10 Cybersecurity Stocks to Look to in the Future

Photo: Kurhan

With a growing rate of publicized hacking incidents, the demand for information security has companies, governments and investors looking toward IT security providers for protection from network intruders. The industry has experienced a rapid growth within the market, and many companies are acquiring IT solutions to join in on the growing demand.

Although the market is still in a major transition, many financial experts are advising investors to look toward the cyber industry.

According to Minyanville Media, cybersecurity firms such as Sourcefire and Fortinet Incorporated were trading at 55 and 64 times their expected 2011 earnings, respectively. Stocks such as Symantec, Iron Mountain and Check Point Software Technologies Ltd. have all outperformed the S&P 500 in 2011.

To offer some insight into the market for buyers looking to get into the cybersecurity game, Minyanville released this week a list of 10 industry names to keep in mind.

Among the industry’s mid-tier companies, Minyanville listed Symantec, Check Point Security Systems and Sourcefire as promising players. According to Sean Udall, a Minyanville contributor and author of the TechStrat Report, Symantec “has been around for a long time – it’s a security giant.”

“The company’s biggest challenger, McAfee, was bought by Intel, and Symantec has remained a wallflower buyout candidate for the better part of decade,” he added.

Fortinet, Guidance Software and Websense were also listed under this category.
For the larger conglomerates, Minyanville named Cisco, Blue Coat, EMC and Juniper Networks as strong companies in the cybersecurity industry.

Udall believes Juniper is just the type of company to benefit most from increased demand for online security. “Think about the amount of Internet commerce done today vs. 10 years ago,” he said. “Credit card numbers and Social Security numbers are flying through the Internet all the time and most of them are safe because of these security networks.”

You may also be interested in...

GSA Eyes ‘On-Ramp’ Solicitation for OASIS Small Business IDIQ’s Six Subpools

The General Services Administration has announced plans to issue a solicitation as an on-ramp for the six subpools of the One Acquisition Solution for Integrated Services Small Business contract vehicle. GSA’s Federal Acquisition Service said in a presolicitation notice published Friday that it expects to award 30 contracts for subpool 1, 20 contracts for subpool 3 and eight each for subpools 2, 4, 5B and 6 of the OASIS SB indefinite-delivery/indefinite-quantity contract.

SSL to Design Methane Emission Detection Satellite; Richard White Quoted

Maxar TechnologiesSSL subsidiary has received a contract from Environmental Defense Fund to design and define requirements for a small satellite designed to detect and monitor methane emissions from oil and gas facilities worldwide. MethaneSAT is a small form-factor satellite that will work to provide high-resolution images to help detect and measure low- and high-emission sources in regions that constitute more than 80 percent of global production of oil and gas per week, Maxar said Thursday

Booz Allen’s Sarah St. Clair on Lessons Learned From HR Tech Upgrade Project

Sarah St. Clair, vice president responsible for human resource services at Booz Allen Hamilton, told Diginomica in an interview published Tuesday about the company’s experiences and efforts to address challenges associated with upgrading its HR technology system. St. Clair discussed Booz Allen’s move to execute the Workday project to manage recruitment operations and mentioned some of the actions the company made to mitigate negative impacts associated with project implementation.