SentinelOne (NYSE:S) Shares Gap Down – Time to Sell?

Shares of SentinelOne, Inc. (NYSE:S) gapped down before the market opened on Friday . The stock had previously closed at $22.71, but opened at $21.49. SentinelOne shares last traded at $21.46, with a volume of 3,349,225 shares traded.

Key Stories Impacting SentinelOne

Here are the key news stories impacting SentinelOne this week:

• Positive Sentiment: SentinelOne reported fiscal second-quarter revenue of approximately $292 million, up 20.6% year over year and ahead of consensus estimates. Adjusted EPS of $0.08 also exceeded the $0.07 analyst forecast. SentinelOne Q2 Earnings and Revenues Surpass Estimates
• Positive Sentiment: Management cited growing demand for AI security, broader platform adoption and stronger operating leverage. It expects fiscal 2027 revenue of roughly $1.202 billion to $1.207 billion and issued third-quarter revenue guidance near analyst expectations. S Q2 Earnings Call Spotlights AI Security and Raised Outlook
• Positive Sentiment: Several analysts raised their price targets following the results. Canaccord Genuity, Citizens JMP and Rosenblatt set targets of $25, while Needham and Cantor Fitzgerald issued targets of $26, with buy, market outperform or overweight ratings. SentinelOne Analysts Increase Their Forecasts After Q2 Results
• Neutral Sentiment: Fiscal 2027 EPS guidance was set at $0.30 to $0.32, while third-quarter EPS guidance of $0.08 to $0.09 was above the current consensus forecast. However, the full-year profit outlook was viewed as trimmed or underwhelming relative to investor expectations. SentinelOne in Focus as Wall Street Digests Mixed Guidance and Results
• Negative Sentiment: The stock came under pressure because the weaker-than-hoped full-year profitability outlook overshadowed the revenue beat and record operating margin. Continued net losses and a negative operating cash flow also remain risks for investors. SentinelOne Slides as Trimmed Profit Forecast Outweighs Revenue Beat

Analysts Set New Price Targets

S has been the subject of several recent analyst reports. Bank of America raised SentinelOne from a “neutral” rating to a “buy” rating and raised their price target for the company from $16.00 to $20.00 in a report on Friday, May 29th. TD Cowen upped their price objective on SentinelOne from $22.00 to $25.00 and gave the stock a “buy” rating in a report on Monday, August 17th. Wells Fargo & Company increased their price objective on SentinelOne from $16.00 to $22.00 and gave the stock an “equal weight” rating in a research report on Monday, August 17th. Sanford C. Bernstein raised their target price on SentinelOne from $19.00 to $21.00 and gave the company an “outperform” rating in a report on Friday. Finally, Needham & Company LLC boosted their target price on shares of SentinelOne from $20.00 to $26.00 and gave the stock a “buy” rating in a research report on Friday. Seventeen equities research analysts have rated the stock with a Buy rating, eleven have assigned a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, the company presently has an average rating of “Moderate Buy” and a consensus price target of $22.97.

SentinelOne Stock Down 6.8%

The stock’s fifty day simple moving average is $19.20 and its 200-day simple moving average is $16.25. The company has a market capitalization of $7.25 billion, a PE ratio of -22.04 and a beta of 0.79.

SentinelOne (NYSE:S) last announced its quarterly earnings results on Thursday, August 27th. The company reported $0.08 EPS for the quarter, topping the consensus estimate of $0.07 by $0.01. The business had revenue of $291.98 million for the quarter, compared to analyst estimates of $290.24 million. SentinelOne had a negative return on equity of 15.35% and a negative net margin of 30.39%.The company’s quarterly revenue was up 20.6% on a year-over-year basis. During the same quarter in the previous year, the company earned ($0.22) EPS. SentinelOne has set its FY 2027 guidance at 0.300-0.320 EPS and its Q3 2027 guidance at 0.080-0.090 EPS. Analysts expect that SentinelOne, Inc. will post -0.44 EPS for the current year.

Insider Activity

In other SentinelOne news, CAO Robin Tomasello sold 11,905 shares of the company’s stock in a transaction on Monday, June 8th. The stock was sold at an average price of $15.70, for a total value of $186,908.50. Following the sale, the chief accounting officer owned 445,330 shares of the company’s stock, valued at approximately $6,991,681. This represents a 2.60% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider Ana G. Pinczuk sold 16,042 shares of the firm’s stock in a transaction on Monday, July 6th. The shares were sold at an average price of $17.89, for a total value of $286,991.38. Following the completion of the transaction, the insider owned 743,946 shares of the company’s stock, valued at approximately $13,309,193.94. This represents a 2.11% decrease in their position. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold a total of 423,705 shares of company stock valued at $7,369,527 in the last 90 days. Insiders own 4.27% of the company’s stock.

Institutional Investors Weigh In On SentinelOne

Several institutional investors and hedge funds have recently made changes to their positions in S. Allied Private Wealth LLC acquired a new stake in SentinelOne in the 2nd quarter valued at about $25,000. Allworth Financial LP raised its position in SentinelOne by 102.4% during the third quarter. Allworth Financial LP now owns 1,435 shares of the company’s stock worth $25,000 after acquiring an additional 726 shares during the last quarter. Danske Bank A S acquired a new position in SentinelOne during the third quarter worth about $26,000. EFG International AG purchased a new stake in shares of SentinelOne in the fourth quarter valued at about $41,000. Finally, Daiwa Securities Group Inc. lifted its holdings in shares of SentinelOne by 25.2% in the second quarter. Daiwa Securities Group Inc. now owns 3,442 shares of the company’s stock valued at $63,000 after purchasing an additional 692 shares in the last quarter. 90.87% of the stock is currently owned by hedge funds and other institutional investors.

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.