Top-Performing Tech Shares Recommended by Forbes: Rationale Behind These Notable Choices for Most Investors
Top Cybersecurity Stocks to Invest in Amid Rising Cyber Threats
In the swiftly evolving tech landscape, cybersecurity stocks are gaining traction as investors seek growth in an essential industry. With the costs of cybercrime projected to hit a staggering $10.5 trillion annually, according to Cyber Security Ventures, it's clear that the need for robust IT security is unwavering, even during challenging economic times.
The cybersecurity market is poised to grow at a Compound Annual Growth Rate (CAGR) of over 14% from 2021 to 2031, as per Fortune Business Insights. This growth potential, coupled with the critical nature of the sector, makes cybersecurity an attractive area for investment.
To identify the most promising stocks, Forbes scrutinized the holdings of the WisdomTree Cybersecurity ETF and the Global X Cybersecurity ETF, then narrowed down the list by excluding foreign-listed stocks, those with fewer than ten analysts, and those lacking a minimum of 10% average upside potential. From the remaining nine companies, Forbes chose the top six based on free cash flow.
Here are the six highly regarded cybersecurity stocks for 2024:
- Akamai Technologies Inc.
- Zscaler Inc.
- Okta Inc.
- Datadog Inc.
- Elastic (company) (ELSTK)
- Rapid7 Inc.
These stocks offer a blend of growth potential and stability in an increasingly digital and insecure world. Cybersecurity, beyond being a trend, has become a necessity.
Additional players in the cybersecurity industry that warrant attention include CrowdStrike Holdings Inc., Rubrik, Palo Alto Networks, CyberArk Software Ltd., Broadcom Inc., and Check Point Software Technologies. These companies are leading names in the cybersecurity sector, though the specific list from Forbes for 2024 has not been publicly released.
In this rapidly transforming technology sphere, the integration of artificial-intelligence (AI) and cybersecurity is a burgeoning trend, given the increasing demand for advanced security solutions. As we move towards a more digital and precarious world, technology companies specializing in AI cybersecurity, such as CrowdStrike Holdings Inc., could prove to be prudent investments alongside the top six cybersecurity stocks identified by Forbes for 2024: Akamai Technologies Inc., Zscaler Inc., Okta Inc., Datadog Inc., Elastic (company) (ELSTK), and Rapid7 Inc. This strategic combination of AI and cybersecurity stocks is expected to provide a blend of growth potential and stability, meeting the critical need for fortified IT security in the face of escalating cyber threats.
