12 Oct 16. Cyber security companies slide on Fortinet guidance cut. Investors in cyber companies were in need of security on Wednesday after Fortinet sliced its third-quarter outlook, blaming delayed purchases for its downbeat guidance.
Fortinet shares fell 12 per cent to $30.01 after the California-based company lowered its sales forecast to $311m from $316m, below its earlier estimates for $319m to $324m and shy of analysts’ forecasts for $322.3m. Its earnings outlook in the range of 15 to 16 cents a share was also below its previous estimates and analysts’ expectations for 18 cents.
Fortinet also said it expects billings in the range of $343m to $348m compared to its previous guidance of $372m to $376m.
The company said customers have been more “strategic in their purchases,” taking longer to make purchasing decisions or buying only what they immediately need, in the wake of “elevated” purchases in 2015. Since 2014, there have been data breaches at companies as varied as EBay, JPMorgan, Home Depot, Anthem, Sony and Yahoo, to name a few.
The company also said that it had been impacted by “economic challenges of the Brexit in the UK, as well as the ongoing geopolitical issue and turmoil in Latin America”.
Fortinet’s profit warning also saw investors sour on rival cyber security providers.
• FireEye shares fell 2.7 per cent to $12.94
• Proofpoint shares slid 2.5 per cent to $69.21
• Shares in Palo Alto Networks slid 1.6 per cent to $152.97
• Shares in CyberArk Software declined nearly 4 per cent to $48.04
12 Oct 16. Awareness of cyber attacks in the run-up to the U.S. presidential election helped grow the number of young adults more likely to pursue a career in cybersecurity, according to Securing Our Future: Closing the Cybersecurity Talent Gap, a new survey commissioned by Raytheon (NYSE: RTN) and the National Cyber Security Alliance.
The survey found that:
• In the U.S., the number of young adults who say they have read or heard a news account of cyber attacks within the last year nearly doubled from 36 percent in 2015 to 64 percent in 2016
• In the U.S., 53 percent of young adults say a political candidate’s position on cybersecurity impacts their level of support for that candidate, including 60 percent of men and 47 of women
• In the U.S., 50 percent of young adults don’t think cybersecurity has been a big enough part of the discussion leading up to the presidential election
• Globally, 59 percent of men, up from 43 percent in 2015, reported receiving formal cyber safety lessons, compared to 51 percent of women, an increase from 40 percent a year ago
• Globally, 54 percent of young men, up from 46 percent in 2015, said they were aware of the job tasks involved in the cybersecurity profession, compared to just 36 percent of young women, an increase from 33 percent last year
• Globally, 37 percent of young adults (34 percent in the U.S.) are more likely than a year ago to consider a career to make the Internet safer, compared to 28 percent in 2015 (26 percent in the U.S.)
“Millennials see hacktivists breaking into computer systems and threatening our economy,” said Dave Wajsgras, president of Raytheon’s Intelligence, Information and Services business. “If we can show young men and women a clear path to careers in cybersecurity, we can make real progress in eliminating the serious cyber talent shortage and making our country more secure.”
Raytheon and NCSA released the latest results from its annual cyber study during the 13th annual National Cyber Security Awareness Month, sponsored by the U.S. Department of Homeland Security and NCSA each October. Zogby Analytics conducted the survey of 3,800 young adults aged 18-26 across four global regions. The goal was to identify the root causes of the cyber talent gap as part of a shared long-term commitment to building a robust talent pipeline.
“When it comes to guidance for pursuing cybersecurity careers, young adults say parents are