tech
We're buying more of this cybersecurity stock as the market keeps getting it wrong
We've repeatedly pointed out that we do not think AI will disintermediate traditional cybersecurity vendors.
TL;DR
- Jim Cramer's Charitable Trust purchased 10 shares of CrowdStrike, increasing its portfolio weighting.
- Concerns about AI-driven disruption and new security tools from Anthropic and Databricks put pressure on enterprise software stocks.
- CrowdStrike's Falcon platform is designed to secure AI at all layers of the AI stack.
- The trust believes AI will be a tailwind for CrowdStrike and other leading cybersecurity vendors, as AI applications will require security.
- Databricks' entry into the SIEM market with Lakewatch, powered by Anthropic's Claude AI, creates competitive risk.
- The trust views the pullback in CrowdStrike's stock as an opportunity, emphasizing the trend of platform consolidation in cybersecurity.
- CrowdStrike creates its own data, providing an edge over competitors like Databricks, which primarily stores and analyzes customer data.
- CrowdStrike emphasizes its proprietary real-time data and a 'flywheel and network effect' driven by evolving technology, data, and AI agents.