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4 Stocks Perfectly Positioned For 2025's Cybercrime Boom

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  Published in Stocks and Investing on Monday, October 6th 2025 at 18:02 GMT by 24/7 Wall St
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4 Stocks That Could Ride the 2025 Cyber‑Crime Wave

In an industry‑watching column for 247WallStreet.com, the authors outline a growing threat—cyber‑crime—and spotlight four technology companies they believe are poised to benefit from the uptick in digital attacks. The piece argues that the global cyber‑crime market will grow from roughly $1 trillion in 2022 to an estimated $6 trillion by 2025, driven by an increasing number of high‑profile data breaches, ransomware campaigns and the proliferation of sophisticated threat actors. Within that context, the article argues, investors should focus on firms whose products address the most pressing gaps in defensive cybersecurity and whose balance sheets show healthy growth trajectories.

Below is a 500‑plus‑word recap of the article’s core arguments and an in‑depth look at the four stocks it recommends.

1. Palo Alto Networks (PANW) – “The Swiss Army Knife of Network Security”

Why it matters

Palo Alto Networks is a long‑standing name in network‑level security. The company’s flagship product, the PAN‑OS operating system, powers a suite of firewalls that deliver threat prevention, user visibility, and automated policy enforcement. With the recent rise in distributed denial‑of‑service (DDoS) and credential‑stealing campaigns, Palo Alto’s emphasis on Zero‑Trust Architecture (ZTA) has become more critical than ever.

Key Takeaways

• Revenue Growth: The company reported a 20% YoY revenue increase in Q1 2025, driven largely by the Prisma Access cloud‑native security platform.
• Margin Expansion: Operating margins rose to 28% from 26% in the previous year, thanks to a higher mix of subscription services over capital‑intensive hardware sales.
• Pipeline Strength: Analysts cite a pipeline of 300+ large enterprise contracts in the pipeline, many of which are linked to regulatory mandates such as the EU’s GDPR and the U.S. “Infrastructure Security” Act.
• Risk Factors: Competition from Microsoft’s “Microsoft Defender for Endpoint” and Amazon’s “AWS Security Hub” is noted, but Palo Alto’s cross‑product integration strategy keeps it ahead.

Reference link in the original article: The writer linked to a 2025 Gartner report that named Palo Alto Networks as “Industry Leading” in Network Firewalls and Zero‑Trust Security.

2. Fortinet (FTNT) – “The High‑Performance, Low‑Cost Contender”

Why it matters

Fortinet’s FortiGate firewalls and FortiCloud security‑as‑a‑service suite focus on high‑throughput, low‑latency environments—perfect for the massive data‑driven attacks seen in recent ransomware campaigns. The company’s “FortiGuard” threat‑intelligence engine is praised for real‑time detection of malware, phishing, and exploit kits.

Key Takeaways

• Valuation: The stock trades at a price‑to‑earnings (P/E) ratio of roughly 30x, a figure the article positions as a “buy” relative to the cybersecurity sector’s median of 45x.
• Subscription Growth: Annual recurring revenue (ARR) jumped 15% YoY in Q4 2024, indicating a shift from hardware sales to cloud‑based licensing—a trend expected to accelerate.
• Geographic Reach: Fortinet’s penetration in the Asia‑Pacific region is noted as a growth lever, with a 25% increase in sales from Japan, South Korea, and India.
• Product Innovation: The article highlights Fortinet’s “FortiGuard AI” platform that uses machine‑learning models to predict zero‑day exploits. This differentiates the company from competitors that rely mainly on signature‑based detection.

Reference link in the original article: A link to Fortinet’s Q4 2024 earnings presentation, which detailed the “FortiGuard AI” roadmap.

3. CrowdStrike (CRWD) – “The Cloud‑First, Endpoint‑First Approach”

Why it matters

CrowdStrike’s Falcon platform is one of the few endpoint‑security solutions built from the ground up to operate entirely in the cloud. Its lightweight agent and real‑time telemetry give security teams the ability to respond to threats before they spread. With the increase in state‑sponsored phishing campaigns targeting corporate networks, the company’s rapid incident response capabilities are highlighted as a unique selling proposition.

