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Why SentinelOne (S) Dipped More Than Broader Market Today

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SentinelOne (S - Free Report) closed the most recent trading day at $27.36, moving -1.16% from the previous trading session. This change lagged the S&P 500's daily loss of 0.61%. At the same time, the Dow lost 0.47%, and the tech-heavy Nasdaq lost 0.64%.

The cybersecurity provider's shares have seen an increase of 6.5% over the last month, surpassing the Computer and Technology sector's gain of 3.03% and the S&P 500's gain of 3.07%.

The investment community will be paying close attention to the earnings performance of SentinelOne in its upcoming release. The company is slated to reveal its earnings on December 4, 2024. The company is forecasted to report an EPS of $0.01, showcasing a 133.33% upward movement from the corresponding quarter of the prior year. Alongside, our most recent consensus estimate is anticipating revenue of $209.56 million, indicating a 27.65% upward movement from the same quarter last year.

For the annual period, the Zacks Consensus Estimates anticipate earnings of $0.03 per share and a revenue of $815.13 million, signifying shifts of +110.71% and +31.23%, respectively, from the last year.

Additionally, investors should keep an eye on any recent revisions to analyst forecasts for SentinelOne. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.

Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. SentinelOne is currently a Zacks Rank #4 (Sell).

Digging into valuation, SentinelOne currently has a Forward P/E ratio of 869.94. This represents a premium compared to its industry's average Forward P/E of 29.14.

Also, we should mention that S has a PEG ratio of 18.08. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Computers - IT Services industry had an average PEG ratio of 2.99 as trading concluded yesterday.

The Computers - IT Services industry is part of the Computer and Technology sector. Currently, this industry holds a Zacks Industry Rank of 38, positioning it in the top 16% of all 250+ industries.

The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.


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