Check out the cybersecurity stocks in the AI era! What are the popular stocks and ETFs in Japan and the United States? Demand is growing due to the rapid increase in cyber attacks!

AI technology makes it easier to create computer viruses,and cyber attacks are increasing rapidly.This year, in addition to major companies such as etc., many organizations including local government agencies such as Tokushima Prefecture $Kadokawa (9468.JP)$or $NTT Data Group (9613.JP)$have seen a rapid increase in cyber attacks.Affected by ransomware, no information has been disclosed regarding the payment of ransom. According to the Nikkei Shimbun, in domestic cases, there are also surveys showing that 30% are actually responding to ransom payments.To protect the organization, "security investments" are expected to increase significantly. In late June in the United States, CDK Global's system, which collaborates with car dealers nationwide, was stopped due to a cyber attack, leading to a decrease in the number of vehicle sales.In actuality, there are surveys showing that 30% actually respond to ransom payments.For the organization to protect itselfsecurity investmentsPassenger car sales $General Motors (GM.US)$or $Toyota Motor (7203.JP)$decreasedThe beginning of the AI eraIt is attracting attention in Japan and the United States, so let's check the cybersecurity stocks and ETFs.

Top 3 domestic net security stocks
With a market capitalization of over 100 billion yen
◆ $Trend Micro (4704.JP)$
Announced the virus protection security software that is compatible with the AI computer "Copilot+PC" on July 5th. The consolidated revenue for the fiscal year ended December 2024 increased by 9% compared to the previous year.
$Microsoft (MSFT.US)$Gainsianbankuai announced the virus protection security software that is compatible with the AI computer "Copilot+PC" on July 5th.The consolidated revenue for the fiscal year ended December 2024 increased by 9% compared to the previous year.Net profit is expected to reach 34.6 billion yen, with total assets of 271 billion yen.It has increased by 222.4%.The deviation from the average analyst target stock price as of the closing price on the 12th is 10.82%.The deviation from the average analyst target stock price as of the closing price on the 12th is 10.82%.

◆ $Nomura Research Institute (4307.JP)$
AI system security diagnostic service
Consulting, system development, and operation services as a whole, from the perspective of attackers, for financial institutions and distribution industries, are the main customers.AI systems of companiesを攻撃し、潜在リスクを洗い出すセキュリティ診断サービスなど提供。AI関連で今期10 billion円の投資・研究開発を予定。25年3月期売上収益（売上高）は前期比5.9％増の780 billion円、純利益は10.5％増の88 billion円。12日終値からアナリスト平均目標株価までの乖離は0.01％.

◆ $Net One Systems(Delisted) (7518.JP)$
IT infrastructure construction such as communication and security
About 50% of the handling ratio is related to Cisco in the United States. No interest-bearing debt. The consolidated net sales for the fiscal year ending March 25 are expected to be a 7.3% increase of 220 billion yen compared to the previous fiscal year, and the net profit is expected to be a 5% increase of 14.4 billion yen. The deviation from the average target stock price of analysts is from the closing price on the 12th.Increase of 7.3%220 billion yen, and the net profit is5% increaseThe deviation from the average target stock price6.13%.

Which cybersecurity-related stocks have risen by more than 20% year-to-date?
(Market capitalization of over 10 billion yen and up to 100 billion yen)
◆ $FFRI Security (3692.JP)$
Up 70% year-to-date!
Specializing in cybersecurity. Deploying software "Yarai" to prevent targeted attacks. Strong performance in government cybersecurity defense enhancement projects for ministries and agencies. Substantial growth in operating profit continues since the fiscal year ending March 2022. Zero interest-bearing debt. Consolidated revenue for the fiscal year ending March 2025Increased by 29.1%3.1 billion yen in revenue, with a net profit ofa 0.2% increase.and 400 million yen. The deviation from the closing price on the 12th to the fair stock price of Morningstar is15.06%..

◆ $E-Guardian (6050.JP)$
Strength in monitoring video and bulletin board AI posts,
with sales to Tik Tok and other platforms. Zero interest-bearing debt. $Change Holdings (3962.JP)$Subsidiary. The consolidated revenue for the fiscal year ending September 2024 decreased by 3.4% compared to the previous year.Amounting to 11.5 billion yen, net profit decreased by 4.4%.The deviation from the closing price on the 12th to the target stock price of one analyst is 17.53%.1.1 billion yen.An analyst's target stock price as of September 24th deviates by 17.53% from the closing price on the 12th.Decrease of 3.4% and 4.4% in the consolidated revenue and net profit respectively, to 11.5 billion yen and 1.1 billion yen. The deviation from the closing price on the 12th to the target stock price of one analyst is 17.53%..

