The shares of Angel One took a hit, tumbling nearly 4 percent in afternoon trade on February 28, following the company’s disclosure of a data leakage incident linked to its Amazon Web Services (AWS) resources. The revelation, based on inputs from its dark-web monitoring partner, raised concerns among investors, leading to the stock’s decline.
In an exchange filing, Angel One stated that on February 27, its dark-web monitoring partner flagged a data breach due to unauthorized access to certain AWS resources. Upon further investigation, the company confirmed the compromise of its cloud infrastructure, prompting immediate action to mitigate risks.
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To prevent further leaks, Angel One swiftly updated credentials across its AWS cloud and other critical applications. Additionally, the company engaged an external forensic expert to assess the breach’s impact and conduct an in-depth root cause analysis.
Despite the security incident, Angel One reassured its clients that securities, funds, and credentials remain unaffected, emphasizing that all client accounts are secure. The company further assured that it is continuing its investigationto determine the full extent of the breach and will take all necessary steps to safeguard client interests.
Stock Market Reaction
Angel One shares were trading at Rs2,118.7, reflecting the market’s initial reaction to the news. However, the stock later recovered slightly, closing over 1 percent lower at Rs 2,167.95.
The downturn in Angel One’s stock price was also influenced by a broader market slump, with the Sensex plunging over 1,400 points, closing deep in the red at 73,198.10. The Nifty 50 followed suit, dropping nearly 2 percent to settle at 22,124.70.
As Angel One navigates the aftermath of the breach, investors and clients alike will be closely watching for further updates on the company’s security measures and investigative findings.