SentinelOne (NYSE:S) Raised to "Buy" at Bank of America

Key Points

• Bank of America upgraded SentinelOne to “Buy” from “Neutral” and lifted its price target to $20 from $16, implying about 11% upside from the current share price.
• SentinelOne’s latest earnings showed better-than-expected EPS of $0.04 and 20.8% year-over-year revenue growth, but revenue still came in slightly below consensus estimates.
• Despite positive analyst sentiment overall, investors are watching guidance closely: the company’s Q2 revenue outlook was below expectations, and management also announced an about 8% workforce reduction to support margins and cost discipline.

SentinelOne (NYSE:S - Get Free Report) was upgraded by equities research analysts at Bank of America from a "neutral" rating to a "buy" rating in a research report issued to clients and investors on Friday,Benzinga reports. The brokerage presently has a $20.00 price target on the stock, up from their previous price target of $16.00. Bank of America's price target points to a potential upside of 11.36% from the company's current price.

A number of other equities research analysts also recently weighed in on the company. Stephens decreased their price objective on SentinelOne from $20.00 to $18.00 and set an "overweight" rating on the stock in a report on Friday, March 13th. TD Cowen reaffirmed a "buy" rating on shares of SentinelOne in a report on Friday. Needham & Company LLC decreased their price objective on SentinelOne from $21.00 to $18.00 and set a "buy" rating on the stock in a report on Friday, March 13th. Barclays boosted their target price on SentinelOne from $16.00 to $19.00 and gave the stock an "equal weight" rating in a report on Wednesday, May 20th. Finally, Oppenheimer boosted their target price on SentinelOne from $18.00 to $21.00 and gave the stock an "outperform" rating in a report on Thursday, May 21st. Seventeen equities research analysts have rated the stock with a Buy rating, eleven have given a Hold rating and one has issued a Sell rating to the company. According to MarketBeat, the stock has a consensus rating of "Moderate Buy" and a consensus target price of $19.70.

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SentinelOne Trading Up 0.1%

NYSE S opened at $17.96 on Friday. The stock's 50 day moving average is $14.91 and its two-hundred day moving average is $14.74. The company has a market capitalization of $6.11 billion, a price-to-earnings ratio of -13.21 and a beta of 0.78. SentinelOne has a 1-year low of $11.81 and a 1-year high of $21.40.

SentinelOne (NYSE:S - Get Free Report) last released its quarterly earnings data on Thursday, May 28th. The company reported $0.04 earnings per share for the quarter, beating analysts' consensus estimates of $0.02 by $0.02. The company had revenue of $276.66 million for the quarter, compared to the consensus estimate of $277.32 million. SentinelOne had a negative return on equity of 15.04% and a negative net margin of 45.02%.The company's quarterly revenue was up 20.8% on a year-over-year basis. During the same period in the previous year, the business earned $0.02 earnings per share. SentinelOne has set its Q2 2027 guidance at 0.060-0.080 EPS and its FY 2027 guidance at 0.320-0.380 EPS. On average, analysts predict that SentinelOne will post -0.6 earnings per share for the current year.

Insider Transactions at SentinelOne

In other SentinelOne news, CFO Barry L. Padgett sold 32,221 shares of the company's stock in a transaction on Wednesday, March 25th. The stock was sold at an average price of $13.37, for a total transaction of $430,794.77. Following the transaction, the chief financial officer owned 643,650 shares of the company's stock, valued at approximately $8,605,600.50. This represents a 4.77% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CAO Robin Tomasello sold 10,163 shares of the company's stock in a transaction on Friday, March 6th. The stock was sold at an average price of $13.81, for a total value of $140,351.03. Following the transaction, the chief accounting officer directly owned 400,871 shares in the company, valued at approximately $5,536,028.51. This represents a 2.47% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold a total of 527,586 shares of company stock worth $7,638,793 in the last quarter. 4.27% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of the company. Vanguard Group Inc. raised its position in shares of SentinelOne by 1.4% during the 4th quarter. Vanguard Group Inc. now owns 36,532,555 shares of the company's stock valued at $547,988,000 after acquiring an additional 520,142 shares during the last quarter. Caprock Group LLC bought a new stake in shares of SentinelOne during the 3rd quarter valued at $6,153,000. Maxi Investments CY Ltd increased its position in shares of SentinelOne by 63.3% in the 4th quarter. Maxi Investments CY Ltd now owns 245,000 shares of the company's stock valued at $3,675,000 after buying an additional 95,000 shares in the last quarter. SG Americas Securities LLC increased its position in shares of SentinelOne by 830.7% in the 4th quarter. SG Americas Securities LLC now owns 338,042 shares of the company's stock valued at $5,071,000 after buying an additional 301,719 shares in the last quarter. Finally, Jefferies Financial Group Inc. bought a new stake in shares of SentinelOne in the 3rd quarter valued at $4,414,000. Institutional investors and hedge funds own 90.87% of the company's stock.

Key Headlines Impacting SentinelOne

Here are the key news stories impacting SentinelOne this week:

• Positive Sentiment: SentinelOne posted Q1 EPS of $0.04, topping estimates, and revenue growth accelerated to 21% with ARR up 23%, showing continued demand for its cybersecurity platform.
• Positive Sentiment: The company announced strong strategic progress, including record net new ARR growth and a Gartner Magic Quadrant Leader designation for endpoint protection for the sixth straight year, reinforcing its competitive position. Article: SentinelOne Named a Leader in the Gartner Magic Quadrant for Endpoint Protection Platforms for 6th Consecutive Year
• Neutral Sentiment: Management raised full-year non-GAAP operating income guidance and said it is investing more heavily in AI, data, and cloud initiatives, which could support longer-term growth but also reflects ongoing restructuring efforts.
• Neutral Sentiment: JPMorgan raised its price target to $20 from $16 while keeping a neutral rating, suggesting Wall Street sees some upside but remains cautious on the stock.
• Negative Sentiment: Second-quarter revenue guidance came in below consensus, and full-year EPS guidance was only roughly in line, disappointing investors who wanted a clearer beat-and-raise story. Article: SentinelOne provides tepid quarterly forecast, to cut 8% jobs
• Negative Sentiment: The company also announced an about 8% workforce reduction, which investors interpreted as a sign that cost discipline and margin improvement are still a work in progress.

SentinelOne Company Profile

SentinelOne, Inc is a cybersecurity company specializing in AI-driven, autonomous endpoint protection. Founded in 2013 and headquartered in Mountain View, California, the firm developed its Singularity Platform to unify prevention, detection, response, and hunting across endpoints, cloud workloads, containers and IoT devices. SentinelOne's solutions leverage machine learning and behavioral analytics to identify threats in real time, automate remediation workflows and deliver forensics to support rapid incident response.

The company's flagship product suite includes endpoint security agents, cloud workload protection, identity threat detection and extended detection and response (XDR) capabilities.

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