SentinelOne (S) shares rose more than 6% on Monday.

Scotiabank upgraded the stock to Sector Outperform from Sector Perform. The bank established a new price target of $23.50.

Analysts cited SentinelOne as an underappreciated beneficiary of artificial intelligence trends in cybersecurity. The firm highlighted investments in AI-native products such as Purple AI and AI runtime security.

Scotiabank expects the company to capitalize on increased security spending as businesses face sophisticated AI-driven threats.