In this article, we will look at the 10 High-Growth Cybersecurity Stocks To Buy.
Cybersecurity remains the center of attention as more companies shift their operations from on-premises equipment to the cloud. Likewise, the artificial intelligence revolution is fueling demand for cybersecurity solutions as companies and individuals look to stay ahead of sophisticated attacks.
Spending on cybersecurity is also on the rise as organizations face new security challenges and as cloud computing and remote work become widely used business tools. The growing demand for cybersecurity solutions is one factor that continues to strengthen investor sentiment in the sector. Likewise, Wall Street strategists expect the sector to be on a roll, as it was for much of last year.
The WSJ Pro Cyber Index, which tracks the performance of the 20 biggest cybersecurity companies by market cap, finished 2025 up 27% . At one point in the year, the index was up by 54%, outperforming the broader equity market. The impressive run came as a new wave of attacks, fueled by AI, accelerated the demand for cybersecurity solutions.
“Cyber demand should remain resilient in 2026, with growth in line with broader IT budgets, as organizations consolidate vendors to reduce complexity and improve return on investment,” said Jefferies analyst Joseph Gallo in a report. “This trend favors larger platform vendors, who should outperform in 2026 and could drive further M&A of smaller vendors.”
Wall Street analysts expect more artificial intelligence-related acquisitions in 2026 as companies look to strengthen their competitive edge and stay ahead of hackers. The firms are increasingly investing in generative AI tools to help reduce the time required to detect and respond to various forms of computer hacking.
“AI has already proven an accelerant to the threat environment as the volume and sophistication of threats have continued to increase, in part as AI has brought malicious capabilities to broader, less sophisticated masses,” said JPMorgan analyst Brian Essex in a report. “
Amid the ever-increasing demand for cybersecurity solutions to keep bad actors at bay, now is the best time to take a look at some of the best cybersecurity stocks to buy.
Our Methodology
To compile a list of the 10 High-Growth Cybersecurity Stocks to Buy, we scanned the top cybersecurity ETFs. We settled on companies with at least 20% sales growth over the past five years. Finally, we ranked them in ascending order by the number of hedge fund holdings sourced from Insider Monkey’s Q3 2025 database.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research shows we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 427.7% since May 2014, beating its benchmark by 264 percentage points (see more details here).
High-Growth Cybersecurity Stocks To Buy
10. Tenable Holdings, Inc. (NASDAQ:TENB)
5-Year Sales Growth: 20.48%
Number of Hedge Fund Holders: 32
Tenable Holdings, Inc. (NASDAQ:TENB) is one of the best high-growth cybersecurity stocks to buy. On February 6, Cantor Fitzgerald reaffirmed its Overweight rating on Tenable Holdings, Inc. (NASDAQ:TENB) and kept its $30 price target unchanged following the company’s stronger-than-expected fourth-quarter 2025 results.
On February 4, Tenable Holdings, Inc. (NASDAQ:TENB) delivered solid fourth-quarter and full-year results that exceeded all guidance metrics. Fourth quarter revenue was up 11% year over year to $260.5 million, as full year revenue also increased 11% to $999.4 million.
The robust revenue growth came as current billings increased 8% in the fourth quarter and full year to $327.8 million and $1.049 billion, respectively. Likewise, fourth-quarter diluted earnings per share improved to $0.48 from $0.41 a year ago. Full-year diluted earnings per share totaled $1.59 compared to $1.29 a share in 2024.
The better-than-expected results came as the company added 502 new enterprise platform customers and 5 net new six-figure customers. Tenable also announced a $150 million expansion of its share repurchase program.
For the first quarter of 2026, Tenable expects revenue to range between $257 million and $260 million, with diluted earnings per share in the range of $0.39 and $0.42. For the full year, it expects revenue of $1.065 billion to $1.075 billion and diluted earnings per share of $1.81 to $1.90.
Tenable Holdings, Inc. (NASDAQ:TENB) is a cybersecurity company specializing in exposure management, helping organizations identify, prioritize, and remediate security vulnerabilities across their entire digital infrastructure. Founded in 2002, the company is best known for creating Nessus, a widely used vulnerability assessment tool.
