In the following video, I cover fundamental analysis and high-level overviews for three top cybersecurity stocks to buy in August. Then I discuss my thoughts on the current stock prices and where I would consider adding more shares to my portfolio. 

1. Palantir (NYSE:PLTR) is not typically thrown into the cybersecurity stock bucket. After all, Palantir is a big data analytics software company that helps government agencies and companies manage and analyze data. However, with the increased hacks and high-profile security breaches, businesses are faced with complex challenges that require sophisticated solutions. Palantir offers highly secure data compared to most competitors. It started as a company laser-focused on government-related clients, so its solutions were built with security as the backbone. Commercial-focused vendors cannot say the same, and this provides a competitive advantage for Palantir.

As an example, Snowflake (NYSE:SNOW) is more focused on accessing and sharing data, and security is part of the solution. On the other hand, Palantir's foundation is built with security in mind. As President Harry S. Truman would say, "the buck stops here." Security is priority No. 1. As Palantir pushes harder into the commercial sector, I believe this advantage will reap rewards. 

Additionally, Palantir has been thinking outside of the box with its growth expansion, which I explain in the video below.

2. Okta (NASDAQ:OKTA) is a leader in identity asset management (IAM). Its platform allows seamless user identification across an entire organization, covering all apps and devices. Okta's recent acquisition of Auth0 is misunderstood, but I think there is amazing potential with the two businesses combined. Okta is focused on single sign-on access for employees of cloud software-as-a-service vendors such as Salesforce and Workday. Auth0 is a developer tool that enables coders to leverage APIs to access single sign-on functionality. Simple lines of code can allow IAM integration without a complex workload. You could compare this to how Twilio simplifies messaging and communication. 

3. Telos (NASDAQ:TLS) is not a well-known company, but it reminds me of Palantir's little brother. It's a small-cap stock with a $1.88 billion market cap. Telos has over 350 customers, and you may be surprised by some of the names it works with. Telos boasts an 85% recurring revenue model, and 50% of its business is sole source or has limited competition. Telos, like Palantir, has strategic relationships and procurement vehicles with government and federal agencies. I do a deep-dive analysis and breakdown of Telos in the video below. This small-cap could be a huge long-term winner in the cybersecurity space.

Please watch the below video for more information on these cybersecurity-related stocks.

*Stock prices used in the below video were during the trading day of July 30, 2021. The video was published on July 30, 2021.

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium advisory service. We’re motley! Questioning an investing thesis -- even one of our own -- helps us all think critically about investing and make decisions that help us become smarter, happier, and richer.