Cybersecurity firms are a critical enabler of enterprise AI adoption as growing concerns about autonomous threats should likely support security spending and demand for secure systems, creating upsell opportunities across the sector, Bank of America Securities said in a Tuesday research report.
The brokerage said it reiterated its buy rating on the SentinelOne (S) stock and raised its price target to $26 per share from $22, citing the company's Singularity platform that positions it to benefit from clients leveraging AI to address higher threat volumes.
BofA also reiterated its neutral rating on SailPoint (SAIL) stock and boosted its price target to $19 per share from $16. The company remains well-positioned to benefit from rising demand for identity governance and administration offerings, but faces higher execution risks for new products.
For Zscaler (ZS), analysts wrote that they maintained their buy rating on the stock and raised the price target to $210 per share from $175, citing confidence in the company's ability to sustain growth through continued adoption of its zero trust architecture, according to the note.
Price: 22.07, Change: +0.25, Percent Change: +1.15
