Cisco Expands AI Agentic Security Portfolio: What's Ahead in 2026?

Cisco Systems CSCO is focusing on AI security as companies increasingly use agentic AI systems that can work on their own, make decisions and complete tasks. In its third-quarter fiscal 2026, Cisco announced Zero Trust Access for AI agents and revealed plans to acquire Galileo and Astrix to strengthen its AI security and observability capabilities. This extends Cisco’s security framework to AI-driven digital workers and helps ensure secure access and control. These additions are expected to expand the company’s security and observability platform with agent identity, access management and behavior-monitoring capabilities.Cisco is also building new tools to protect the entire AI lifecycle. The company officially introduced DefenseClaw in its AI security announcement tied to RSA 2026-related security updates on March 23, 2026. DefenseClaw is an open-source solution designed to help customers safely deploy AI agents by enforcing guardrails and protecting against malicious behavior and attacks. In addition, Cisco launched new capabilities for its agentic Security Operations Center and AI observability platform, allowing organizations to identify and respond to threats faster and at greater scale.Partnerships remain an important part of Cisco’s AI security strategy. The company expanded its Secure AI Factory collaboration with NVIDIA, giving customers a framework to deploy AI securely across infrastructure environments ranging from data centers to local sites. Cisco is also working with Project Glasswing, participating in the testing of Anthropic’s Claude Mythos Preview model and taking part in OpenAI’s Trusted Access for Cyber program.Cisco’s security business is showing encouraging momentum. Cisco’s Security revenues were flat year over year at $2.01 billion in the third quarter of fiscal 2026. The company reported double-digit order growth in its core security portfolio and added more than 1,000 new customers for Secure Access, XDR, Hypershield and AI Defense during the quarter. As AI adoption grows, Cisco believes demand for advanced AI security solutions will continue to increase.  CSCO Faces Tough Competition in the Security DomainCisco is facing stiff competition from Fortinet FTNT and Okta OKTA in the security domain. Fortinet is benefiting from the increasing adoption of AI. As organizations deploy more AI applications, cybersecurity needs are becoming more complex due to higher network traffic, larger attack surfaces and greater data security requirements. In the first quarter of 2026, AI-driven security operations billings of Fortinet rose 23% year over year, supported by a broad portfolio of AI-enabled solutions. Demand for secure networking, Unified SASE and security operations remained strong, while FortiGate products gained traction in securing AI infrastructure and data centers. Fortinet expects its FortiOS platform, custom ASIC technology and long-term AI investments to help capture future AI-driven security opportunities.Okta reported strong momentum driven by rising demand for its expanding identity security portfolio. In the first quarter, new products contributed about 25% of bookings, with Identity Governance leading adoption, followed by growing traction in Privileged Access and other security offerings. The company emphasized that the rapid rise of AI agents is increasing the importance of identity management and boosting customer engagement and deal sizes. Although AI agent products are still in the early stages of adoption and are not yet a major revenue driver, Okta highlighted record pipeline levels and strong customer interest. The company expects AI-driven identity security to become a key long-term growth opportunity. Okta expects revenues between $3.185 billion and $3.205 billion for fiscal 2027, indicating year-over-year growth of 9-10%.CSCO’s Share Price Performance, Valuation & EstimatesCisco shares have gained 54.3% year to date, outperforming the broader Zacks Computer and Technology sector’s 15.9% increase.                                      CSCO Stock’s Price Performance    Image Source: Zacks Investment ResearchThe CSCO stock is trading at a premium, with a trailing 12-month price/book of 9.58X compared with the Zacks Computer Networking industry’s 9.37X. Cisco has a Value Score of F.                                        CSCO Stock Is Overvalued  Image Source: Zacks Investment ResearchThe Zacks Consensus Estimate for fourth-quarter fiscal 2026 earnings is currently pegged at $1.17 per share, up 9 cents over the past 30 days. This suggests 18.1% growth from the figure reported in the year-ago quarter.                           Cisco Systems, Inc. Price and Consensus Cisco Systems, Inc. price-consensus-chart | Cisco Systems, Inc. QuoteCisco currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.7 Best Stocks for the Next 30 DaysJust released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops."Since 1988, the full list has beaten the market more than 2X over with an average gain of +23.7% per year. So be sure to give these hand picked 7 your immediate attention. See them now >>This article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks