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SentinelOne (S) Outperforms Broader Market: What You Need to Know

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SentinelOne (S - Free Report) ended the recent trading session at $17.19, demonstrating a +1.6% change from the preceding day's closing price. The stock exceeded the S&P 500, which registered a gain of 1.54% for the day. At the same time, the Dow added 0.81%, and the tech-heavy Nasdaq gained 2.27%.

Shares of the cybersecurity provider witnessed a loss of 1.91% over the previous month, trailing the performance of the Computer and Technology sector with its gain of 1.22%, and the S&P 500's gain of 0.29%.

The investment community will be paying close attention to the earnings performance of SentinelOne in its upcoming release. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $255.99 million, up 21.52% from the year-ago period.

Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $0.19 per share and revenue of $1 billion, indicating changes of +280% and +29.86%, respectively, compared to the previous year.

Investors should also pay attention to any latest changes in analyst estimates for SentinelOne. These recent revisions tend to reflect the evolving nature of short-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.

Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.

The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. SentinelOne presently features a Zacks Rank of #4 (Sell).

Investors should also note SentinelOne's current valuation metrics, including its Forward P/E ratio of 90.15. This expresses a premium compared to the average Forward P/E of 71.72 of its industry.

We can also see that S currently has a PEG ratio of 0.77. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The Security was holding an average PEG ratio of 2.76 at yesterday's closing price.

The Security industry is part of the Computer and Technology sector. At present, this industry carries a Zacks Industry Rank of 92, placing it within the top 38% of over 250 industries.

The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

To follow S in the coming trading sessions, be sure to utilize Zacks.com.


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