3 ms·
> This severe vulnerability isn't going to hurt their bottom line, even if it "should". When there's damnable, devastating security news for some publicly-trad
by philsnow 4y ago
> This severe vulnerability isn't going to hurt their bottom line, even if it "should".
When there's damnable, devastating security news for some publicly-traded company that makes it to the big news sources, the stock takes a 0-10% dive and then completely recovers within a couple weeks. Even if the company's response is completely bungled, mismanaged, or miscommunicated, the market doesn't understand security issues and it seems like the company just benefits from the news exposure.
I wish I kept notes on the last few times I've seen this happen so that I could cite examples.
- mughinn 4y agoIt's not the market, the customers don't care. They won't stop buying the product because of security issues, it's because of THAT that the price recovers, not because "the market" doesn't understand security If the customers cared, there would be significant drop in the price of the stock because a vulnerability like this would result in lower sales
- kube-system 4y agoWell, some traders are selling on the news, which is what causes the dip. Most investors don't really have a deep technical grasp of the situation and don't fully realize how common software vulns are, don't understand their impact, or don't understand the effort to remediate them.
- hamburglar 4y agoI scooped up a bunch of SolarWinds stock on this theory but just barely made my money back a year later, and wouldn't have if I'd held it until now...