Bank of America highlights cybersecurity growth driven by AI

The rise of artificial intelligence is fundamentally altering the cybersecurity landscape, acting as both a driver for increased demand and a source of new vulnerabilities. AI agents capable of autonomous cross-system operations can identify weaknesses and execute attacks with unprecedented speed, forcing organizations to expand their security focus to include more identities, access rights, and cloud applications.

Bank of America identifies AI as a primary demand driver for the cybersecurity sector. This shift is reflected in market valuations, with the median enterprise value to 2027 expected revenue ratio in the sector rising from 4.5 to 5.8 within two months. The bank maintains a ‘Buy’ rating for SentinelOne and Zscaler.

SentinelOne’s Singularity platform integrates security functions into an AI-based system for automated threat detection, while Zscaler remains a favored pick as companies struggle to balance AI productivity gains with data integrity and governance risks.