CrowdStrike, Fortinet shares rise in broad security tech rally
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CrowdStrike Holdings (NASDAQ:CRWD), Fortinet (NASDAQ:FTNT) and other network-security stocks flexed their muscles on Monday and joined in a rally brought on by an upbeat earnings pre-announcement from Zscaler (NASDAQ:ZS).
Prior to the start of trading, Zscaler (ZS) said it expects revenue for its quarter that ended to be between $415M and $419M, while it had earlier forecast $397M for the midpoint of its revenue range. Zscaler (ZS) also raised its full-year revenue outlook from $1.56B to a range of $1.58B to $1.59B.
Zscaler's (ZS) shares surged more than 22% on reaction to its outlook. And that outlook gave investors some hope that enterprise spending is about to go on the rise and lead to better sales across the sector this year.
For its part, CrowdStrike (CRWD) rose almost 8%, Fortinet (FTNT) shares edged by 2%, Palo Alto Networks (PANW) and Cloudflare (NET) both climbed by more than 4% and Datadog (DDOG) was up by almost 2%.
More on security stocks and earnings:
Fortinet stock surges as results, outlook gets Wall Street praise
Cloudflare stock climbs 8% on mild new Guggenheim upgrade
Datadog stock surges 14% on results, full-year guidance boost