Indian cybersecurity stocks faced the rub-off effect of the “mini-flash-crash” recently seen in the sector in US due to the rollout of Anthropic’s new AI tool Claude Code Security.
Stocks like TAC Infosec Ltd, TechD Cybersecurity and Quick Heal Technologies declined 14.67%, 13.34% and 5%, respectively. Shares of Sattrix Information Security and Sasken Technologies fell 5% and 2%. respectively.
Claude Code Security is an automated artificial intelligence tool that scans codebases for vulnerabilities. Over $52.6 billion has been wiped out in just two days.
Palo Alto Networks, America’s largest cybersecurity company with a market capitalisation of $116 billion, saw its stock slide almost 9% since the launch.
CrowdStrike, which provides endpoint security, threat intelligence, and cyberattack response services, had an even greater loss with its share prices falling 18% since February 20, erasing $20 billion in market cap.
Cloudflare is down 18.5%, wiping out $11.2 billion. Zscaler is down 17.3%, wiping out $4.6 billion while Okta is down 16.7%, wiping out $2.6 billion.
According to the company website, Anthropic’s chatbot Claude “scans your entire codebase for vulnerabilities, validates each finding to minimize false positives, and suggests patches you can review and approve.”
Claude reasons through code “like a skilled security researcher,” it understands context, traces data flows, and “catches vulnerabilities that pattern-matching tools miss,” before proposing a fix.
Anthropic’s most advanced AI model, Claude Opus 4.6, has already found more than 500 high-severity vulnerabilities that have survived decades of expert review, VentureBeat reported on Monday.
ChatGPT maker OpenAI launched a new benchmark on Feb. 19 to evaluate how well different AI models detect, patch, and exploit security vulnerabilities in smart contracts. Claude Opus 4.6 came out on top.