9. Rapid7 Inc. (NASDAQ:RPD)
5-Year Sales Growth: 20.89%
Number of Hedge Fund Holders: 34
Rapid7, Inc. (NASDAQ:RPD) is one of the best high-growth cybersecurity stocks to buy. Rapid7, Inc. (NASDAQ: RPD) released its fourth-quarter 2025 results on February 10, posting earnings per share of $0.44—$0.03 above Wall Street expectations. Revenue came in at $217.39 million, narrowly topping consensus estimates. However, annualized recurring revenue held steady at $840 million, raising concern about the company’s ability to add new customers and grow existing accounts. On a positive note, ARR per customer has climbed significantly over the past few years, increasing to $72,000 from $58,000 in 2021.
The company continues to focus on operational efficiency and platform consolidation, serving over 11,500 customers and integrating with more than 500 partners in the $85 billion security operations market.
For 2026, Rapid7 expects Q1 revenue of $207–209 million and full-year revenue of $835–843 million, slightly below 2025 levels. ARR is projected to fall to $830 million, while profitability remains solid, with operating income of $108–116 million and free cash flow of $125–135 million. CEO Corey Thomas emphasized the company’s focus on delivering measurable business results to maintain a competitive edge.
On January 14, Rapid7 announced a partnership with ARMO to add cloud and application runtime security to its Command platform. The deal is designed to improve visibility into cloud environments and strengthen threat detection, giving IT teams clearer, prioritized insights and helping them respond to risks more quickly.
The integration will also allow security teams to detect active threats in real time and respond instantly by isolating compromised workloads.
Rapid7 Inc. (NASDAQ:RPD) is a cybersecurity company that provides cloud-native solutions for vulnerability management, incident detection and response (SIEM/XDR), application security, and threat intelligence.
8. SentinelOne, Inc. (NYSE:S)
5-Year Sales Growth: 77.61%
Number of Hedge Fund Holders: 42
SentinelOne Inc. (NYSE:S) is one of the best high-growth cybersecurity stocks to buy. On February 6, SentinelOne Inc. (NYSE:S) announced an expansion of its AI Security Platform with new Data Security Posture Management (DSPM) features to safeguard AI systems from data ingestion through runtime execution.
The Mountain View–based cybersecurity firm said these capabilities prevent sensitive or high-risk data from entering AI pipelines, addressing risks like data memorization and pipeline poisoning before training begins. Building on its existing cloud and AI security offerings, SentinelOne’s unified approach enables teams to trace risks across the AI lifecycle, block lateral movement from data to model logic, and protect systems in real-world operations.
The company emphasized that AI security is a lifecycle challenge, and the new DSPM tools aim to help enterprises adopt AI securely while meeting privacy and regulatory requirements.
On January 27, Citron Research reiterated that SentinelOne Inc. is well-positioned to capitalize on opportunities in the emerging field of autonomous agent protection. The remarks follow the acquisition of Prompt Security, which strengthens the company’s edge in addressing security vulnerabilities created by AI agents.
Given that traditional antivirus software cannot detect AI security threats, SentinelOne is well-positioned to capitalize on the significant security gap. Prompt Security joins the company with a governance layer for AI agents that can inspect commands in real time.
Last year, SentinelOne introduced a suite of cybersecurity tools focused on AI applications. Customers can leverage the tools to prevent employees from entering business data into insecure AI services. It also launched Purple AI assistant to automate repetitive aspects of cybersecurity teams’ work.
SentinelOne, Inc. (NYSE:S) is a prominent AI-powered cybersecurity company that provides autonomous threat prevention, detection, and response capabilities. Its core Singularity Platform protects enterprise endpoints, cloud workloads, and identities in real time, leveraging automated, data-driven technology to defend against modern cyberattacks at machine speed.
7. Fortinet, Inc. (NASDAQ:FTNT)
5-Year Sales Growth: 22.46%
Number of Hedge Fund Holders: 44
Fortinet, Inc. (NASDAQ:FTNT) is one of the best high-growth cybersecurity stocks to buy. On February 6, UBS analyst Fatima Boolani raised Fortinet’s (NASDAQ:FTNT) price target to $90 from $80 while keeping a Neutral rating. She said Q4 results were strong, with product growth and better contract renewals, and the 2026 outlook showed 10–15% product growth, 11–14% billings growth, operating margins of 33–36%, and free cash flow margins in the mid-to-high 30s.
