Check out the “cybersecurity” brands in the AI era! What are the high-profile stocks and ETFs in Japan and the US? Demand is growing due to the rapid increase in cyber attacks!

Generative AI also makes it easy to create computer viruses,Cyber attacks are on the riseDoing it. Domestically, this year $Kadokawa (9468.JP)$Ya $NTT Data Group (9613.JP)$In addition to major companies such as, there are many organizations such as local government contractors such as Tokushima PrefectureRansomware-type virusIt was damaged by The payment of the ransom has not been disclosed. According to the Nihon Keizai Shimbun, in domestic cases,”In fact, there is also a survey that says 30% are responding to ransom payments“Yes, for the organization to protect itself”Security Investments” is likely to increase significantly in the future. In the US, in late June, the CDK Global system, which cooperates with car dealers across the United States, was shut down due to a cyber attack, $General Motors (GM.US)$Ya $Toyota Motor (7203.JP)$The number of units sold, etc., declined.The beginning of the AI eraWe welcomed it and checked cybersecurity stocks and ETFs that are attracting attention in Japan and the US.

3 major domestic internet security brands
(Total market value of 100 billion yen or more)
◆ $Trend Micro (4704.JP)$
Top domestic market share for corporate anti-virus software
$Microsoft (MSFT.US)$Anti-virus security software compatible with the AI computer “CoPilot+PC” was announced on 7/5. Consolidated sales for the fiscal year ended 12/24 compared to the previous fiscal year9% increaseNet profit of 271 billion yen222.4% increase34.6 billion yen is expected. What is the divergence from the closing price on the 12th to the analysts' average target stock price10.82%

◆ $Nomura Research Institute (4307.JP)$
AI system security diagnosis service
Consulting, system development, and operation all at once. Our main customers are financial institutions and distribution businesses. From an attacker's point of view of a companyAI systemsAttack and identify potential risksSecurity diagnosis serviceetc. are provided. We plan to invest 10 billion yen in AI-related research and development this fiscal year. Sales revenue (sales) for the fiscal year ending 25/3 compared to the previous fiscal year5.9% increaseNet profit of 780 billion yen10.5% increase88 billion yen. What is the divergence from the closing price on the 12th to the analysts' average target stock price0.01%。

◆ $Net One Systems (7518.JP)$
IT infrastructure construction such as communication and security
The handling ratio related to Cisco in the US is about 50%. Zero interest-bearing debt. Consolidated sales for the fiscal year ending 25/3 compared to the previous fiscal year7.3% increaseNet profit of 220 billion yen5% increaseIt is expected to be 14.4 billion yen. What is the divergence from the closing price on the 12th to the analysts' average target stock price6.13%。

What are some notable cybersecurity-related stocks that have risen more than 20% year to date?
(Total market value of 10 billion yen or more and 100 billion yen or less)
◆ $FFRI Security (3692.JP)$
70% increase since the beginning of the year!
Specialized in cybersecurity. Deployment of software “Yarai” to prevent targeted attacks. Projects for ministries and agencies are doing well due to the strengthening of the government's cyber defense capabilities. Significant increase in operating profit continued at the bottom of the fiscal year ending 22/3. Zero interest-bearing debt. Consolidated sales for the fiscal year ending 25/3 compared to the previous fiscal year29.1% increaseNet profit of 3.1 billion yen0.2% increase400 million yen. What is the divergence from the closing price on the 12th to Morningstar's fair stock price15.06%。

◆ $E-Guardian (6050.JP)$
Strengths in monitoring posts using AI for videos and bulletin boards
Sales destinations include Tik Tok. Zero interest-bearing debt. $Change Holdings (3962.JP)$subsidiary. Consolidated sales for the fiscal year ending 2014/9 compared to the previous fiscal year3.4% reductionNet profit of 11.5 billion yen4.4% reduction1.1 billion yen. The divergence from the closing price on the 12th to the target stock price for one analyst17.53%。

◆ $LAC (3857.JP)$
Well-known for cyber attack monitoring
$KDDI (9433.JP)$is 31% of the stock, $Nomura Research Institute (4307.JP)$holds 10%. Zero interest-bearing debt. Consolidated sales for the fiscal year ending 25/3 compared to the previous fiscal year6.6% increaseNet profit of 52.7 billion yen8.7% increase1.5 billion yen. What is the divergence from the closing price on the 12th to Morningstar's fair stock price19.52%。

