HomeMarket NewsSentinelOne's Shares Skyrocket as Cybersecurity Sales Surge

SentinelOne’s Shares Skyrocket as Cybersecurity Sales Surge

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SentinelOne headquarters in Silicon Valley

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It’s a bird… It’s a plane… No, it’s SentinelOne’s (NYSE:S) stock soaring more than 17% up into the financial stratosphere on Wednesday! Why, you ask? Well, the cybersecurity company just dropped some third-quarter results that left folks’ jaws on the floor, topped off with a boost in their sales outlook for the rest of the fiscal year.

So, what’s the outlook for the rest of fiscal 2024, you ask? Hold onto your seat because SentinelOne (S) expects sales to hit around $616M, up from $605M, all thanks to the relentless rise in cyber attacks. And guess what – analysts had only anticipated full-year sales of $605.2M! Talk about beating expectations!

In a message to shareholders, SentinelOne (S) CEO Tomer Weingarten and CFO Dave Bernhardt talked about the age of AI and modern cyberwarfare, throwing light on the ever-increasing speed and complexity of attacks. Recent high-profile breaches have shown the immense consequencesβ€”costing companies hundreds of millions of dollars, lost business, and catastrophic disruption.

Looking to the fourth quarter, SentinelOne (S), who’s battling it out with Check Point Software (CHKP), Palo Alto Networks (PANW), and other heavyweights, is aiming for sales around $169M. Sweetening the pot, this far exceeds the consensus estimate of $166.63M. Boom!

Digging into the third quarter, SentinelOne (S) took a hit, losing an adjusted 3 cents per share while revenue rocketed up 42.4% year-over-year to $164.17M. Analysts had made their bets on a loss of 8 cents per share, minus one-time items, with $156.32M in revenue.

Hold on to your hats – SentinelOne (S) wraps up the period with a whopping 11,500 customers and over a thousand of them have annual recurring revenue of $100,000 or more, marking a 33% surge from a year ago. The dollar-based net revenue retention rate? It has raced past 115%!

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