Here’s a sad irony to the world-wide cyber-security attacks which have disrupted hospitals, railway systems, universities and millions of computers: the assault has resulted in a massive increase of the value of cyber security company stocks. In addition, as the attacks are expected to increase the jump in the stock price is also expected to continue to rise. Proofpoint had a 9% spike, as did FireEye this week. Cisco Systems which generates over $2 billion a year from its security business is up 3% and rising.
Security spending is high on the list of priorities for corporations of every kind and as the threat is growing so are the budgets for security. While investors haven’t made a killing in buying cybersecurity stocks yet, this may change soon. Proofprint provides email security and is likely to be attractive to companies who want to protect their communications.
