SentinelOne Shares Drop Following Disappointing Revenue Forecasts
The cybersecurity firm beat Q4 earnings expectations but issued weaker-than-expected guidance for the upcoming fiscal year.
- SentinelOne reported Q4 revenue of $225.5 million, a 29% year-over-year increase, surpassing analyst expectations of $222.25 million.
- Adjusted Q4 earnings came in at 4 cents per share, exceeding projections of 1 cent per share and marking a swing from a loss a year prior.
- The company forecasted Q1 2026 revenue of $228 million and full-year revenue between $1.007 billion and $1.012 billion, both below Wall Street estimates.
- Shares of SentinelOne fell 16% in after-hours trading on Wednesday, continuing a broader decline of over 15% since the start of 2025.
- Analysts attribute the weaker outlook to increased competition from larger firms, pricing pressures, and restrained enterprise spending due to economic uncertainty.