Check Point, CyberArk, SentinelOne among most exposed in Israel-Hamas war: JP Morgan
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Check Point Software (NASDAQ:CHKP), CyberArk Software (NASDAQ:CYBR) and SentinelOne (NYSE:S) are among the cybersecurity companies most exposed to the war between Israel and Palestinian military group Hamas, according to investment firm JP Morgan.
âAs events continue to evolve, we believe companies with operations in Israel are well prepared to manage geopolitical disruption in the region, but we would not be surprised to see headlines pressure more exposed stocks within our coverage universe,â analysts led by Brian Essex wrote in a note.
Check Point Software (CHKP): The company is headquartered in Tel Aviv and had approximately 60% of its office space and 42% of its employees in Israel as of 2022. The company operates primarily from Israel and maintains principal executive offices and R&D facilities in the country.
CyberArk Software (CYBR): The identity security company maintains a substantial presence in Israel, with one of its headquarters in Tel Aviv. Additionally, 71% of its long lived assets -assets that will provide benefits over a period of time longer than a year - are in the country, as are an undisclosed number of employees.
SentinelOne (S): The company has relatively meaningful exposure to Israel. While not headquartered in the country, SentinelOne (S) has 44% of its long lived assets in Israel, with a portion of its R&D based in Tel Aviv.
Palo Alto Networks (PANW): Several of Palo Alto Networksâ (PANW) acquisitions have been based in Israel including Cider, Cyber Secdo, PureSec and Twistlock. Palo Alto has an undisclosed number of employees and approximately 12% of long lived assets in Israel.
Rapid7 (RPD): The company has exposure with a research and development office in Tel Aviv and an undisclosed number of employees at that location.
Tenable (TENB): The firm conducts R&D operations in Israel of undisclosed size. Additionally, the recently acquired cloud security provider Ermetic is headquartered in Tel Aviv, with an undisclosed number of employees and assets.
Zscaler (ZS): Zscaler conducts R&D operations in Israel of undisclosed size.
A Check Point spokesman told Seeking Alpha that the company's operations remain "unaffected." The others mentioned in this story have not yet responded to a request for comment.
Shares of the aforementioned cybersecurity stocks were mixed on Monday, as Zscaler (ZS), Rapid7 (RPD) and Palo Alto Networks (PANW) saw modest gains, while Tenable (TENB), SentinelOne (S) and CyberArk (CYBR) moved lower.

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