These 2 'secular' growth stocks are likely to keep rising despite rate hikes, fund managers say

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One of the companies said it expects a compounded annual growth rate of up to 19% over the next three years. The stock is up almost 75% this year.

Shares of cybersecurity companies are likely to stay on their "secular" growth trajectory despite an increase in interest rates or a slowdown in global growth, according to several fund managers. Cybercrime is estimated to have cost economies worldwide $5.5 trillion in 2021, nearly twice as much as the previous year, according to Statista . That trend is expected to double again to almost $10 trillion by 2028.

However, he cautioned against buying CrowdStrike at current share price levels as they may be overvalued. CrowdStrike closed at $153 on Monday. "I'm not tempted at this level. I'd like to see it settle in a little bit before I buy it. I don't regard it as particularly cheap," Weiss said. Joe Terranova, senior managing director at Virtus Investment Partners, who currently owns CrowdStrike , Palo Alto and Fortinet , agreed.

 

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