5 Best Cybersecurity Stocks to Buy Now

In this article, we discuss 5 best cybersecurity stocks to buy now. If you want to see more stocks in this selection, check out 13 Best Cybersecurity Stocks to Buy Now. 

5. Fortinet, Inc. (NASDAQ:FTNT)

Number of Hedge Fund Holders: 43

Fortinet, Inc. (NASDAQ:FTNT) is a ​​California-based provider of automated cybersecurity solutions in the Americas, Europe, the Middle East, Africa, and the Asia Pacific. On August 23, Fortinet, Inc. (NASDAQ:FTNT) announced that it will jointly develop secure 5G networks for communication service providers as part of a global agreement with NEC. The former will offer security solutions, including its next-gen firewall FortiGate, while NEC will provide its expertise in the telecom industry to build carrier-grade, sustainable networks for deploying 5G technology. 

On September 16, MKM Partners analyst Catharine Trebnick initiated coverage of Fortinet, Inc. (NASDAQ:FTNT) with a Buy rating and a $70 price target. The analyst is optimistic about the company’s position amid network security consolidation. The analyst also believes that there are sufficient growth drivers for Fortinet, Inc. (NASDAQ:FTNT) to sustain revenue growth of more than 20% beyond FY 2023, which is modestly above Street consensus.

According to Insider Monkey’s data, 43 hedge funds were bullish on Fortinet, Inc. (NASDAQ:FTNT) at the end of June 2022, up from 39 funds in the earlier quarter. Jim Simons’ Renaissance Technologies held the biggest position in the company, comprising 4.8 million shares worth $272.3 million. 

Here is what ClearBridge SMID Cap Growth Strategy has to say about Fortinet, Inc. (NASDAQ:FTNT) in its Q3 2021 investor letter:

“Performance among our cohort of IT and Internet companies was mixed, with enterprise software makers thriving while more consumer-oriented stocks faced headwinds. Cyber security software maker Fortinet benefited from a heightened awareness of the need to protect against sophisticated attacks. We are attracted to the recurring revenue nature of these software companies that are increasingly delivering their products on a subscription basis through the cloud. Software business models also tend to avoid many of the inflationary issues facing companies with a physical product or service.”