Key Takeaways

• Revenue & EBITDA: The firm grew 26% YoY in 2024, achieving a 15% operating margin. Analysts anticipate the margin to widen as subscription revenue matures.
• R&D Spending: 18% of total revenue is allocated to R&D, mainly to strengthen AI‑driven threat detection and expand the “Threat Graph” database.
• Partnerships: The article notes a new partnership with Microsoft Azure Sentinel, enabling joint integration for hybrid cloud environments—a strategic advantage as enterprises move workloads to Azure.
• Valuation: CRWD’s P/E sits at 70x, higher than the sector median but justified by the company’s strong growth trajectory and market dominance in the “next‑gen” endpoint space.

Reference link in the original article: A link to the CrowdStrike Investor Relations page, featuring the Q1 2025 earnings call, which underscores the firm’s “Zero‑Touch” automated response capability.

4. Zscaler (ZS) – “The Cloud‑Native Security Platform”

Why it matters

Zscaler is often considered the pioneer of Zero‑Trust Network Access (ZTNA) and secure web gateways in the cloud. Its platform routes traffic through a “cloud‑native” security layer, eliminating the need for on‑premises appliances. With an estimated 80% of global data now stored in the cloud, Zscaler’s architecture fits neatly into the “cloud‑first” strategy many enterprises are adopting.

Key Takeaways

• Growth Metrics: Revenue climbed 22% YoY in 2024, with ARR increasing by 18%. The company’s “Zero Trust Exchange” platform is cited as a key driver.
• Customer Base: 70% of Zscaler’s customers are Fortune 100 firms, providing a robust pipeline for future upsells and cross‑sell opportunities.
• Product Differentiation: The article highlights Zscaler’s “Zscaler Digital Experience” (ZDX) feature, which delivers application‑level visibility and performance analytics—an increasingly sought‑after capability as user experience becomes a top priority in cybersecurity.
• Risk Factors: The piece warns of increasing competition from large cloud providers such as Google Cloud’s BeyondCorp and AWS’s “CloudFront Security”.

Reference link in the original article: The writer linked to Zscaler’s 2024 Q4 earnings call, specifically a slide on “Zero‑Trust Adoption Rates” that shows a 30% increase in adoption year‑over‑year.

The Bigger Picture: Why 2025 Is a Turning Point

The article frames the 2025 cyber‑crime boom as a convergence of four forces:

1. Massive Data Migration to the Cloud: With the migration, attackers have a larger attack surface that is often less protected by traditional perimeter firewalls.
2. State‑Sponsored & Organized Crime Groups: These actors have become increasingly sophisticated, turning cyber‑crime into a global economy.
3. Regulatory Pressure: New privacy regulations, such as the U.S. “Cybersecurity Enhancement Act” and EU’s Digital Services Act, compel firms to adopt robust security controls or face steep fines.
4. Adoption of Zero‑Trust Models: As enterprises retire legacy “castle‑and‑moat” security models, the demand for integrated, cloud‑native solutions—such as those offered by the four companies—accelerates.

The article also notes that the average annual growth rate for the cybersecurity industry over the next three years is projected at ~15–20%, outperforming the broader S&P 500.

Bottom Line for Investors

• Palo Alto Networks offers the most diversified security stack and a proven track record of integrating new products into its ecosystem. Its valuation is justified by a strong balance sheet and an expanding subscription base.
• Fortinet is positioned as the high‑performance, cost‑effective choice, especially in emerging markets where cost sensitivity is high.
• CrowdStrike remains the gold standard for endpoint security, with its cloud‑native architecture making it a natural fit for modern hybrid environments.
• Zscaler stands out for its pure‑cloud approach and strong adoption among Fortune 100 companies—an advantage that could translate into higher margin retention.

Ultimately, the 2025 cyber‑crime boom is poised to reward companies that not only deliver high‑quality security solutions but also maintain a subscription‑based business model, strong R&D pipelines, and robust global sales networks. According to the 247WallStreet.com piece, any of the four highlighted stocks—if priced reasonably—could deliver attractive upside over the next two to three years.

Disclaimer: This article is for informational purposes only and does not constitute financial advice. Investors should conduct their own due diligence before making any investment decisions.