11 Best Cybersecurity Stocks to Buy According to Wall Street Analysts

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2. Radware Ltd. (NASDAQ:RDWR)

Average Analyst Upside: 26.74%

Number of Hedge Fund Holders: 17

Radware Ltd. (NASDAQ:RDWR), an Israeli systems software company, specializes in cybersecurity and application delivery solutions for cloud, on-premise, and software-defined data centers across the globe.

On November 19, Radware Ltd. (NASDAQ:RDWR) introduced AI SOC Xpert, a cloud security service leveraging artificial intelligence to reduce incident resolution times for DDoS and application security threats by up to 95%. The service automates key security operations, including attack detection, root cause analysis, and remediation, optimizing SOC efficiency.

Radware Ltd. (NASDAQ:RDWR) delivered strong results in Q3 2024, with revenue rising 13% year-over-year to $69.5 million. Non-GAAP earnings per share surged to $0.23, compared to $0.07 in the same quarter last year. This growth was largely attributed to the robust performance of its cloud security business, as cloud Annual Recurring Revenue climbed 15% to $71.6 million.

Looking ahead, the cybersecurity company forecasts Q4 2024 revenue between $71 million and $72 million and expects non-GAAP diluted EPS in the range of $0.23 to $0.24. Radware Ltd. (NASDAQ:RDWR) also plans to modestly increase operating expenses, primarily focusing on sales and marketing initiatives to support its growth trajectory.

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