5 Best Cybersecurity Stocks to Buy Now

In this article, we will discuss the 5 best cybersecurity stocks to buy now. If you want to explore similar stocks, you can go to 12 Best Cybersecurity Stocks to Buy Now.

5. Splunk Inc. (NASDAQ:SPLK)

Number of Hedge Fund Holders: 52

Splunk Inc. (NASDAQ:SPLK) is a leading American provider of cloud security solutions. At the close of the fourth quarter of 2022, 52 hedge funds were eager on Splunk Inc. (NASDAQ:SPLK) and held collective stakes worth $1.19 billion in the company. This is compared to 46 hedge funds in the previous quarter with stakes worth $828 million. The hedge fund sentiment for Splunk Inc. (NASDAQ:SPLK) is positive and the stock is one of the best cybersecurity stocks to buy now.

Wall Street is bullish on Splunk Inc. (NASDAQ:SPLK). On March 2, BMO Capital analyst Keith Bachman raised his price target on Splunk Inc. (NASDAQ:SPLK) to $113 from $100 and maintained an Outperform rating on the shares.

As of December 31, Whale Rock Capital Management is the largest investor in Splunk Inc. (NASDAQ:SPLK) and has a stake worth $217.3 million.

Vulcan Value Partners made the following comment about Splunk Inc. (NASDAQ:SPLK) in its Q4 2022 investor letter:

“We exited our position in Splunk Inc. (NASDAQ:SPLK) during the quarter. A number of developments caused us to question whether Splunk’s competitive position was eroding. Splunk is a premium product, and less expensive alternatives have made progress increasing the quality of their offerings. Our research has confirmed Splunk is losing market share to these players, including Microsoft’s Sentinel. Sentinel has made a number of improvements over time and integrates with Microsoft’s other products. Notably, both of Splunk’s Co-Presidents left Splunk in 2022 to work for Microsoft. Splunk’s Chief Financial Officer left a few months later. Before the CFO left, Splunk lowered its annual recurring revenue guidance for the year. While the company attributed the change to the macro environment, we were unable to differentiate to what extent the slowdown was caused by the macro environment versus competitive factors. Based on our primary research and competitive concerns, we no longer had sufficient confidence in Splunk’s value stability. Splunk no longer qualifies for investment, and we exited the position.”