NEW YORK (TheStreet) -- Vasco Data Security International (VDSI) shares are up 4% to $29.64 in trading on Monday as data security firms enjoy gains following a U.S. government data breach that compromised the personal files of up to 4 million current and former federal employees.
Federal officials said Friday that the hackers that accessed the sensitive data were based in China, but stopped short of directly accusing the Chinese government of being involved.
Rep. Michael McCaul, chairman of the House Homeland Security Committee, told CBS' Sunday news show Face the Nation that the hack was "the most significant breach of federal networks in history."
Fellow cyber security firm FireEye (FEYE) shares are also up 0.92% to $51.50 in afternoon trading.
TheStreet Ratings team rates VASCO DATA SEC INTL INC as a Buy with a ratings score of A-. TheStreet Ratings Team has this to say about their recommendation:
"We rate VASCO DATA SEC INTL INC (VDSI) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its robust revenue growth, largely solid financial position with reasonable debt levels by most measures, notable return on equity, reasonable valuation levels and solid stock price performance. Although no company is perfect, currently we do not see any significant weaknesses which are likely to detract from the generally positive outlook."