Although this eased some investor worries, service revenue growth of roughly 11% year-over-year leaves questions about sustaining 12%+ growth as comparisons tighten in late 2026 and 2027. UBS views the stock at 22x EV/FCF as fairly valued, given its moderate growth and steady margins.
On February 2, Scotiabank downgraded the stock to Sector Perform from Outperform while maintaining the $85 price target. Despite the downgrade, the research firm insists the company is undoubtedly a legendary company with compelling offerings in secure networking.
On January 23, Fortinet announced a major upgrade to FortiSIEM, enhancing its scalable SIEM platform with stronger threat detection, agentic AI-driven incident response, and expanded data sovereignty options. Version 7.5 is built to counter increasingly sophisticated AI-powered attacks while improving IT and OT security analytics, streamlining investigations, and expanding pipeline management capabilities.
Fortinet, Inc. (NASDAQ:FTNT) is a cybersecurity leader providing an integrated networking and security platform via FortiOS, with its FortiGate firewalls protecting more than 700,000 organizations worldwide.
6. Zscaler Inc. (NASDAQ:ZS)
5-Year Sales Growth: 44.03%
Number of Hedge Fund Holders: 50
Zscaler Inc (NASDAQ:ZS) is one of the best high-growth cybersecurity stocks to buy. On February 9, Cantor Fitzgerald reiterated an Overweight rating on Zscaler (NASDAQ:ZS), noting that its recent acquisition of SquareX could boost growth.
Earlier on February 5, Zscaler unveiled a deal aimed at extending its Zero Trust security directly into browsers such as Chrome and Edge, removing the need for separate third-party browsers and making it easier to protect unmanaged devices.
Building on its success replacing VPNs and VDI with Zscaler Private Access, the company will use lightweight browser extensions to secure SaaS and private applications across both corporate and BYOD devices, further strengthening its Zero Trust platform.
On January 27, Zscaler introduced a new AI Security Suite to help companies manage and secure their expanding use of artificial intelligence. The platform gives enterprises visibility into AI tools, including generative AI, development environments, and AI features built into SaaS apps, while providing controls to govern usage at scale. It’s designed to let IT and security teams track AI applications across the organization and safely roll out approved services without increasing risk.
Zscaler Inc. (NASDAQ:ZS) is a leading American cloud security company that provides cybersecurity solutions based on a Zero Trust model. Its solutions securely connect users, devices, and applications from any location without relying on traditional corporate network perimeters.
5. Elastic N.V. (NYSE:ESTC)
5-Year Sales Growth: 20.89%
Number of Hedge Fund Holders: 52
Elastic N.V. (NYSE:ESTC) is one of the best high-growth cybersecurity stocks to buy. On February 2, Elastic N.V. (NYSE:ESTC) announced plans to make it easier for organizations to access cloud-hosted GPU inference capabilities. Elastic Inference Service is the company’s new service that enables self-managed customers to use GPU-based embedding and reranking models without GPU hardware.
Thanks to Elastic Inference Service, organizations will gain on-demand access to cloud-hosted inference capabilities while maintaining core infrastructure and data on premises.
“With Elastic Inference Service via Cloud Connect, we’re making it easier for self-managed customers to adopt semantic search without taking on the complexity of GPU infrastructure,” said Steve Kearns, general manager, Search at Elastic. “With a single setup, self-managed customers can access a range of cloud services from automated diagnostics to fast AI inference, all while keeping their data on-premises.”
Earlier on January 30, Rosenblatt Securities reiterated a Buy rating on Elastic NV but cut the price target to $110 from $130. The price target cut is in response to recent compression in comparable multiples and macroeconomic concerns affecting enterprise software companies. Despite the cut, the research firm expects the company to deliver better-than-expected third-quarter fiscal 2026 results.
