12 Best Cybersecurity Stocks to Buy According to Analysts

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In this article, we will be taking a look at the 12 best cybersecurity stocks to buy according to analysts. To skip our detailed analysis of the cybersecurity sector, you can go directly to see the 5 Best Cybersecurity Stocks to Buy According to Analysts.

AI in Cybersecurity: A Double-Edged Sword?

The technology sector has developed exponentially over the past few years, leading to an increasingly interconnected digital landscape. This is more the case in light of the rise of artificial intelligence (AI), as it has armed companies, individuals, and governments with an exceptionally effective technological arsenal. As a result, cybersecurity has become more pronounced regarding innovation and exposure to external cyber threats.

A fall 2023 article published by Deloitte, titled "AI in Cybersecurity: A Double-Edged Sword," highlighted the important role AI has come to play in the cybersecurity industry. The report noted that AI now offers the potential of bolstering digital defenses to make them stronger than ever before. For instance, a Zipdo survey cited by Deloitte has shown that 61% of enterprises believe they require AI technologies to detect breach attempts and that 69% of organizations surveyed believed they could not respond to critical threats without AI. However, AI is also capable of doing great damage if it falls into the wrong hands, in terms of "unleashing new forms of cyber threats." Deloitte noted several examples of AI-enabled cyber threats, including a 2023 instance when hackers used AI to get through Bitfinex's biometric authentication system. Fake video streams were injected into the verification process and succeeded in fooling the system into thinking that the videos were legitimate users. Through this endeavor, the hackers stole $150 million worth of digital assets such as Bitcoin, Ethereum, and Tether.

Mitigating the Risks

Despite the malicious use of AI in cybercrime, many still believe in the transformative capability of this technology in the cybersecurity industry, provided that certain steps are taken to mitigate the risks associated with AI in cybercrime. Deloitte recommended the establishment of policies and standards that could set the framework for responsible and secure AI usage, the development of a defensible security architecture that can protect AI systems from internal and external threats, and the implementation of tailored security solutions for AI.

As the situation stands at present, AI in cybersecurity is thus here to stay. From an investment standpoint, this can be an exciting opportunity. According to the Zipdo survey, by 2026, the global AI in cybersecurity market is projected to reach a grand total of $46.3 billion. Deloitte has also offered a projection for this growth, stating that the market, which was worth $17.4 billion in 2022, may hit a value of $102.78 billion by 2032, growing at a compound annual growth rate of  19.43% between 2023 and 2032. Additionally, Zipdo estimates that AI-enabled cybersecurity tech is expected to grow at an annual rate of 23.6% until 2027. Considering the impact of this technology in the cybersecurity space, 44% of the businesses surveyed reported that they are planning to invest in AI to improve their cybersecurity.


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