The cybersecurity market is one that continuously creates challenges and opportunities. Players in this market include internet security experts, criminals, and governments, while others participate by simply being the victims or the customers of the aforementioned.

Companies and individuals are constantly faced with potential cyber attacks which are coordinated by cyber criminals by planting malware, spyware, and phishing programs into their computers through spam programs and emails. One of the most popular attacks right now is a malware dubbed ransomware Zepto File Virus, which is planted into your computer using a spam email for the purposes of demanding ransom.

Such viruses and associated criminals are making the cybersecurity industry once again interesting after undergoing a hiatus period over the last twelve months. Most stocks in this industry hit peak price levels mid last year but now have lost about a third of their market values since then.

One of the most popular players in the cybersecurity industry is Fortinet (FTNT), which is a technology company that provides cybersecurity solutions for enterprises, service providers, and government organizations worldwide. The company’s stock price is currently down 37% trading at about $30.70 since hitting a multi-year high of about $48 in July last year.

A majority of this drop came about over the last few days after the company declined by a double-digit figure to mark an end to what appeared to be a route back to the top.

The company’s most recent plunge in stock price came as a result of weak guidance on upcoming results, with billings and revenue set to grow at the slowest rate since 2013. Investors interpreted this announcement as a signal that the business could be slowing down.

However, when you look at things from a wider perspective, Fortinet is still a very attractive company in the cybersecurity industry.

To begin, the company serves a majority of the fortune 500 companies, which means that a good chunk of its revenue has a high degree of reliability given the stability of its client base.

In addition, Fortinet’s core product Fortigate is about to receive a major boost after the company acquired security firm AccelOps to strengthen its position in cloud and IoT analytics. Fortigate offers end-to-end protection across on-premise, cloud-based, and Internet of Things (IoT) devices.

The company also recently established a cloud data center for its European operations which will help in addressing “privacy concerns and [reducing] compliance burdens, [as well as] enabling enterprises in the EU to adopt cloud-based security solutions and [realizing] the superior protections of the Fortinet Security Fabric.”

Fortinet’s recent performance may be discerning on a short-term basis but when you take a long-term view, the stock has more in store than meets the eye. Its growth plan seems to be well set up despite the near term misfortunes while the overall industry outlook remains positive.

According to a recent report published by Research Markets, the cybersecurity industry is expected to grow by 11.4% CAGR through the year 2020 due to increased data breaches in the cyberspace. This is a massive opportunity for cybersecurity companies to capitalize on and Fortinet appears well set to ride the rally.

As discussed, the company is setting up new data centers as well as acquiring other players in the market to ready itself for the impending industry growth.

Conclusion

In summary, data breaches, computer malware and spyware, as well as, phishing programs are on the rise and a good case in point is the ransomware Zepto File Virus, which criminals are using for ransom.

Such activities are increasing the need for more protection for individuals and businesses alike, and this is part of the reason why the cybersecurity industry is set for a double-digit CAGR through the year 2020.

Fortinet can capitalize on this, and given its recent decline in stock price, it could be a good time to buy.