One-glance verdict
Overvalued
$14.98 our estimate vs market $21.58
Wall Street consensus: $24.75 (65.2% higher than our fair-value estimate)
44% above our estimate, beyond the bull case
Fundamentals snapshot
SentinelOne, Inc.
S · NYQ · Technology · Software - Infrastructure
Current price
$21.58
52-week range
$11.81 - $26.50
Market cap
$7.51B
Balance sheet
Healthy
-1,807.27x Concerning
Net cash $655.25M. Interest coverage shows how many times profit covers the interest bill.
What stands out
2 Rewards
1 Risk
2 rewards · 1 risks
- Reward Revenue grew 9.7% last year.
- Reward Free cash flow was positive in 2/10 years.
- Risk Return on equity was -23.0% last year — the company lost money on shareholders' equity.
What this company does
SentinelOne, Inc.
SentinelOne is a cybersecurity company that sells an AI-powered platform to automatically protect businesses from hackers and computer viruses across all their devices and cloud services. The company makes its money primarily by selling subscriptions for this protection, which creates a predictable income stream known as recurring revenue (money that is expected to come in regularly from active subscriptions). This matters because as cyber threats become more complex, an automated system can find and stop them faster than human security teams can on their own.
How the company got here
SentinelOne was founded in 2013 by Tomer Weingarten, Almog Cohen, and Ehud Shamir, who saw that existing cybersecurity solutions were not keeping up with increasingly sophisticated cyberattacks. They believed that by using artificial intelligence (AI), they could create a more effective way to protect businesses. The company went public in June 2021, raising $1.2 billion in its initial public offering (a company's first sale of stock to the public). A key moment for the company was the launch of its Singularity platform in 2020, which combined several security functions into one system. Through strategic acquisitions of companies like Scalyr for data analytics and Attivo Networks for identity security, SentinelOne has continued to expand its capabilities.
What it actually does
SentinelOne provides cybersecurity services to businesses, acting like a highly advanced security guard for their computer systems. Instead of just looking for known threats, it uses artificial intelligence to watch for suspicious behavior on devices like laptops and servers, as well as in the cloud (online data storage and computing power). If it spots something that looks like a cyberattack, it can automatically block the threat and even reverse any damage done, without needing a human to step in. This helps protect a company's sensitive information from being stolen or damaged by hackers.
Singularity Platform
This is the core of SentinelOne's business, where it generates substantially all of its revenue by selling subscriptions. Think of the Singularity Platform as a central hub that brings together many different security tools into one unified system. Instead of having separate products for protecting endpoints (devices like laptops and phones), cloud workloads (applications and data stored online), and employee identities, this platform combines them. Customers pay a subscription fee, usually based on the number of devices or 'agents' they need to protect, to access these services. This integrated approach is designed to be simpler for security teams to manage and more effective at stopping threats.
What management is betting on now
SentinelOne's leadership is heavily focused on artificial intelligence as the future of cybersecurity. They are particularly promoting their AI-powered security analyst, called Purple AI, which can automate tasks that would normally require a human expert, like investigating potential threats. The company is also pursuing a "land-and-expand" strategy, where they aim to first sell one of their products to a customer and then sell them additional services over time. This strategy includes expanding their offerings in cloud security and identity protection, aiming to become a comprehensive cybersecurity platform for businesses. Management believes that by continuously innovating and integrating new technologies, they can stay ahead of evolving cyber threats and win market share from older, less adaptable competitors.
How the company got here
SentinelOne was founded in 2013 by Tomer Weingarten, Almog Cohen, and Ehud Shamir, who saw that existing cybersecurity solutions were not keeping up with increasingly sophisticated cyberattacks. They believed that by using artificial intelligence (AI), they could create a more effective way to protect businesses. The company went public in June 2021, raising $1.2 billion in its initial public offering (a company's first sale of stock to the public). A key moment for the company was the launch of its Singularity platform in 2020, which combined several security functions into one system. Through strategic acquisitions of companies like Scalyr for data analytics and Attivo Networks for identity security, SentinelOne has continued to expand its capabilities.
What it actually does
SentinelOne provides cybersecurity services to businesses, acting like a highly advanced security guard for their computer systems. Instead of just looking for known threats, it uses artificial intelligence to watch for suspicious behavior on devices like laptops and servers, as well as in the cloud (online data storage and computing power). If it spots something that looks like a cyberattack, it can automatically block the threat and even reverse any damage done, without needing a human to step in. This helps protect a company's sensitive information from being stolen or damaged by hackers.
Singularity Platform
This is the core of SentinelOne's business, where it generates substantially all of its revenue by selling subscriptions. Think of the Singularity Platform as a central hub that brings together many different security tools into one unified system. Instead of having separate products for protecting endpoints (devices like laptops and phones), cloud workloads (applications and data stored online), and employee identities, this platform combines them. Customers pay a subscription fee, usually based on the number of devices or 'agents' they need to protect, to access these services. This integrated approach is designed to be simpler for security teams to manage and more effective at stopping threats.
