Don’t Miss This Small Cap Cybersecurity Stock With Massive Upside

Despite the fact that the entire cyber security industry is growing at a swift pace, many leading companies in the sector like Palo Alto Networks (PANW) and FireEye (FEYE) have underperformed massively this year.

For this reason, I recommended investors to take a look at a Gigamon (GIMO), a small cap cyber security play, back in February.
Since then, shares of Gigamon have shot up almost 80%, and I am still bullish on the stock going forward.

Gigamon holds a leading position in the Network Visibility Market, as it offers services and products to consumers that eventually provides visibility, and controls network traffic. Cybersecurity is one of the fastest rising industries mainly due to the escalating need to safeguard information.

Surplus factors like growth from cloud, mobile computing, and IoT additionally depreciate the effectiveness of security measures.
Don’t Miss This Small Cap Cybersecurity Stock With Massive Upside
Image by geralt / Pixabay
These are also the reasons behind the rise of cybersecurity spending. On the other hand, Network Visibility is turning itself in to a business imperious for the security infrastructure of the prospect as it provides users visibility into traffic on the network, identifying threats that avoid outdated security firewalls or anti-virus software.

In the most recent quarter, the company delivered strong revenue growth of 46 percent year over year, a surge of 3 percent compared to that in previous quarter. The company also shared that it will carry on improving efficiency, effectiveness and exposure of its security solutions, achieving intelligence and prevalent visibility to information is now a requirement.

Gigamon anticipates Internet of Things as one of the most significant drivers that will strengthen and escalate the need for its solution and platform. As the world of information technology clasps the cloud, the company’s strategy is to position itself to seize the opportunity in the short as well as long term.

Despite the fact that market and geography trends formed the background due to which Gigamon endures to realize industry leading growth, the company’s core portfolio is the engine that delivers the results.

Nowadays, large companies are using up to 100 GB Ethernet to support high-bandwidth applications and systems. Therefore, Gigamon has proposed a visibility fabric with 100 GB offerings that resolves the speed mismatch while conserving prevailing investments in performance monitoring and network protection.

As a matter of fact, cyber-attacks are projected to surge and it is almost impossible to stop 100 percent attacks. In this case, multiple levels of security are necessary and Gigamon is working hard to solve this problem. With the company still having a lot of room to run, I think the stock is still a good buy.

Published on Aug 12, 2016
By Akshansh Gandhi

Copyrighted 2020. Content published with author's permission.

Posted in ...