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One Cybersecurity Stock Is Bucking the Tech Sell-Off and on Pace for Its Best Week Since 2001

Pavlo Gonchar | SOPA Images | LightRocket | Getty Images

As tech takes a tumble this week, there is one name that is bucking the sell-off to rally higher.

NortonLifeLock surged Wednesday after getting a double upgrade to buy from Bank of America. Analysts predict a "growth renaissance" for the company. The stock is up nearly 20% for the week, tracking for its best since 2001, after reporting better-than-expected quarterly results Monday.

But, it's not the only cybersecurity stock in focus after the Colonial Pipeline hack over the weekend. CNBC's "Trading Nation" asked two traders for their best cybersecurity picks – whether for consumers or on an enterprise level.

Gina Sanchez, CEO of Chantico Global and chief market strategist of Lido Advisors, flagged CACI International as her pick in the cybersecurity space.

The mid-cap information technology company did well last year, growing revenue by 14% and earnings by 20%, Sanchez said, adding that "they're priced at about the same pricing level as NortonLifeLock, with, we think, a more interesting trajectory."

Earnings are expected to rise by another 42% for fiscal 2021 ending in June, according to FactSet estimates. It trades at 15 times forward earnings compared with 14.5 times for NortonLifeLock.

In the same interview, Mark Tepper, CEO of Strategic Wealth Partners, said, "I would not be putting any money into NortonLifeLock." Instead, Tepper flagged cloud-based information security company Zscaler as his pick. He would get into the name on a pullback.

"It wouldn't surprise me in two weeks if they have a beat-and-raise quarter, and then the stock sells off the next day," he said. "I'd get back into that one about 20% lower and I actually think we'll get there. I'm just going to be patient."

Zscaler is scheduled to report earnings on May 25. It is already down 18% in 2021.

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