◆ $LAC (Delisted) (3857.JP)$
Well-known for cyber attack monitoring.
$KDDI (9433.JP)$holds 31% of the shares, while holds 10%. Zero interest-bearing debt. $Nomura Research Institute (4307.JP)$Sales revenue for the consolidated financial statements for the year ending March 2025 increased by 6.6% compared to the previous year, to 52.7 billion yen, and net profit increased by 8.7% to 1.5 billion yen. The deviation from the closing price on the 12th to the fair value stock price of Morningstar is 19.52%.An increase of 6.6%.52.7 billion yen in revenue, with a net profit increase of 8.7%.An increase of 8.7%.1.5 billion yen. The deviation from the closing price on the 12th to the fair stock price of Morningstar.19.52％.

◆ $Global Security Experts (4417.JP)$
Cybersecurity education for small and medium-sized enterprises.
Continuous increase in operating profit due to strong demand. Kanematsu Electric holds approximately 20% of the shares. The deviation from the Morningstar fair value stock price at the closing price on the 12th is4.59%.

Which stocks have a large room for growth up to the target stock price of analysts?
◆ $Digital Hearts Holdings (3676.JP)$While the detection of gaming software defects is the main focus, other sectors outside of gaming are also growing. The company has invested in Turing Inc., a company specializing in fully autonomous vehicle development, and has formed a partnership in the field of AI. The consolidated revenue for the fiscal year ending in March 2025 increased byEdge AI for manufacturing plants.44.1 billion yen, and the operating profit increased by52%from the closing price on the 12th to the target stock price of one analyst, a difference of76.83%.

◆ $Cyber Security Cloud (4493.JP)$　ウエブサイトをサイバー攻撃から守るWAF（ファイヤーウォールサービス）「攻撃遮断くん」で国内首位。24年12月期連結売上高は、前期比24.2～30.7％増、純利益は5.6～21.8％増を見込む。12日終値からアナリスト1人の目標株価までの乖離は49.34％.

国内の主なサイバーセキュリティ関連銘柄の年初来騰落率ランキング
(Related stocks not listed above with a market capitalization of 10 billion yen or more): $Amiya (4258.JP)$、 $Baudroie (4413.JP)$ 、 $Seraku (6199.JP)$、 $Soliton Systems KK (3040.JP)$、 $Hennge KK (4475.JP)$

What are the cybersecurity stocks to watch in the United States?
The following are the four stocks with a market capitalization of 10 billion dollars or more that have risen over 10% year-to-date. On the other hand, the ones that have fallen year-to-date and have a large deviation from the average target price of analysts are: $Zscaler (ZS.US)$、 $Cisco (CSCO.US)$.

◆ $CrowdStrike (CRWD.US)$
Nvidia and strategic partnership
Former McAfee executives start a business. Focus on products utilizing AI that have been ahead of other companies since its founding. Announced a strategic partnership with NVIDIA in March of this year. $NVIDIA (NVDA.US)$Aims to protect businesses by combining NVIDIA's AI technology with CrowdStrike's security. Net profit turned positive in the fiscal year ending January 2024. Joined the S&P index from June 24. The average target stock price of analysts of $402.33 suggests an upside potential of 8.6% from the closing price on the 11th.of the increase.Suggests room for upward potential.

◆ $CyberArk (CYBR.US)$
An IT security software company headquartered in Israel and has its US headquarters in Massachusetts. For the fiscal year ending in December 2024Expected to turn a profitThe average target price of $299, according to analysts, suggests a potential increase of 11.1% from the closing price on the 11th.of upside.Suggests room for upward potential.

◆ $Palo Alto Networks (PANW.US)$Achieved operating profit in the fiscal year ending in July 2023. The average target price of $351.27, according to analysts, is a 6.1% increase from the closing price on the 11th.of.Suggests room for upward potential.

◆ $Check Point Software (CHKP.US)$
A leading provider of cybersecurity products and services based in Israel. It is a pioneer in developing foundational technologies for firewalls, mainly serving enterprises and governments. The average target price of analysts, $175.38, suggests room for upward potential from the closing price on the 11th.3.2%Suggests room for upward potential.

Ranking of year-to-date gains and losses for cybersecurity-related stocks in the USA.
Related stocks not listed above: $OneSpan (OSPN.US)$、 $Radware (RDWR.US)$、 $General Dynamics (GD.US)$、 $A10 Networks (ATEN.US)$、 $Okta (OKTA.US)$、 $Fortinet (FTNT.US)$、 $SentinelOne (S.US)$

What are some US ETFs focused on cybersecurity?
Out of the top 4 cybersecurity ETFs in the US, the top holdings of the two ETFs with the highest growth rates are both major semiconductor companies. $Broadcom (AVGO.US)$Broadcom, for example, has expanded its security business by acquiring the corporate business of Symantec, a major security software company, in 2019 (later selling part of it to Accenture).

◆ $Etf Managers Trust (HACK.US)$
A defense giant for the US government, handling stealth bombers, surveillance systems, next-generation sensors, etc. $Northrop Grumman (NOC.US)$Also incorporated within the same theme.

◆ $First Trust Exch Traded Fund 2 Nasdaq Cybersecurity Etf (CIBR.US)$
Within the same theme, it has a large amount of assets under management.