Malicious actors have been trolling the internet since its earliest days. Some attempt to seize control of your computer and hold it for ransom. Others attempt to steal people's personal data, which they may also hold for ransom or sell on the darknet.

While hackers are the proverbial dark side of the force here, ASX cybersecurity shares are working to keep household, corporate and government data safe from online thieves.

But as witnessed by the recent major hacks of telecom provider Optus and private health insurer Medibank, there's more work to be done to safeguard our virtual privacy and security.

What might hackers do with the stolen data?

The potential damage to impacted individuals will depend on the specifics of the stolen data, along with the hackers' own intentions.

As far as the Optus hack goes, Professor Vanessa Teague, a cryptographer from the Australian National University said (courtesy of ABC News):

In the Optus breach, what it seems to have primarily involved is identity documentation. And the thing that a person with malice might use it for, is exactly what you might use it for — and exactly the [reason] Optus had it for, which is identifying as that person in an online setting.

This kind of data could potentially allow hackers to get a credit card in the name of an impacted customer.

The MediBank breach poses different, but equally disturbing issues.

According to Teague, a person's medical data "isn't as useful for fraud [but] on the other hand, it potentially gives you much more power over some people, because it might reveal very intimate details about the person".

So, in the wake of all this hacking news, how have ASX cybersecurity shares been tracking?

How are ASX cybersecurity shares faring amid all these hacks?

The Optus data breach was reported to the public on 22 September. The Medibank hack came out only last week, with new details still emerging suggesting the data breach may be significantly worse than first reported.

For tracking the performance of these four ASX cybersecurity shares, we'll use the closing bell on 21 September as our starting date. And for context, we'll note that the All Ordinaries Index (ASX: XAO) has gained 1.1% over that time.

As for the BetaShares Global Cybersecurity ETF (ASX: HACK), the exchange-traded fund is up 3.5% since then. HACK's major holdings include international cybersecurity companies like Accenture, Cisco, Cloudflare and Crowdstrike.

As for internet security company Tesserent Ltd (ASX: TNT), it's trading right where it was when the Optus data breach news first broke.

Then there's ASX cybersecurity share Archtis Ltd (ASX: AR9). The Archtis share price is down 14.7% over this period.

And we leave off with WhiteHawk Ltd (ASX: WHK). The microcap ASX cybersecurity share is up 3.3% since the closing bell on 21 September.

The post How are ASX cybersecurity shares faring amid all these hacks? appeared first on The Motley Fool Australia.

"G'day Fools. If you're like us, you're dismayed by the events taking place in Ukraine. It is an unnecessary humanitarian tragedy. Times like these remind us that money is important, but other things are far more valuable. And yet the financial markets remain open, shares are trading, and our readers and members are looking to us for guidance. So we'll do our best to continue to serve you, while also hoping for a swift and peaceful end to war in Ukraine."

It's proving to be a big week for ASX cybersecurity shares as fears of Russian cyber attacks grow and the tech sector recovers.

Internationally, cybersecurity stocks Crowdstrike Holdings Inc (NASDAQ: CRWD) and Palo Alto Networks Inc (NASDAQ: PANW) have each gained around 15% over their last five sessions.

And the theme is carrying over to the ASX. Let's take a look at what's seemingly got investors bullish on cybersecurity and two ASX shares that could be benefiting.

What's driving ASX cybersecurity shares higher?

Warning bells are ringing after Western powers – including Australia – placed sanctions on Russia, barring its banks from accessing the Society for Worldwide Interbank Financial Telecommunications (SWIFT) payment system.

International banks are likely now preparing for retaliatory cyberattacks, according to reporting by Reuters.

Meanwhile, Telstra Corporation Ltd (ASX: TLS) CEO Andy Penn told the Mobile World Congress that the crisis occurring in Ukraine is an example of a changing landscape where cyberattacks can ultimately harm individuals and businesses anywhere, as reported by The Australian.

Just last week, the Australian Cyber Security Centre (ASCS) issued a warning to organisations, asking them to consider strengthening their cybersecurity measures following Russia's invasion of Ukraine.

Of course, concerns of malicious cyber activity have helped put a spotlight on ASX cybersecurity shares.

Additionally, as cybersecurity stocks inevitably overlap with the technology sector, it's worth mentioning the latter's recent rebound.

After plunging last Thursday, the S&P/ASX All Technology Index (ASX: XTX) and S&P/ASX 200 Information Technology Index (ASX: XIJ) have recovered their losses – and then some.

