Cloud Cyber Value

Cloud/cyber non-discretionary spend: buy dips in Cloudflare, Datadog, CrowdStrike, Palo Alto

Cloud & Cybersecurity Value

Total Return

+42.9%

Sharpe Ratio

0.43

Max Drawdown

-29.5%

Win Rate

54.2%

Alpha

-10.5%

Comp. Score *

0.03

Risk Parameters

Max Allocation5.2%

Stop Loss30.0%

Take Profit10.1%

Max DD Tolerance29.5%

Rebalanceweekly

Execution Guidance

Order TypeLimit

Entry RuleBuy below SMA200 or at RSI < 35. Value = patience. Don't rush.

TimingSAFE TO BUY. *

ScalingEnter in 3 tranches over 4-6 weeks as price confirms bottom.

Positions — Vol-Adjusted Sizing

Symbol	Action	Vol	Stop Loss	Take Profit	Size	Links
PANW	BUY	35%	40.0% below entry	15.1% above entry	3.5%	TV YH
NET	BUY	52%	40.0% below entry	22.0% above entry	2.4%	TV YH
FTNT	BUY	41%	40.0% below entry	17.5% above entry	3.0%	TV YH
SNOW	BUY	54%	40.0% below entry	23.2% above entry	2.3%	TV YH
S	BUY	47%	40.0% below entry	20.0% above entry	2.7%	TV YH

▶ For Passive Investors (Buy & Hold)

This strategy has moderate long-term potential but requires monitoring. - Take profit: Rebalance when any position exceeds 2x its target weight. Trim back to target, redeploy to underweight positions. - Stop loss: NO price-based stop loss. This strategy recovered from -52% drawdown to return 86% long-term. - Exit rule: Exit if free cash flow turns negative for 2 quarters — value trap confirmed.

Avg 5Y Return

53.7%

Avg 5Y Sharpe

0.33

10Y Return

85.8%

10Y Sharpe

0.22

HODL Composite

0.22

Consistency

67%

Suitable for passive