Cybersecurity's Anthropic Headwind - This Makes No Sense

Amrita RoyInvesting GroupFollow5ShareSavePlay(15min)CommentsSummaryCrowdStrike, Cloudflare, and Rubrik remain strong 'buy' ratings despite the recent sell-off triggered by Anthropic’s Claude Code Security launch.Claude Code Security targets application code vulnerabilities but does not overlap with core offerings of CRWD, NET, ZS, or RBRK, making the market reaction irrational.CRWD and NET continue to show robust growth in ARR, ACV, and product adoption, supporting price targets of $552 (42% upside for CRWD) and $300 (70% upside for NET).I maintain a 'hold' on Zscaler due to competitive pressures and the need for improved RPO and retention metrics to restore investor confidence.Looking for a portfolio of ideas like this one? Members of The REIT Forum get exclusive access to our subscriber-only portfolios. Learn More » JuSun/iStock via Getty Images Introduction & Investment Thesis Just when we thought that the cybersecurity industry, measured by the Global X Cybersecurity ETF (BUG), was better positioned than generic Enterprise SaaS companies in the Agentic AI era, the wholeThis article was written byAmrita Roy5.7K FollowersFollowAmrita runs a boutique family office fund in beautiful Vancouver, where she leads the investment strategy for the family fund. The fund's objective is to invest capital in sustainable, growth-driven companies that maximize shareholder equity by meeting their growth-oriented goals. In addition, she also started her own award-winning newsletter, The Pragmatic Optimist which focuses on portfolio strategy, valuation, and macroeconomics in concert with her husband Uttam Dey who is also a contributor on Seeking Alpha. Prior to cofounding her fund, Amrita worked for 5 years in high-growth supply-chain start-ups in downtown San Francisco, where she led strategy. During her time in the Bay Area, she also worked with venture capital firms and start-ups, where her efforts led her to grow the user acquisition business. During this time, she was introduced to investment portfolios and was able to maximize returns for clients during the pandemic. The cornerstone of Amritas work rests on democratizing financial literacy for everyone and breaking down financial jargon and complex macroeconomic concepts into formats that are easily digestible but more empowering than the typical investment thesis. Her newsletter has been featured as the Top Newsletter in Finance on popular newsletter platforms and she aims to bring her ideas to Seeking Alpha as well.Analyst’s Disclosure: I/we have a beneficial long position in the shares of CRWD, NET, ZS either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.