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SentinelOne (S) Surpasses Market Returns: Some Facts Worth Knowing

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SentinelOne (S - Free Report) ended the recent trading session at $23.78, demonstrating a +1.49% change from the preceding day's closing price. The stock outperformed the S&P 500, which registered a daily gain of 1.31%. Meanwhile, the Dow gained 0.49%, and the Nasdaq, a tech-heavy index, added 1.6%.

Shares of the cybersecurity provider have depreciated by 2.42% over the course of the past month, outperforming the Computer and Technology sector's loss of 13.88%, and the S&P 500's loss of 3.66%.

The upcoming earnings release of SentinelOne will be of great interest to investors. The company's earnings per share (EPS) are projected to be $0.09, reflecting a 28.57% increase from the same quarter last year. Simultaneously, our latest consensus estimate expects the revenue to be $310.03 million, showing a 19.74% escalation compared to the year-ago quarter.

Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $0.32 per share and revenue of $1.2 billion. These totals would mark changes of +60% and +20.32%, respectively, from last year.

Any recent changes to analyst estimates for SentinelOne should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.

Based on our research, we believe these estimate revisions are directly related to near-term stock moves. 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.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Currently, SentinelOne is carrying a Zacks Rank of #3 (Hold).

With respect to valuation, SentinelOne is currently being traded at a Forward P/E ratio of 74.15. For comparison, its industry has an average Forward P/E of 45.42, which means SentinelOne is trading at a premium to the group.

We can additionally observe that S currently boasts a PEG ratio of 1.61. 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 industry had an average PEG ratio of 2.71 as trading concluded yesterday.

The Security industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 93, putting it in the top 38% of all 250+ industries.

The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

You can find more information on all of these metrics, and much more, on Zacks.com.

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