Want Exposure To Cybersecurity? Consider This FTSE 100 Stock

 | Jan 22, 2021 02:56

Technology shares, which are part of many portfolios, have provided significant returns over the past decade. In the past year, the tech-heavy NASDAQ 100 index returned more than 45%.

Due to the coronavirus pandemic and lockdowns worldwide, digitalization has entered many aspects of our lives much faster than previously imagined.

Increased reliance on technology and the internet has also meant an expanding market for cybersecurity products. Both businesses and individuals are ready to spend more to protect themselves from hackers. While technology advances at rapid speed, so do the methods of scammers and criminals online.

The cybersecurity market "was valued at $149.67 billion in 2019 and is projected to reach $304.91 billion by 2027, growing at a CAGR of 9.4% from 2020 to 2027."

According to recent European metrics :

“Up to 88% of UK companies have suffered breaches in the last 12 months…. That is lower than Germany (92%), France (94%) and Italy (90%).”

US President Joe Biden Cyber Security and Information Security Agency (CISA), alongside a wider security upgrade across the federal government.”

Many investors understandably think of US-listed shares when technology stocks are mentioned. Yet, many non-US tech companies are also seeing strong revenue and share price growth.

Today's we look at a leading global cybersecurity business, FTSE 100 member Avast (LON:AVST) (OTC:AVASF), a well-known security software provider. So far in 2021, AVST shares are up about 1%. On. Jan. 21, it closed at 531p ($7.3 for US-based stock).