With more employees working from home nowadays there are more businesses setting up virtual private networks. With remote workers accessing company data via world wide web computer security is becoming a bigger priority for companies. The question is will cybersecurity stocks be more in demand in the future because of this?
Keep reading to learn more about which cyber stocks to keep an eye on.
Palo Alto Networks
If you are looking for good investments then you might want to consider Palo Alto Networks (PANW). They have been the leaders of the cybersecurity industry for a while and have a good revenue track record.
Their business model is attractive because the operating expense rate has been dropping consistently. PANW’s operating margins have climbed every year since 2014 when margins were at 11%.
PANW is projecting for revenue growth to be 15%+. This equates to 20-25% profit growth over the next few years. They have been expanding within the industry by purchasing smaller start-ups and adding them to their existing products list.
This company is a big data analytics business that helps organizations turn unusable data into actionable insights. Because everything generates data Splunk helps businesses analyze the data that is generated to figure out what is going on in order to learn how to make improvements.
Splunk’s system uses artificial intelligence and machine learning to manage and automate the security process. This can be used for IT teams found in large organizations to help make things go smoother and easier for them. Even a smaller team of only five people will benefit from using the tools that Splunk provides.
There is a lot of potential for growth for Splunk because of the huge demand for IT teams to be efficient and safe.
Okta is a cloud-based cybersecurity solution that puts individual identity at the core of the solution, which enables individuals to adopt any new software without an issue and seamlessly. The security is based on the individual identity instead of changing from app to app.
This has been such a unique approach to cybersecurity that in recent years it has gained major traction. There is a potential for huge profit growth over the next few years because of the technology. This is a long term investment that can grow into a lot over time.
This is another investment to make for the long term. Proofpoint (PFPT) is currently the leader in email security. Most personal hacks happen through email which is why email security is becoming more important for businesses.
There is a large revenue growth predicted for Proofpoint because of the growing demands of keeping emails safe for customers. At the end of 2019, PFPT reported its revenue growth of $243.4 million which was a 23% increase from 2018.
They also reported their billings growth of 29% compared to the year before at a total of $347.2 million. Their growth is a good sign for years to come as more and more companies begin to invest in securing emails with a trustworthy company.
Crowdstrike Holdings Inc
This stock offers endpoint security, cyber attack response services, and threat intelligence. The main clients for Crowdstrike include those industries in healthcare, energy, and finance. We also want to add in here that some of their current clients include Goldman Sachs, the Massachusets Institute of Technology, and Amazon Web Services.
The endpoint security that Crowdstrike offers ensures sure that all the devices are following compliance standards to keep hackers and bad actors from attacking remote endpoints. It is convenient and easy for hackers to attack these remote endpoints and create chaos and compromise customer’s data and personal information.
Their main platform uses a cloud structure to protect remote endpoints using artificial intelligence technology. This technology includes innovations such as machine learning. It combines endpoint detection and response, antivirus protection, threat intelligence, IT hygiene, and managed threat hunting.
The artificial intelligence that Crowdstrikes offers is able to detect any malware on mobile phones, laptops, tablets, and any other device that accesses a corporate network.
This company offers privileged account security and is mainly used by financial services, government clients, retail, and the healthcare industry. Privileged accounts are a major security weakness for organizations. Typically these privileged accounts are admin accounts within a company.
CyberArk (CYBR) is already used by more than half of the Fortune 500 companies out there. It is trusted by large name companies making it more popular and more prone to growth which equates to a great stock investment.
With identity-based breaches becoming more common at businesses, it has made the demand for what CyberArk offers to continue growing.
Fortinet (FTNT) creates cybersecurity software and apps. Some of these include anti-virus programs, endpoint security, firewalls, and intrusion prevention. Their flagship firewall platform called Fortigate is used by most Fortune 500 companies.
This has given them a great reputation and allows them to continue seeing growth in their stock value. Fortinet’s security fabric includes security processors and applied threat intelligence. They have a protective experience for their clients that is unified and highly automated.
Ready to Invest in Cybersecurity Stocks?
Now that you are more informed on cybersecurity stocks we hope that you can make a decision whether or not you want to invest your money in the best cybersecurity stocks out there. There is a big opportunity for cybersecurity stocks to grow.
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