◆ $Global Security Experts (4417.JP)$
Cybersecurity education for small and medium enterprises
Continued increase in operating profit due to strong demand. Kanematsu Electronics holds approximately 20% of the shares. What is the divergence from the closing price on the 12th to Morningstar's fair stock price4.59%。

Which stocks have a lot of room to rise to analysts' target stock prices?
◆ $Digital Hearts Holdings (3676.JP)$　Game software bug detection is the main force, but fields other than games are growing. Capital participation in Turing, a fully autonomous vehicle development company, and collaborated on AI-related matters. Consolidated sales for the fiscal year ending March 25 compared to the previous fiscal year13.7% increaseOperating profit of 44.1 billion yen52% increase3.1 billion yen. The divergence from the closing price on the 12th to the target stock price for one analyst76.83%。

◆ $Cyber Security Cloud (4493.JP)$　The WAF (firewall service) “Attack Blocker” that protects websites from cyber attacks ranks first in Japan. Consolidated sales for the fiscal year ended 2014/12 compared to the previous fiscal year24.2 to 30.7% increaseWhat is net profit5.6 to 21.8% increaseI anticipate it. The divergence from the closing price on the 12th to the target stock price for one analyst49.34%。

Year-to-date gain/fall rate rankings of major domestic cybersecurity-related stocks
(Total market value of 10 billion yen or more) Related stocks not listed above: $Amiya (4258.JP)$、 $Baudroie (4413.JP)$ 、 $Seraku (6199.JP)$、 $Soliton Systems KK (3040.JP)$、 $Hennge KK (4475.JP)$

What cybersecurity stocks are trending in the US?
The 4 stocks with a total market value of 10 billion dollars or more that have risen 10% or more since the beginning of the year are as follows. In contrast to this, it has declined year to date, and there is a large divergence up to analysts' average target stock price $Zscaler (ZS.US)$、 $Cisco (CSCO.US)$。

◆ $CrowdStrike (CRWD.US)$
Strategic partnership with NVIDIA
Former McAfee executives started businesses. For small businesses. Since its establishment, we have focused on products that utilize generative AI ahead of other companies. In March this year $NVIDIA (NVDA.US)$and announced a strategic partnership. We aim to protect corporate business by combining NVIDIA's generated AI with Cloud Strike security. Net profit turned into a surplus for the fiscal year ended January '24. It entered the S&P Index from 6/24. Analysts' average target stock price of $402.33 starts at the closing price on the 11th8.6%It suggests room for growth.

◆ $CyberArk (CYBR.US)$
IT security software company with headquarters in Israel and US headquarters in Massachusetts. In the fiscal year ended 24/12Promised to turn into a surplus. Analysts' average target stock price of $299 starts at the closing price on the 11th11.1%It suggests room for growth.

◆ $Palo Alto Networks (PANW.US)$The world's leading saber security company. Government agencies and the like are the main customers. Provides cybersecurity using artificial intelligence. Next generation products for Microsoft were announced in '23. Sales surplus in the fiscal year ended 23/7. Analysts' average target stock price of $351.27 starts at the closing price on the 11th6.1%It suggests room for growth.

◆ $Check Point Software (CHKP.US)$
A major cybersecurity product and service company headquartered in Israel. He is a pioneer who developed basic firewall technology, and mainly works for companies and governments. Analysts' average target stock price of $175.38 starts at the closing price on the 11th3.2%It suggests room for growth.

Year-to-date gain/fall rate ranking of US cybersecurity-related stocks
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 is a US ETF with a cybersecurity theme?
Of the 4 major cybersecurity ETFs in the US, the top incorporated stocks with the top 2 ETFs with the highest rate of increase are all semiconductor giants $Broadcom (AVGO.US)$. Broadcom is expanding its security business by acquiring the corporate business of Symantec, a major security software company (later selling part of it to Accenture) in 19.

◆ $Etf Managers Trust (HACK.US)$
It is a major defense company for the US government, and handles stealth bombers, warning systems, next-generation sensors, etc. $Northrop Grumman (NOC.US)$It has also been incorporated.

◆ $First Trust Exch Traded Fund 2 Nasdaq Cybersecurity Etf (CIBR.US)$
The amount of assets under management is large within the same theme.