Cybersecurity company SentinelOne shares slide 14% as top line guide falls short

Published 2025-03-12, 04:26 p/m
© SentinelOne PR

Investing.com -- SentinelOne Inc (NYSE:S) shares were down around 14% in premarket trading after the cybersecurity firm issued a revenue forecast below Wall Street estimates.

But the company reported a 29% increase in fourth-quarter revenue to $225.5 million, which also beat analysts’ estimates of $222.24 million.

Adjusted earnings per share came in at $0.04, above estimates of $0.01.

SentinelOne said its annualized recurring revenue grew 27% to $920.1 million as of Jan. 31, while customers with ARR of $100,000 or more increased 25% to 1,411.

“We’re focused on driving sustainable growth and improving margin in fiscal year 2026 and beyond,” said CEO Barbara Larson. 

SentinelOne forecast first-quarter revenue of $228 million, below analysts’ estimate of $235.5 million.

Full-year revenue guidance of $1.007 billion to $1.012 billion also came in below expectations of $1.03 billion.

Commenting on the report, Jefferies analysts said SentinelOne’s "tepid FY26 top line guide is certainly frustrating." Still they "continue to have faith in S’ strong technology position in Endpoint, an emerging Lenovo opportunity, a CFO with incremental prudence all while trading at an extremely attractive 4x CY26 revenue."

Pratyush Thakur contributed to this report. 

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