HomeMarket NewsThe Secure Trio: Unveiling 3 Promising Cybersecurity Giants Riding the Digital Wave

The Secure Trio: Unveiling 3 Promising Cybersecurity Giants Riding the Digital Wave

Actionable Trade Ideas

always free

In todayโ€™s digital epoch, the realm of cybersecurity stands at the forefront of safeguarding against the relentless onslaught of cyber threats that lurk amidst the interconnected web. As businesses grapple with the escalating intricacies of data protection and artificial intelligence (AI)-driven vulnerabilities, the cybersecurity landscape has metamorphosed into a stalwart bastion of defense.

Amid this turbulent backdrop, the cybersecurity industry continues its meteoric rise, beckoning investors to seize a slice of the $215 billion global cybersecurity pie projected for this year. Guarded optimism anticipates growth to soar at an impressive 13.8% CAGR, culminating in a staggering $424.97 billion industry valuation by 2030.

Zscaler Inc (ZS): A Cyber Sentinel in the Cloud

Fluttering high in the ethereal expanse of cloud-based internet security lies Zscaler Inc. (ZS), a San Jose-based stalwart valued at a formidable $27.3 billion. Renowned for pioneering zero-trust technology, Zscaler stands as an impregnable fortress warding off would-be hackers from infiltrating corporate networks. Its stellar performance is manifest in a soaring 80.9% surge in shares over the past year, a feat that eclipses the S&P 500 Indexโ€™s modest 26.7% ascent.

Noteworthy is Zscalerโ€™s Q2 earnings report, where revenue soared an impressive 35% year over year to $525 million, surpassing Wall Streetโ€™s anticipations by 3.6%. Buoyed by a legion of 7,700 clients, which comprise 40% of the Fortune 500 cohort, Zscalerโ€™s future outlook gleams bright. With a bounty of โ€œStrong Buyโ€ ratings from Wall Street analysts and a captivating 39.1% upside beckoning at an average price target of $255.06, ZS emerges as a potent force to reckon with in the cybersecurity realm.

CrowdStrike Holdings, Inc. (CRWD): A Texan Titan Championing Cloud Security

Deep in the heart of Austin, Texas, lies the lair of CrowdStrike Holdings, Inc. (CRWD), a venerated cybersecurity luminary with a commanding market cap of $74.7 billion. Powered by its transformative cloud-native platform, the CrowdStrike Falcon, fortified with AI prowess and the bedrock of the CrowdStrike Security Cloud, promises a tapestry of real-time threat detection and swift countermeasures. CRWDโ€™s meteoric 146.8% surge in shares over the past year heralds its dominance in the cybersecurity arena, outshining the S&P 500 Indexโ€™s modest growth.

A beacon of financial fortitude, CrowdStrike recently unfurled its Q4 earnings, unveiling a stellar 33% revenue increase year over year to $845.3 million. Basking in accolades from Wall Street, CRWDโ€™s promising future prospects underscore a tantalizing 24% upside potential at an average price target of $391.20, solidifying its stance as a revered cybersecurity titan in the industry.

Tenable Holdings Inc (TENB): A Maryland Maven of Cybersecurity Solutions

Nestled in Columbia, Maryland, the hallowed halls of Tenable Holdings Inc. (TENB) resonate with echoes of security prowess, offering transformative exposure management solutions. Armed with Nessus, the veritable sword of vulnerability management tools in the cybersecurity armory, Tenable exudes an aura of vigilance, scanning the digital horizon to forestall nefarious exploits. TENBโ€™s modest yet respectable 7.4% return over the past year and 4.9% YTD gains speak volumes of its enduring commitment to fortify digital defenses.

Emblazoned with a robust Q4 report that unveiled a stellar 16% revenue surge year over year to $213.3 million, Tenable marches forth into fiscal 2024 with sanguine fiscal projections and a promising 19.2% potential upside at an average price target of $57.60. Wall Streetโ€™s resounding chorus of โ€œStrong Buyโ€ endorsements solidifies TENBโ€™s stature as an emerging powerhouse in the cybersecurity realm.

On the date of publication, Sristi Suman Jayaswal did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article are solely for informational purposes.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Swing Trading Ideas and Market Commentary

Need some new swing ideas? Get free weekly swing ideas and market commentary from Jonathan Bernstein here: Swing Trading.

Explore More

Weekly In-Depth Market Analysis and Actionable Trade Ideas

Get institutional-level analysis and trade ideas to take your trading to the next level, sign up for free and become apart of the community.