(Image via digitalattackmap.com. Click to see real-time data of cyber attacks happening around the world.)
Cybersecurity has long been a promising investment opportunity and as recently as November 2019, Stockhouse covered some basic companies and ETFs when we looked at this market solution to a multi-trillion dollar a yearglobal problem.
Though it never had the chance to fade away, cyber attacks continue to be a hot topic in the media, especially now under the fallout from the US’ bombing of a top Iran general and the retaliatory attack on an Iraqi base where US soldiers were stationed. The initial focus, as Stockhouse Editorial dove into last week, was the effect this will have on the global oil market, but the threat of cyber attacks also lingers right under your fingertips within your smartphone and computers.
In an interview with USA Today, security researchers explained that private businesses and government infrastructure could be likely targets. Cybersecurity companies across the board have seen their shares spikefollowing this news. Bloomberg Intelligence analyst Mandeep Singh noted that “pure-play security companies” that do threat detection are the ones that can be the direct beneficiary of this type of heightened tension.
Now that the threat is more real and warnings have been issued, investors could be looking to cybersecurity firms with a foreign specialty.
A global provider of web, mobile and API Application Security Testing (AST) and Attack Surface Management (ASM), Switzerland’s ImmuniWeb uses machine learning and artificial intelligence (AI) for automated and accelerated application security testing. Its practical usage of these platforms saw the company awarded “Hall of Fame” status in SC Media’s Reboot 19 Innovator Awardearlier this month.
VirtualArmour International Inc. (CSE: VAI) is a cybersecurity managed services provider. The company’s proprietary CloudCastr client portal and prevention platform give clients access to real-time reporting on threat levels, breach prevention and overall network security.
VAI reported recently that annual global cyber losses are expected to hit $6 trillion (USD) by 2021, with cybersecurity spending projected to exceed a total of $1 trillion leading up to next year.
Quantum Numbers Corp. (TSX-V: QNC) is a Montréal-based company that develops cryptographic solutions that protects information through codes that only those for whom the information is intended can read and process. It uses Quantum Random Number Generation to support this security while also making it harder for hackers to infiltrate sensitive information. Since cybersecurity can be expensive, QNC also has a mission to address the growing demand for affordable hardware security in connected devices.
(Quantum Numbers Corp. stock chart. Click to enlarge.)
Its shares have been trending higher in recent weeks. The company announced in September 2019that the European Patent Office granted it a patent and also received two notice of issuances from the United States Patent and Trademark Office on its method and system for generating a random bit sample.
This is an ongoing story with an outcome we have yet to see. Being prepared on a cybersecurity front is not only good for your portfolio, but also from a business and personal standpoint. Are you concerned about the threat of cyber warfare, or interested in the investment opportunities to be found within this digital arms race? Let us know in the comments below.
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