Breaches Can Crater Companies’ Stock by 5%

New Ponemon study shows how breaches can bring a company’s stock price down by an average of 5% on the day of the incident.

Public companies that suffer a breach get hit with a double whammy of not only dealing with the attack but also face the prospect of their stock price falling an average of 5% on the day of the breach, according to a survey by the Ponemon Institute and commissioned by Centrify.

The study looked at a survey of 1,331 security and IT employees, senior level marketers and corporate communications professionals and consumers. Some 31% of customers affected by a publlic firm’s breach dropped their relationship with the company post-breach, resulting in a 7% customer churn rate.

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