2 Artificial Intelligence (AI) Cybersecurity Stocks to Buy Hand Over Fist in April

Industry Overview - Cybercrime is projected to inflict $10.5 trillion in damages to the global economy by 2025, with increasing vulnerabilities as businesses transition online and AI technologies facilitate attacks [1] - The demand for cybersecurity solutions is rising as organizations face heightened risks from cyber threats [1] Company: Zscaler - Zscaler provides solutions to address vulnerabilities from remote workforces and complex cloud networks through its Zero Trust Exchange, which protects digital assets and minimizes damage from attacks [4][6] - The Zero Trust Exchange treats every login as potentially hostile, requiring thorough verification beyond just username and password, which is crucial for companies with remote employees [5] - Zscaler processes over 500 billion transactions daily, allowing its AI models to continuously improve threat detection and response capabilities [7] - The introduction of the Zero Trust Branch segment allows organizations to isolate compromised assets from the corporate network, enhancing security [8] - Zscaler aims to triple the adoption of its "Zero Trust Everywhere" approach, currently utilized by 130 customers, out of a total of 7,700 [9] - The company reported $647.9 million in revenue for Q2, a 23% year-over-year increase, surpassing management's guidance [10] - Zscaler's stock is currently down 8.5% from its 2025 peak and 46% from its all-time high, presenting a potential buying opportunity for long-term investors [11] Company: SentinelOne - SentinelOne's Singularity platform offers comprehensive protection for cloud networks, employee identities, and endpoints, with AI integrated into every feature [12] - The platform's Storyline feature autonomously tracks security events, providing summaries that save time for cybersecurity managers during breaches [13] - Purple AI, an AI-powered virtual assistant, enhances the Singularity platform by enabling employees to engage in cybersecurity tasks [14] - SentinelOne excelled in the 2024 MITRE ATT&CK Evaluations, producing 88% fewer alerts than the median and achieving 100% accuracy in threat detection [15] - The company addresses the challenge of overwhelming security alerts, emphasizing the necessity of AI and automation in modern cybersecurity [16] - SentinelOne generated $821.5 million in revenue for fiscal year 2025, marking a 32% increase from the previous year, and is growing faster than many competitors [17] - Despite a 27% decline from its peak this year and a 76% drop from its record high, SentinelOne's solid revenue growth presents an attractive investment opportunity [19]