")
-                # For assumed-role, return the role name (second-to-last part)
-                if "assumed-role" in arn and len(parts) >= 2:
-                    return parts[-2]
-                return parts[-1]
-            return arn.split(":")[-1]
-
-        # Fall back to userName
-        if username := user_identity.get("userName"):
-            return username
-
-        # Fall back to principalId
-        if principal_id := user_identity.get("principalId"):
-            return principal_id
-
-        # For service-invoked actions
-        if invoking_service := user_identity.get("invokedBy"):
-            return invoking_service
-
-        return "Unknown"
+            return arn.rsplit(":", 1)[-1]
+        return user_identity.get("invokedBy") or "Unknown"
diff --git a/tests/providers/aws/lib/cloudtrail_timeline/cloudtrail_timeline_test.py b/tests/providers/aws/lib/cloudtrail_timeline/cloudtrail_timeline_test.py
index aeca0f7c1d..5c2c99cbfc 100644
--- a/tests/providers/aws/lib/cloudtrail_timeline/cloudtrail_timeline_test.py
+++ b/tests/providers/aws/lib/cloudtrail_timeline/cloudtrail_timeline_test.py
@@ -100,7 +100,7 @@ class TestCloudTrailTimeline:
 
         assert len(result) == 1
         assert result[0]["event_name"] == "RunInstances"
-        assert result[0]["actor"] == "admin"
+        assert result[0]["actor"] == "user/admin"
         assert result[0]["source_ip_address"] == "203.0.113.1"
 
     def test_get_resource_timeline_with_resource_uid(
@@ -304,14 +304,28 @@ class TestExtractActor:
             "arn": "arn:aws:iam::123456789012:user/alice",
             "userName": "alice",
         }
-        assert CloudTrailTimeline._extract_actor(user_identity) == "alice"
+        assert CloudTrailTimeline._extract_actor(user_identity) == "user/alice"
 
     def test_extract_actor_assumed_role(self):
         user_identity = {
             "type": "AssumedRole",
             "arn": "arn:aws:sts::123456789012:assumed-role/MyRole/session-name",
         }
-        assert CloudTrailTimeline._extract_actor(user_identity) == "MyRole"
+        assert (
+            CloudTrailTimeline._extract_actor(user_identity)
+            == "assumed-role/MyRole/session-name"
+        )
+
+    def test_extract_actor_assumed_role_sso(self):
+        """SSO sessions store the user identity in the session name."""
+        user_identity = {
+            "type": "AssumedRole",
+            "arn": "arn:aws:sts::123456789012:assumed-role/AWSReservedSSO_AdministratorAccess_abcdef1234567890/user@example.com",
+        }
+        assert (
+            CloudTrailTimeline._extract_actor(user_identity)
+            == "assumed-role/AWSReservedSSO_AdministratorAccess_abcdef1234567890/user@example.com"
+        )
 
     def test_extract_actor_root(self):
         user_identity = {"type": "Root", "arn": "arn:aws:iam::123456789012:root"}
@@ -327,21 +341,33 @@ class TestExtractActor:
             == "elasticloadbalancing.amazonaws.com"
         )
 
-    def test_extract_actor_fallback_to_principal_id(self):
-        user_identity = {"type": "Unknown", "principalId": "AROAEXAMPLEID:session"}
-        assert (
-            CloudTrailTimeline._extract_actor(user_identity) == "AROAEXAMPLEID:session"
-        )
-
     def test_extract_actor_unknown(self):
         assert CloudTrailTimeline._extract_actor({}) == "Unknown"
 
+    def test_extract_actor_username_only_returns_unknown(self):
+        """When userIdentity carries only userName/principalId (no arn or
+        invokedBy), we deliberately return "Unknown" — we rely on the ARN
+        from the upstream service for the actor."""
+        assert (
+            CloudTrailTimeline._extract_actor({"type": "IAMUser", "userName": "alice"})
+            == "Unknown"
+        )
+        assert (
+            CloudTrailTimeline._extract_actor(
+                {"type": "Unknown", "principalId": "AROAEXAMPLEID:session"}
+            )
+            == "Unknown"
+        )
+
     def test_extract_actor_federated_user(self):
         user_identity = {
             "type": "FederatedUser",
             "arn": "arn:aws:sts::123456789012:federated-user/developer",
         }
-        assert CloudTrailTimeline._extract_actor(user_identity) == "developer"
+        assert (
+            CloudTrailTimeline._extract_actor(user_identity)
+            == "federated-user/developer"
+        )
 
 
 class TestParseEvent:
@@ -380,7 +406,7 @@ class TestParseEvent:
         assert result is not None
         assert result["event_name"] == "RunInstances"
         assert result["event_source"] == "ec2.amazonaws.com"
-        assert result["actor"] == "admin"
+        assert result["actor"] == "user/admin"
         assert result["actor_uid"] == "arn:aws:iam::123456789012:user/admin"
         assert result["actor_type"] == "IAMUser"
 
@@ -424,7 +450,10 @@ class TestParseEvent:
             "EventName": "RunInstances",
             "EventSource": "ec2.amazonaws.com",
             "CloudTrailEvent": {
-                "userIdentity": {"type": "IAMUser", "userName": "admin"},
+                "userIdentity": {
+                    "type": "IAMUser",
+                    "arn": "arn:aws:iam::123456789012:user/admin",
+                },
             },
         }
         timeline = CloudTrailTimeline(session=mock_session)
@@ -432,7 +461,7 @@ class TestParseEvent:
 
         assert result is not None
         assert result["event_name"] == "RunInstances"
-        assert result["actor"] == "admin"
+        assert result["actor"] == "user/admin"
 
     def test_parse_event_missing_event_id(self, mock_session):
         """Test parsing event without EventId returns None (event_id is required)."""
@@ -506,7 +535,7 @@ class TestParseEvent:
 
         assert result is not None
         assert result["event_name"] == "RunInstances"
-        assert result["actor"] == "admin"
+        assert result["actor"] == "user/admin"
         # actor_type should be None when not present in userIdentity
         assert result["actor_type"] is None