Infrastructure, Security Software Stocks Seen as AI Winners -- Market Talk

Dow Jones04-01

0942 ET - Benchmark takes a bullish view of cybersecurity and infrastructure software stocks' resilience to disruption by AI-native competitors. "We believe the market has indiscriminately dragged down critical infrastructure software providers that are positioned to prosper as the AI super cycle unfolds," Benchmark analyst Yi Fu Lee writes, naming stocks including CrowdStrike, Palo Alto Networks, and Microsoft as likely AI winners. Frontier AI labs are unlikely to divert resources away from their core large language model business, while improving AI tools will require strong cybersecurity and infrastructure software to manage complex tech stacks. "As such, we believe the ramping AI super cycle will be a long-term tailwind for the cybersecurity and infrastructure software sector similar to the prior cloud/digital transformation," Lee writes. (elias.schisgall@wsj.com)

 

(END) Dow Jones Newswires

April 01, 2026 09:42 ET (13:42 GMT)

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