SentinelOne (S) on Tuesday reported second quarter earnings and revenue that topped Wall Street estimates. The cybersecurity firm’s guidance for SentinelOne stock only met expectations amid views it may gain from rival CrowdStrike Holdings‘ (CRWD) recent setback.
↑
X
AI Stocks Are Running. Is The Dot-Com Bubble A Blueprint Or A Cautionary Tale For Investors?
Meanwhile, SentinelOne beat on a key subscription-based financial metric.
The company reported July-ended quarter SentinelOne earnings after the market close. SentinelOne said it earned 1 cent on an adjusted basis vs. an 8-cent loss a year earlier. It marked the company’s first quarter of positive adjusted net income and earnings.
The cybersecurity company posted revenue of $199 million, up 33%. SentinelOne stock analysts expected the Mountain View, Calif.-based company to report revenue of $197.3 million and break-even on earnings.
SentinelOne Stock: Key Growth Metric
Further, SentinelOne said annualized recurring revenue from subscription-based services increased 32% to $806 million, above estimates of $801.8 million.
For the current quarter ending in October, SentinelOne predicted revenue of $209.5 million, in line with estimates of $209.4 million.
On the stock market today, SentinelOne stock rose more than 2% to 25.37 in extended trading.
In 2024, SentinelOne stock has retreated nearly 10%. However, SentinelOne stock rallied after the July 19 global IT outage involving a CrowdStrike software update.
CrowdStrike earnings are due after the market close on Wednesday. Many analysts expect a full-year guidance cut from CrowdStrike.
SentinelOne’s software detects malware on laptops, mobile phones and other “endpoints” that access corporate networks. Also, it’s building a broad, threat-detection cybersecurity platform.
SentinelOne Stock Technical Ratings
Also, SentinelOne rivals include Microsoft (MSFT) and Palo Alto Networks (PANW).
Meanwhile, SentinelOne stock owns a Relative Strength Rating of 85 out of a best-possible 99, according to IBD Stock checkup.
In April, the company lowered its full-year revenue outlook, spurring a sell-off.
Further, SentinelOne is among cybersecurity stocks to watch.
Follow Reinhardt Krause on Twitter @reinhardtk_tech for updates on artificial intelligence, cybersecurity and cloud computing.
YOU MAY ALSO LIKE:
Want To Trade Options? Try Out These Strategies
Monitor IBD’s “Breaking Out Today” List For Companies Hitting New Buy Points
IBD Digital: Unlock IBD’s Premium Stock Lists, Tools And Analysis Today