What management is betting on now
SentinelOne's leadership is heavily focused on artificial intelligence as the future of cybersecurity. They are particularly promoting their AI-powered security analyst, called Purple AI, which can automate tasks that would normally require a human expert, like investigating potential threats. The company is also pursuing a "land-and-expand" strategy, where they aim to first sell one of their products to a customer and then sell them additional services over time. This strategy includes expanding their offerings in cloud security and identity protection, aiming to become a comprehensive cybersecurity platform for businesses. Management believes that by continuously innovating and integrating new technologies, they can stay ahead of evolving cyber threats and win market share from older, less adaptable competitors.
Price history
How the share price has moved
—
Loading price history…
Earnings history
Last 8 quarters — what happened
Click any quarter to read the call summary and what the numbers say.
FY2025 Q3
$-7.40M
FY2025 Q4
$-3.60M
FY2026 Q1
$52.13M
FY2026 Q2
$-1.31M
FY2026 Q3
$20.91M
FY2026 Q4
$4.18M
FY2027 Q1
$38.07M
FY2027 Q2
$-6.62M
Revenue
$291.98M
Net income
$-93.40M
Diluted EPS
-0.27
Operating cash flow
$-6.54M
Free cash flow
$-6.62M
Fetching…
Sources
Revenue
$276.66M
Net income
$-76.16M
Diluted EPS
-0.23
Operating cash flow
$38.49M
Free cash flow
$38.07M
Fetching…
Sources
Revenue
$271.15M
Net income
$-110.23M
Diluted EPS
-0.34
Operating cash flow
$4.37M
Free cash flow
$4.18M
Fetching…
Sources
Revenue
$258.91M
Net income
$-60.29M
Diluted EPS
-0.18
Operating cash flow
$21.01M
Free cash flow
$20.91M
Fetching…
Sources
Revenue
$242.18M
Net income
$-72.02M
Diluted EPS
-0.22
Operating cash flow
$-1.04M
Free cash flow
$-1.31M
Fetching…
Sources
Revenue
$229.03M
Net income
$-208.19M
Diluted EPS
-0.63
Operating cash flow
$52.27M
Free cash flow
$52.13M
Fetching…
Sources
Revenue
$225.52M
Net income
$-70.79M
Diluted EPS
-0.22
Operating cash flow
$-3.40M
Free cash flow
$-3.60M
Fetching…
Sources
Revenue
$210.65M
Net income
$-78.36M
Diluted EPS
-0.25
Operating cash flow
$-7.17M
Free cash flow
$-7.40M
Fetching…
Sources
Is it cheap or expensive?
Fair value $14.98 vs current price $21.58
Wall Street consensus is the average analyst price target: $24.75 (65.2% higher than our fair-value estimate).
Our most-likely fair value is $14.98 a share — about 30.6% below today's price of $21.58, so the stock currently looks expensive (overvalued).
Is it drowning in debt?
Healthy
Net cash $655.2M - more cash than debt. Interest coverage -1807.3x.
Net debt
$-655.25M
Interest coverage
-1,807.27x
SentinelOne, Inc.'s profit covers its interest bill about 0.0 times over. which is weaker than most peers shown here and 3 peers sit below 1x, which is the danger zone where profit does not fully cover the interest bill.
Healthy
Worse cushion
Baseline
Better cushion
S
BASELINE
SentinelOne, Inc.
Total debt $0.00 Interest coverage -1,807.27x This is the baseline the peer rows are being compared against.
Total debt $820.18M Interest coverage -10.47x Neither company has much profit cushion over interest right now.
Total debt $1.87B Interest coverage -33.39x Neither company has much profit cushion over interest right now.
Total debt $128.81B Interest coverage 50.88x This peer still has a real interest-payment cushion, while S does not.
Total debt $1.28B Interest coverage -4.01x Neither company has much profit cushion over interest right now.
What you should know
The case for and against S
2 Rewards
1 Risk
Rewards
-
Revenue grew 9.7% last year.
-
Free cash flow was positive in 2/10 years.
Risks
-
Return on equity was -23.0% last year — the company lost money on shareholders' equity.
The numbers
All the key metrics, grouped by purpose
Tap any ? icon to learn what it means.
Valuation
How expensive the stock looks
P/E (TTM)
—
Forward P/E
46.82x
P/B
5.16x
P/S
6.84x
EV/EBITDA
-28.83x
PEG ratio
—
Profitability
How much profit each dollar creates
Gross margin
72.5%
Operating margin
-22.7%
Net margin
-31.0%
ROE
-23.0%
ROA
-7.6%
Health
Liquidity and balance-sheet strength
Debt / equity
—
Current ratio
1.45x
Quick ratio
1.27x
Total debt
$0.00
Total cash
$655.25M
Growth
How the business has been compounding
Revenue TTM
$1.10B
Revenue 5Y CAGR
48.7%
EPS TTM
-1.01
EPS 5Y CAGR
—
Cash flow
How much cash the business throws off
Operating CF TTM
$57.33M
Free CF TTM
$75.90M
FCF margin
6.9%
Dividend
Shareholder payout
Yield
0.0%
Payout ratio
—
Last ex-div date
—