On January 22, Elastic launched Agent Builder, a platform that lets developers create AI agents to access and analyze enterprise data, with Elastic Workflows introduced in technical preview. Built on Elasticsearch, Agent Builder supports data preparation, retrieval, ranking, and monitoring, integrates with Microsoft Foundry and Agent Framework, and works across model-as-a-service providers.
Elastic Workflows extends functionality by enabling agents to execute actions across multiple systems, combining AI reasoning with rule-based automation. Both tools aim to simplify enterprise data use, enhance security, and scale context-driven AI agents for real-world applications.
Elastic N.V. (NYSE:ESTC) is a search artificial intelligence (AI) company that provides a platform for ingesting, searching, analyzing, and visualizing data in real time. Known as “The Search AI Company,” Elastic helps organizations—including over 50% of the Fortune 500—securely harness their data for search, observability, and security use cases.
4. Okta, Inc. (NYSE:OKTA)
5-Year Sales Growth: 34.82%
Number of Hedge Fund Holders: 55
Okta Inc. (NASDAQ:OKTA) is one of the best high-growth cybersecurity stocks to buy. On February 5, 2026, Okta Inc. (NASDAQ:OKTA) announced it is expanding its partnership with the PGA of America to improve identity management and explore AI-based security. Okta will continue protecting the PGA’s network of more than 30,000 golf professionals, employees, and fans, while also working on new AI-powered digital experiences with stronger security. The PGA already uses Okta’s platform to simplify access, automate workflows, and block threats, along with Auth0 to unify fan and member identities.
Okta Inc. announced on February 2 that it will release its fourth-quarter and full fiscal year 2026 financial results, covering the period ended January 31, 2026, after the U.S. market closes on Wednesday, March 4, 2026.
On January 14, analysts at Stephens upgraded Okta Inc. to an Overweight from Equal Weight and raised the price target to $120 from $97. The upgrade came amid expectations of a positive outlook for growth in the identity security sector. The research firm expects the company to capitalize on secular trends in the sector, including artificial intelligence and cloud adoption, that are making identity a strategic priority. The company is well-positioned to benefit from strong secular demand in the sector.
While Okta has delivered significant improvements in profitability in recent years, the research firm expects a shift toward growth investment in FY27. The company is expected to place a higher priority on growth. The company has already announced plans to launch in-country platform tenants in India as part of its growth strategy.
In India, the company is to offer data residency and enhanced disaster recovery services to local customers. It will host local tenants on Amazon Web Services infrastructure in a bid to help customers meet compliance requirements.
“As AI agents enter the workforce, traditional perimeter-based security approaches can’t keep up,” said Stephanie Barnett, VP Presales and Interim GM for Okta’s Asia-Pacific Japan region. “Our investment in India empowers innovators to embrace AI with confidence, compliance, and trust as they scale.”
Okta, Inc. (NYSE:OKTA) is a leading independent provider of cloud-based identity and access management (IAM) solutions that securely connect users to technology. It offers software-as-a-service (SaaS) platforms that enable organizations to manage employee, customer, and partner identities, providing secure single sign-on (SSO) access to applications, websites, and devices.
3. Cloudflare, Inc. (NYSE:NET)
5-Year Sales Growth: 42.21%
Number of Hedge Fund Holders: 63
Cloudflare Inc. (NYSE:NET) is one of the best high-growth cybersecurity stocks to buy. On February 10, Cloudflare (NYSE:NET) reported Q4 2025 revenue of $615 million, up 34% year-over-year and above analyst expectations of $591.43 million.
This increase was driven by strong customer growth, especially from large accounts: 4,298 customers now spend over $100,000 annually, up 23% from last year, and they contribute 73% of total revenue, up from 63% in 2022. For the full year 2025, revenue grew 29.8% to $2.17 billion, supported by higher customer spending and global expansion.
Looking ahead, Cloudflare expects Q1 2026 revenue of $620–621 million (29–30% growth), operating margin of 11%, and EPS of $0.23. For the full year 2026, it projects $2.785–$2.795 billion in revenue (28–29% growth), operating income of $378–382 million (14% margin), and diluted EPS of $1.11–1.12. Growth is supported by its expanding market, with TAM expected to rise from $181 billion in 2025 to $231 billion by 2028, helped by opportunities in AI, IoT, databases, and 5G services.
