“Generational change” in the cyber security industry, at least according to the composition of the Nasdaq 100 index: Yesterday, the annual update to the index was published, and it was reported that Check Point was down and the shares of Palo Alto Networks, Fortint and Zscaler were indexed.
The Nasdaq 100 index includes the largest companies traded on the Nasdaq (excluding financial companies). Check Point has been an integral part of the index for many years. Aside from the loss of prestige in the event of an exit from the index, this also leads to the stock being sold by index-linked funds.
The company managed by Gil Schweid is currently traded at a value of $ 14.7 billion, while the market value of Palo Alto is $ 52.5 billion, the value of Fortint is $ 54.4 billion and Zscaler is traded at a value of $ 42.8 billion. However, Fortint is the only profitable company among the three. Check Point is also profitable but its growth rates are more modest.
Other companies that will enter the index are Airbnb, datadog and Lucid Group. The changes in the index will take effect at the opening of Wall Street Trading Week on December 20th.