FireEye's stock was absolutely obliterated on Thursday, dropping more than 22 percent, after reporting a no-so-hot quarter. The stunning decline prompted Jim Cramer to question the cybersecurity space, and where the future of FireEye could be headed.
FireEye has a high-quality, machine-based cybersecurity platform that provides clients with real-time protection from some of the most sophisticated forms of cyber attack. It is also widely regarded as the best forensics specialist in the business; the company many businesses call when they have been hacked and want to figure out what happened.
"But right now it seems business is not good in the cybersecurity space, in part because there simply weren't enough high-profile hacks in the last quarter," the "Mad Money" host said.
FireEye reported on Thursday that it delivered a larger than expected earnings loss on weaker than anticipated sales, even while it managed to grow 45 percent. What really frightened investors was the fact management slashed full-year sales, earnings and billing guidance. It provided a fourth-quarter forecast that was significantly below what analysts were looking for.