On February 10, Cloudflare announced that Chief Legal Officer Doug Kramer will step down after nearly 10 years, with his resignation effective March 31, 2026. He will stay on as a Senior Advisor, while Alissa Starzak, currently Deputy Chief Legal Officer and Global Head of Public Policy, is expected to take over the role.
Cloudflare, Inc. (NYSE:NET) is a global cloud services company that boosts the security, speed, and reliability of websites and networks, using its vast network to protect clients from DDoS attacks while optimizing internet traffic.
2. CrowdStrike Holdings Inc. (NASDAQ:CRWD)
5-Year Sales Growth: 52.37%
Number of Hedge Fund Holders: 66
CrowdStrike Holdings Inc. (NASDAQ:CRWD) is one of the best high-growth cybersecurity stocks to buy. On January 30, RBC Capital reiterated CrowdStrike Holdings Inc. (NASDAQ:CRWD) as one of the best stocks to buy after a deep pullback in the software sector. The remarks follow a broad sector sell-off in the aftermath of Microsoft and ServiceNow’s financial results.
According to RBC Capital, CrowdStrike is trading at an attractive level as a key platform consolidator in the cybersecurity space. The research firm expects the company to benefit from AI adoption, driven by multiple factors, through 2027.
Earlier on January 27, analysts at Macquarie reiterated a Neutral rating on the stock and a $485 price target. Despite the neutral stance, the research has affirmed the company as one of the best-positioned security players alongside Zscaler . The research firm remains confident about the company’s long-term prospects, owing to its dominant position in endpoint platform protection and pursuit of opportunities in Cloud Security, next-generation SIEM, and Identity Protection.
Macquarie expects CrowdStrike to capitalize on promising long-term opportunities in securing AI models, GenAI applications, and agents.
CrowdStrike Holdings Inc. (NASDAQ:CRWD) is a leading American cybersecurity company that provides cloud-native endpoint protection, threat intelligence, and incident response services to stop breaches. Its main product, the Falcon platform, uses AI and behavioral analysis to secure cloud workloads, identities, and endpoints (laptops, servers, phones) in real time.
1. Palo Alto Networks Inc. (NASDAQ:PANW)
5-Year Sales Growth: 22.03%
Number of Hedge Fund Holders: 85
Palo Alto Networks Inc. (NASDAQ:PANW) is one of the best high-growth cybersecurity stocks to buy. On February 10, Stifel trimmed its price target on Palo Alto Networks (NASDAQ:PANW) from $225 to $200 while maintaining a Buy rating ahead of the company’s fiscal Q2 2026 earnings report scheduled for February 17.
The adjustment followed discussions with five large cybersecurity resellers that together manage about $1.9 billion in Palo Alto-related spending. Of those partners, two reported stronger-than-expected performance, two described results as roughly in line with expectations, and one indicated softer trends.
Despite the varied reseller feedback, Stifel expects the company to maintain steady organic growth, with additional upside potentially coming from the Chronosphere deal and a possible CyberArk acquisition.
On February 2, Jefferies reiterated a Buy rating on Palo Alto Networks and a $250 price target. The positive stance underscores the research firm’s confidence about the company’s long-term prospects as it nears the completion of the CyberArk Acquisition.
The deal is expected to bolster Palo Alto Networks’ revenue, as CyberArk posted solid results, including 20% year-over-year growth in net new annual recurring revenue in the fourth quarter.
The $25 billion acquisition comes as the company enters the identity market, hitting an inflection point. Chief Executive Officer Nikesh Arora expects CyberArk to strengthen Palo Alto Networks’ prospects for disrupting the market and creating a much-needed platform.
Palo Alto Networks (NASDAQ:PANW) is a leading cybersecurity firm serving over 70,000 organizations in more than 150 countries. Once known mainly for its next‑generation firewalls, it now delivers AI-driven security across cloud, network, and mobile environments.
While we acknowledge the potential of PANW to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than PANW and that has 100x upside potential, check out our report about this cheapest AI stock.
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