Security is becoming a growing global concern, both online and off.
Diverse companies are stepping up to provide solutions for individuals and businesses, and some of them are seeing impressive share price gains as they meet increasing demand for consumer safety.
Emerging quantum computing technology is a rising source of concern for cybersecurity, as quantum computers may be able to break the cryptographic methods currently used for encryption.
1. SEALSQ (NASDAQ:LAES)
Year-over-year gain: 475.91 percent
Market cap: US$767.01 million
Share price: US$7.89
SEALSQ specializes in semiconductors, public key infrastructure and post-quantum technology. Its parent company is WISeKey International, another security technology company on this list. SEALQ is developing post-quantum cryptography methods that will be secure against threats from quantum computers. The company plans to launch its quantum-resistant hardware platform QS7001 in 2025.
After trading rather flat for much of 2024, SEALSQ has seen its share price really take off in the final weeks of the year and into the new year. The stock reached a yearly high of US$9.08 on December 27.
The company has reached a number of milestone events that have increased its value in the eyes of investors. In mid- December, SEALSQ announced several partnerships for its technology, including one with distributed ledger technology company Hedera, which will use the cybersecurity company’s quantum-resistant chips for long-term security of Hedera’s blockchain network.
The partners’ technology will also be a part of a January satellite launch with another WISeKey subidiary, WISeSat.Space, which is discussed further in the next entry.
2. WISeKey International Holding (NASDAQ:WKEY)
Year-over-year gain: 449.04 percent
Market cap: US$101 million
Share price: US$10.04
WISeKey International Holding is a global cybersecurity, artificial intelligence (AI), and Internet of Things (IoT) technology company.
WISeKey also traded sideways for most of 2024 before a seeing a substantial share price rally to close out the year. The stock hit a yearly high of US$13 on December 26.
Like its subsidiary SEALSQ, WISeKey made some important announcements in December that brought them to the attention of the marketplace. The company confirmed on December 13 that its subsidiary WISeSat.Space’s WISeSat satellites will be a part of the January 14, 2025, SpaceX satellite launch from the Vandenberg Space Force Base in California. The satellites are equipped with SEALSQ’s post-quantum chips and partner Hedera’s blockchain technology.
Early in 2025, WISeKey plans to bring to market its Quantum RootKey advanced cryptographic technology “designed to secure digital identities, systems, and communications against the imminent threat posed by quantum computing.”
3. Allot (NASDAQ:ALLT)
Year-over-year gain: 346.45 percent
Market cap: US$265.44 million
Share price: US$6.91
Allot offers network intelligence and security-as-a-service (SECaaS) solutions for service providers around the world. This includes network and application analytics, traffic control and shaping, and network-based security services.
Shares in Allot experienced a gradual rise over the past year before really heating up in the fourth quarter and into 2025. The stock’s yearly high of US$6.90 came on January 6.
In its Q3 2024 financial report, Allot highlighted revenues of US$23.2 million, up 5 percent over the previous quarter and up 3 percent year-over-year. This was led by growth in its SECaaS segment, which saw revenue of US$4.7 million, a 69 percent year-over-year jump.
In recent weeks, the company has inked service agreements with key broadband providers including Japan’s Asahi Net, Portugal’s MEO and British telecommunications firm Vodafone UK.
4. Arqit Quantum (NASDAQ:ARQQ)
Year-over-year gain: 258.14 percent
Market cap: US$480.03 million
Share price: US$38.30
Arqit Quantum is a quantum-safe encryption technology company that supplies an encryption platform-as-a-service “which makes the communications links of any networked device, cloud machine or data at rest secure against both current and future forms of attack on encryption – even from a quantum computer.”
After seeing a share price bump in the first quarter of 2024, Arqit’s stock traded on a gradual downward slope until the fourth quarter. The stock reached a yearly high of US$43.83 on December 26.
Arqit garnered the distinction of a 2024 International Data Corp (IDC) Innovator for post-quantum cryptography in September, joining one of only five vendors recognized by IDC for providing potential quantum cyberattack solutions.
In its 2024 fiscal year report ended 30 September, Arqit reported revenue of US$293,000. Heading into 2025, the company is set to begin revenue generation through a multi-year enterprise license contract with a government end user, with annual recurring revenue totaling seven figures.
5. OneSpan (NASDAQ:OSPN)
Year-over-year gain: 90.8 percent
Market cap:US$716.13 million
Share price: US$18.85
OneSpan is a cybersecurity company that provides security, identity, electronic signature and digital workflow solutions to secure digital agreements and business transactions. Its customers include global blue-chip enterprises and more than 60 percent of the world’s largest 100 banks.
OneSpan’s share price has climbed steadily upward over the past year to reach a yearly high of US$19.38 on December 16.
In October 2024, the company introduced a new phishing-resistant transaction security solution, VISION FX. It’s designed to “strengthen protection against phishing and account takeover threats (ATO), setting a standard for banking security.”
The following month, OneSpan announced a partnership with Ping Identity in which Ping Identity will offer OneSpan’s password-free authentication solutions through its partner program.
“By partnering with Ping Identity, we’re making it easier for organizations to leverage high assurance hardware-based authentication with Ping Identity’s market-leading identity management solutions,” said Giovanni Verhaeghe, OneSpan senior vice president of corporate and business development.
In its Q3 2024 financials report, OneSpan reported a subscription revenue increase of 29 percent year-over-year to US$33.6 million. Annual recurring revenue increased 9 percent year-over-year to US$163.9 million. Overall, total revenue was down 4 percent year-over-year to US$56.2 million. In mid-December, the company declared that a quarterly cash dividend of US$0.12 per share will be paid on February 14, 2025.
Securities Disclosure: I, Melissa Pistilli, hold no direct investment interest in any company mentioned in this article.
