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Will VSAT Stock Benefit From the Strategic Collaboration With CYSEC?

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Viasat, Inc. (VSAT - Free Report) recently announced that it has joined forces with Europe-based cybersecurity start-up CYSEC to advance satellite encryption services. CYSEC has opted to join VSAT’s ELEVATE program, a platform that allows enterprises of any size with innovative digital solutions to scale their business using VSAT’s robust network and extensive footprint.

The program offers access to a diverse ecosystem of partners, which includes IoT solution providers, connectivity wholesalers, enablers and original equipment manufacturers. The program partners also gain from VSAT’s technical guidance, market strategies and greater exposure through its distribution channel.

Satellite communication has become a critical element in various sectors, such as telecommunications, defense and finance. Given this growing importance, the deployment of advanced cyber defense mechanisms is paramount. Cybercriminals are constantly improvising and developing more advanced techniques to breach the security layers. Maintaining the integrity of the fast-growing space asset market is a significant challenge.

CYSEC’s portfolio of high-performance cybersecurity software suites is engineered to provide robust security for satellite communication and ensure the operational integrity of mission-critical infrastructure. CYSEC’s comprehensive cybersecurity portfolio aligns well with VSAT’s focus on satellite communication. The joint expertise of the organizations will accelerate the development of more advanced and custom cybersecurity tools for the satellite communication industry. Access to the ELEVATE marketplace will provide CYSEC with greater exposure and bolster its presence in the global cybersecurity space.

Will This Collaboration Boost VSAT’s Share Performance?

The collaboration with CYSEC is expected to be beneficial for the company. In the highly competitive satellite communication market, the availability of robust cybersecurity measures can differentiate VSAT’s product offerings and give an immense competitive advantage. This augurs well for long-term growth.

VSAT’s Stock Price Performance

Shares of Viasat have lost 34.4% over the past year against the industry’s growth of 54.4%.

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VSAT’s Zacks Rank and Key Picks

Viasat currently carries a Zacks Rank #3 (Hold).

Arista Networks, Inc. (ANET - Free Report) carries a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

In the last reported quarter, it delivered an earnings surprise of 8.25%. It is engaged in providing cloud networking solutions for data centers and cloud computing environments. The company offers 10/25/40/50/100 Gigabit Ethernet switches and routers optimized for next-generation data center networks.

Ubiquiti Inc. (UI - Free Report) sports a Zacks Rank #1 at present. The company offers a comprehensive portfolio of networking products and solutions for service providers and enterprises.

Its excellent global business model, which is flexible and adaptable to evolving changes in markets, helps it to beat challenges and maximize growth. The company’s effective management of its strong global network of more than 100 distributors and master resellers improved its UI’s visibility for future demand and inventory management techniques.

Workday Inc. (WDAY - Free Report) carries a Zacks Rank of 2 at present. In the last reported quarter, it delivered an earnings surprise of 7.36%.

WDAY is a leading provider of enterprise-level software solutions for financial management and human resource domains. The company’s cloud-based platform combines finance and HR in a single system that makes the process easier for organizations to provide analytical insights and decision support.


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