Cybersecurity shares are a vivid spot as Russia-Ukraine battle prompts cyberattack fears

[ad_1]

Signage exterior Palo Alto Networks headquarters in Santa Clara, California, U.S., on Thursday, Could 13, 2021.

David Paul Morris | Bloomberg | Getty Photographs

Cybersecurity shares have been a uncommon vivid spot Thursday as Russia’s invasion of Ukraine despatched main indices down.

The battle has prompted considerations of cyber assaults, particularly towards crucial infrastructure corporations. Since final week, Ukraine has already experienced two cyber attacks that impacted authorities web sites. The U.S. attributed the primary assault to Russia, which Russia denied, and stated the second assault was according to what it could anticipate from Russia.

Amid the rising nervousness of struggle, shares of cybersecurity corporations like Telos have been up greater than 11%, Palo Alto Networks up greater than 8%, CrowdStrike up greater than 7% and Mandiant up greater than 5%. Palo Alto Networks had additionally simply reported earnings on Wednesday.

In the meantime, the S&P 500 was down about 1.3% on Thursday and the Nasdaq Composite Index down about 0.8%.

Wedbush Securities analyst Dan Ives wrote in a word on Tuesday that considerations of cyber assaults may add 200 to 300 base factors of development to the sector, which he stated was already poised to extend 20% year-over-year in 2022.

“With a considerably elevated degree of cyber assaults now showing on the horizon, we imagine added development tailwinds for the cyber safety sector and effectively positioned distributors must be a spotlight sector for tech buyers throughout this market turmoil,” he wrote.

Subscribe to CNBC on YouTube.

WATCH: How bitcoin is driving the ransomware boom in the U.S.

[ad_2]
Source link