Cyber security is more important than ever these days. People want to feel safe when they are online and luckily there are many companies out there that can provide online security, data protection, and recovery. More and more people have opted or even been forced to work from home due to recent global events and a heightened awareness of potential online attacks has become more evident.
As a result, stocks for cyber security companies have seen a significant rise in value ever since they came onto the market nine years ago, with many trading on the Australian Securities Exchange (ASX). This is due to keen-eyed investors understanding the value of these entities and what they can offer financially in the long run. The growth projection rate over the next five years for the cyber security sector is estimated to be 15.2%, which is a lot more than the Australian tech industry as a whole with only a 2.5% growth over the same period. Listed below are some cybersecurity companies that may well be worth investing in now.
Sovereign Cloud Holdings
Sovereign Cloud Holdings or AUCloud focuses primarily on providing cyber security for the Australian Government, the Australian Defense Force, and Critical National Industries using cloud-based technology. It was founded in 2017 with its headquarters in Canberra and has a current market cap of AUD$39.88 million. Their ASX code is SOV. The company’s main goal is to protect the data of all Australians and what better place to start than the Australian Government and the Australian Defense Force?
Family Zone Cyber Safety
With its headquarters in Perth, Australia, Family Zone Cyber Safety is one of the most used cyber security apps in the world. It is a pretty thorough app that can restrict screen time on many devices as well as restrict social media, and create an internet filter. This gives parents of young kids and teenagers some breathing room when it comes to potentially harmful online interactivity. If you have the idea to invest in Australian stocks using Stake, then it trades on the ASX as FZO and has a current market capitalization of AUD$291.65 million. They have expanded their business, acquiring UK-based company Smoothwall with the aim to provide more security to schools.
Prophecy International Holdings
Founded in Adelaide in 1980. This company has since had customers spanning the globe. They have a brand called Snare which provides security for network logins and potentially malicious outside attacks as well as providing help with auditing of businesses for more accurate data protection. Its code on the ASX is PRO and has a current market cap of AUD$62.18 million and has also acquired contracts with large international companies such as Johnson & Johnson and Airbnb.
Tesserent provides cyber security for government and enterprise markets. Originally founded in Melbourne, Australia, the company has since expanded to New Zealand and has a total of over 400 employees and over 1200 clients across all industries. It also provides cloud service using Cyber 360 solutions and has a current market cap of AUD$135.05 million. The company was founded in 2015 with IT industry veteran Kurt Hansen appointed as CEO in 2021. The company has seen major increases in revenue in FY2021 compared to FY2020 and has raised funds to acquire more companies. This company is worth keeping an eye on to see how they perform in 2022.