Cyber-hacked companies underperform Nasdaq by 42% over three years

Finance companies severely affected

Tom Eckett
clock • 2 min read

Companies which experience a data breach are likely to underperform the market by over 40% in the following three years, according to security, private advice and comparison website Comparitech.com.

The report, which analysed the share prices of 24 companies, found companies which were cyber hacked underperformed relative to the Nasdaq by 7.3% over one year and 41.6% over a three-year period. Paul Bischoff, researcher and privacy advocate for Comparitech.com, said: "Our one-year model shows their share prices experienced an immediate 2.84% drop versus the Nasdaq and took 38 market days to recover on average." "The model shows the stocks outperformed the Nasdaq until day 175, at which point they start falling again. Three years later, the share price had fallen 42% relative to the...

To continue reading this article...

Join Investment Week for free

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now

 

Already an Investment Week
member?

Login

More on Investment

Dimensional's Kaitlin Hendrix: Counting the cost of index rebalancing

Dimensional's Kaitlin Hendrix: Counting the cost of index rebalancing

Reconstitutions can hurt returns

Kaitlin Hendrix
clock 18 July 2025 • 4 min read
Event Voice: Stepping out of cash into the Credit Sweet Spot

Event Voice: Stepping out of cash into the Credit Sweet Spot

Peter Marsland, Fixed Income Investment Specialist, from Aberdeen discusses the Short Dated Enhanced Income Fund at the June Fixed Income Market Focus.

Peter Marsland, Fixed Income Investment Specialist
clock 08 July 2025 • 4 min read
Investors undergo 'buyers' strike' in June sending order values to two year low

Investors undergo 'buyers' strike' in June sending order values to two year low

Middle East conflict did not deter investors

Eve Maddock-Jones
clock 08 July 2025 • 2 min read
Trustpilot