3 Cybersecurity Stocks You Can Buy and Hold for the Next Decade

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Geoffrey Seiler, The Motley Fool

Thu, Apr 3, 2025, 1:27 AM 5 min read

Cybersecurity stocks person not been immune from the caller marketplace sell-off, opening up immoderate charismatic introduction points for immoderate of the apical companies successful the space. Meanwhile, cyberattacks are not going distant and are becoming much predominant and sophisticated. As such, these are the types of stocks you tin bargain and clasp for a agelong time.

Let's look astatine 3 cybersecurity stocks you mightiness privation to bargain present and clasp for the agelong term.

While known for its next-generation firewalls, Palo Alto Networks (NASDAQ: PANW) has transformed itself into much of a implicit cybersecurity company.

Seeing customers go frustrated utilizing disparate constituent cybersecurity solutions, the institution made a bold determination past twelvemonth erstwhile it introduced a caller "platformization" strategy. Under this strategy, it stopped selling caller constituent solutions and began consolidating customers onto 1 of its 3 main cybersecurity platforms.

To incentivize customers to bash this, it decided to fto customers usage immoderate of its services for escaped portion they had contracts successful spot with different cybersecurity companies for akin services. At the time, it said this was the equivalent of giving customers astir six months of escaped merchandise capabilities.

The strategy frankincense acold appears to beryllium working. It ended past 4th with 1,150 platformizations wrong its apical 5,000 customers, astir of which are connected its web information platform. It besides noted that customers utilizing 2 of its platforms accrued by 50%, portion it tripled the fig of customers utilizing each 3 of its platforms. Its 2 newer platforms are its broad menace detection and effect solution Cortex and unreality information solution Prisma Cloud. Its extremity is to person betwixt 2,500 and 3,500 platformization customers by fiscal twelvemonth 2030.

Overall, Palo Alto's platformization strategy is the close 1 and should assistance powerfulness the banal implicit the agelong run.

CrowdStrike (NASDAQ: CRWD) is the person successful endpoint information with its Falcon platform. Endpoint information protects devices connected to a web -- specified arsenic smartphones, laptops, and servers -- from malicious attacks.

The institution benefits from the inclination successful the abstraction of organizations looking to consolidate their cybersecurity onto a azygous level with 1 vendor. This leads customers to proceed to follow much of its modules. In fact, 67% of CrowdStrike's customers deploy 5 oregon much of its modules, portion 21% usage 8 oregon more.

Customers are besides drawn to the company's Falcon Flex solution, which is simply a flexible licensing and procurement exemplary that makes it easier to person entree to CrowdStrike's afloat cybersecurity portfolio. With Falcon Flex, customers tin rapidly deploy the CrowdStrike solution they request erstwhile needed. This gives customers greater flexibility erstwhile dealing with cybersecurity threats portion allowing them to amended negociate their cybersecurity spending.