Another day, another report of the National Security Agency, and its information-leaking activity. It seems we can’t go one news cycle without hearing something about the now-notorious Edward Snowden and how much of our information is actually being gathered and examined. But while the entire picture has many deleting their online accounts in fear, those in the financial sector are bracing for good news.
Where the protection of our data is concerned, many computer users rely on antivirus programs to do the job. As many now come with real-time monitoring of all our online activity, we can be notified when we’ve landed on an infected web page or have received a suspicious email. And it is these protection programs which some say are going to be enjoying incredible growth in the markets over the next little while.
But there are three major antivirus companies which experts say should be watched closely by potential investors. These are AVG, Norton and McAfee. Investors may flock to AVG because of its uniqueness: AVG’s profit margin, impressive at 16% is adequately reflected by its $1 billion market cap, making it a good bet for solid returns in the computer security and internet stocks arena.
Norton’s now world-famous suite of security tools are what make this Fortune 500 company valuable to computer users. But to investors, Symantec’s sheer size is a definite attractor: it is one of the largest companies in the industry. Its profit margin of 11% and $16 billion market cap aren’t bad, either. Of course, Norton has had some trouble in the past, having been named one of the more disappointing programs in terms of load on computer processors and its vulnerability to current virus threats.
Another heavy hitter in the antivirus world is McAfee, and for good reason: it is an Intel subsidiary that is wholly owned by the company. The company also boasts many customers in the corporate arena, altering investors to the value companies place on McAfee. This company is a lucrative investment due to its continuing technological acquisitions and growth, and its mandate to stay one step ahead of hackers. McAfee currently has a profit margin that exceeds 19%. But some wonder if their large selection of products actually places them at risk of profit dilution.
The choice of which company to invest in may lie in looking at which aspects of the companies to best focus on. For example, one may like AVG because it offers premium protection when using internet service providers in my area at no cost. As far as security stocks are concerned, the company may be a good choice for long-term investments. Both Symantec and Intel offer much in the way of options for long term investors. In Intel’s case, the fact that it is dominating several markets including PC microprocessors is impressive. However, experts say that this company will have to find new routes to grow in order to avoid putting itself at risk. The best investment decisions can often be made by consulting a financial advisor, which is what many experts recommend.