Earnings To Watch: SentinelOne (S) Reports Q2 Results Tomorrow

Cybersecurity AI platform provider SentinelOne (NYSE:S) will be reporting results this Thursday after the bell. Here’s what to look for.

SentinelOne met analysts’ revenue expectations last quarter, reporting revenues of $276.7 million, up 20.8% year on year. It was a slower quarter for the company, with a significant miss of analysts’ billings estimates and full-year revenue guidance meeting analysts’ expectations. It added 35 enterprise customers paying more than $100,000 annually to reach a total of 1,702.

Is SentinelOne a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.

This quarter, the market is expecting SentinelOne’s revenue to grow 19.8% year on year, slowing from the 21.7% increase it recorded in the same quarter last year.

Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business will stay the course heading into earnings. SentinelOne has missed Wall Street’s revenue estimates multiple times over the last two years.

Looking at SentinelOne’s peers in the cybersecurity segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Varonis Systems delivered year-on-year revenue growth of 18.3%, beating analysts’ expectations by 1.8%, and Qualys reported revenues up 11%, topping estimates by 2%. Varonis Systems traded down 9% following the results while Qualys was up 13.8%.

Read our full analysis of Varonis Systems’s results here and Qualys’s results here.

There has been positive sentiment among investors in the cybersecurity segment, with share prices up 14.3% on average over the last month. SentinelOne is up 12% during the same time and is heading into earnings with an average analyst price target of $21.71 (compared to the current share price of $20.32).

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