The All Tech Index is currently 5% higher than it was one week ago. Meanwhile, the ASX 200 Info Tech Index is 10% higher.

These ASX cybersecurity shares have taken off this week

ArchTIS Ltd (ASX: AR9)

Producer of cybersecurity and secure information sharing solutions, ArchTIS has seen its share price surge 14% over the last week. At the time of writing, shares in the company are trading for 19 cents apiece.

Worth noting, the company released its earnings for the first half of financial year 2022 last Thursday.

Over the half, the company's revenue more than doubled ­to reach $2.4 million last half. That's a 118% increase on that of the prior comparable period.

Additionally, its reoccurring revenue grew 104% to $2 million.

WhiteHawk Ltd (ASX: WHK)

The WhiteHawk share price began trading after an extended freeze late on Thursday. It has since gained 34% to trade at 16 cents.

The trading halt was imposed by the ASX as it ran a fine-toothed comb through the company's recent disclosures.

The following day, WhiteHawk dropped its preliminary report for 2021.

Last year, the company's revenue increased 180% on that of 2020 while it posted an after-tax loss of US$2.5 million.

The post 2 ASX cybersecurity shares going gangbusters this week appeared first on The Motley Fool Australia.

At the time of writing, WhiteHawk shares are up 8.82% to 18.5 cents. In comparison, the All Ordinaries Index (ASX: XAO) is down 0.16% at 7,723 points.

United States government commits to contract renewal

Investors are buying up WhiteHawk shares following the latest positive news out of the company.

WhiteHawk announced that the Cyber Risk Radar contract has been renewed by the United States Federal Government Chief Information Security Officer (CISO).

This will see the first year of 4 option years exercised for US$608,000 (A$852,000), with an option for an additional US$550,000 (A$771.000).

The annual software-as-a-service (SaaS) subscription monitors, identifies, and prioritises both cyber and business risks. This is particularly handy for assessing United States Government IT teams' supply chain vendors.

WhiteHawk Cyber Risk scorecards will be provided annually for more than 150 vendors, via an integrated risk management dashboard.

The 3 remaining option years can potentially generate revenues of US$2 million (A$2.8 million) and up to US$1.75 million (A$2.45 million) for WhiteHawk.

The company noted there is strong demand for cyber risk solutions globally. Supply chain vendors continue to remain at high levels of risk as technology evolves.

About the WhiteHawk share price

Founded in 2015, WhiteHawk is a United States-based online cybersecurity company that provides cyber risk products, services, and solutions.

WhiteHawk developed the first online cybersecurity exchange which allows small and medium-sized businesses to prevent cybercrime, fraud, and disruption.

Over the last 12 months, WhiteHawk shares have jumped almost 20% higher, but are down close to 40% year-to-date. The company's share price is within the lower end of its 52-week range of 12 cents to 46.5 cents.

Based on valuation metrics, WhiteHawk commands a market capitalisation of roughly $42 million, with approximately 227 million shares outstanding.

The post Why the WhiteHawk (ASX:WHK) share price is rocketing 8% today appeared first on The Motley Fool Australia.

Shares in the online cybersecurity small-cap were down 7.69%, trading at 30 cents at market close.

Why is the WhiteHawk share price crashing lower?

Shares in the company were trading lower today amid the ASX market-wide sell-off. The fall in WhiteHawk share price may also have been triggered by the company's report for the year ended 31 December 2020.

During the year, WhiteHawk invoiced for US$2.1 million, recognising US$1.9 million revenue for 2020. This was up 83.5% on the company's revenue for 2019. However, the increase was not enough to stop the company from posting a loss of US$1.81 million, down 34.2% on the previous corresponding period.

During the 2020 calendar year, WhiteHawk also executed a number of important contracts. Notably with the United States Department of Homeland Security for US1.5 to $1.8 million, starting in October last year.

Furthermore, the company continued its transition to produce a cybersecurity exchange as a tailorable platform as a service (PaaS).  On this front, the company formed an initial partnership with a global insurance group and requested a quote from a US manufacturer association.

WhiteHawk finished 2020 with a cash balance of $2.4 million without any debt.

Outlook

Looking ahead, the company stated that it was strategically positioned for continued growth in 2021.

WhiteHawk is working on growing revenue through two primary paths.

As mentioned, PaaS enables users to manage cyber threats. The other stream will come from the company's embedded SaaS offering. This aims to prevent financial fraud, identity theft and mobile device security among other things.

On the sales front, the company claims to have 40 ongoing engagements in the pipeline, of which 5 to 10 should be executed this year.

About the WhiteHawk share price

WhiteHawk recently underwent the due diligence to become an ESG (environment, social, governance) registered company. This is a new standard in measuring the sustainability and ethical impact that a company makes.

The WhiteHawk share price has performed well in the last year, gaining 408%.

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Reporting ESG performance had always been an inexact science, unlike well-established accounting standards.

But the World Economic Forum in September published a set of metrics that corporates can use to evaluate their ESG chops.

Using this framework, 6 Australian-listed companies announced Wednesday that they would start reporting ESG metrics in their quarterly reports required by the ASX:

• Euro Manganese Inc (ASX: EMN)
• Vulcan Energy Resources Ltd (ASX: VUL)
• Elixir Energy Ltd (ASX: EXR)
• Minbos Resources Ltd (ASX: MNB)
• MyFiziq Ltd (ASX: MYQ)
• WhiteHawk Ltd (ASX: WHK)

Melbourne tech firm Socialsuite is providing the software for these companies to report their non-financial metrics.

Vulcan Energy is a mining company with a $259 million market capitalisation that's developed a method to produce lithium with minimal carbon emissions.

Managing director Francis Wedin said his business was proud to be one of the first adopters of the new standard ESG metrics.

"Positive impact and ESG is the core reason we started the company," he said.

"We know that by delivering against ESG we can create long term sustainable value, while driving positive outcomes for the business, the economy, society, and the planet."

Most investors care about ESG now

Unfortunately for those trailblazing companies, 20% of Australian investors would take higher returns over their own moral code.

But this also means 80% of local investors care about how the companies they buy into align with their personal beliefs.

The rise of ESG as a factor in investment choices was prominently on display last year after Rio Tinto Limited (ASX: RIO) blew up the historically significant Juukan Gorge.

The multinational mining giant initially defended its actions, saying its actions complied with the law. 

An internal investigation later stripped $7.2 million of bonuses off 3 executives, but this only caused more public outrage for putting a 'valuation' on the priceless site.

But sustained pressure from major shareholders, including some of Australia's biggest superannuation funds, sent the 3 executives packing – albeit with massive enough golden handshakes that would mean they never had to work again.

"Investors have stepped up in this instance and demonstrated that they will not accept corporate misinformation and the absolute disrespect to cultural sites that has become Rio's modus operandi," Australasian Centre for Corporate Responsibility legal counsel James Fitzgerald told The Motley Fool at the time.

"Shareholder democracy and investor action is alive and well in Australia."

The spectacular 700% rise in the share price of Tesla Inc (NASDAQ: TSLA) last year was also a case in point. Many retail investors were thrilled with backing a company they considered a part of the solution, rather than the carbon-emitting establishment.

The post These 6 ASX companies just started measuring ESG appeared first on The Motley Fool Australia.

In afternoon trade, the cybersecurity marketplace provider's shares are up a massive 26.5% to 31 cents.

This means the WhiteHawk share price is now up over 244% since the start of the year.

Why is the WhiteHawk share price rocketing higher?

Investors have been buying the company's shares on Monday after strong gains were made by US cybersecurity shares on Friday night.

The likes of Crowdstrike, FireEye, and Okta hit new record highs at the end of the week after the US Government experienced one of its worst cyberattacks in history.

According to CNBC, the scale of a sophisticated cyberattack on the U.S. government that was unearthed last week was far bigger than first anticipated.

The US Cybersecurity and Infrastructure Security Agency (CISA) even went as far as to say that the threat "poses a grave risk to the federal government."

CISA suspects that the attack first began all the way back in March. Since then, it notes that multiple government agencies are believed to have been targeted by the hackers, though only the Energy and Commerce departments have so far confirmed attacks.

What about WhiteHawk?

This news bodes well for WhiteHawk and could lead to an increase in demand for its services in the near future. Particularly given its recent announcement, which reveals that it has updated its software to make it compliant with the new regulations from the Council of Financial Regulators.

That update will allow financial institutions to ensure their own safety and that of their clients.

WhiteHawk's Executive Chair, Terry Roberts, commented:

"Whitehawk remains committed to delivering the most comprehensive marketplace of Cybersecurity online and SaaS services to businesses internationally and invites all Australian businesses to partner with us to make the future of Australian business more secure for each and every one of us."

"We have achieved our original vision of being able to seamlessly service any company or organization, to mitigate their cyber risks smartly, affordably and continuously."

This news has also given the BetaShares Global Cybersecurity ETF (ASX: HACK) a big lift on Monday. In afternoon trade the cybersecurity focused ETF is up 6% to a record high.

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