By Reuters | Updated: August 28, 2024
Aug 27 (Reuters) – SentinelOne (S.N) raised its annual revenue forecast on Tuesday, anticipating new clients to turn to its cybersecurity products for safeguarding their digital operations amid growing online threats.
Shares of the Mountain View, California-based company were up nearly 3% in extended trading.
SentinelOne is gaining market share at the expense of CrowdStrike (CRWD.O) following the July 19 outage that paralyzed Microsoft Windows operating system, analysts have said.
Enterprise clients also continue to invest in AI-powered cybersecurity products as rising digital scams and high-profile security incidents threaten to impact their business operations and put their reputation at stake.
That has helped boost demand for companies such as SentinelOne and Fortinet (FTNT.O). Bigger rival Palo Alto Networks (PANW.O) had forecast annual revenue and profit above estimates last week.
“We’re seeing a distinct rise in customer interest and appreciation for the advantages of our patented AI-powered Singularity Platform,” SentinelOne CEO Tomer Weingarten said in a statement.
Singularity is an autonomous platform for enterprise cybersecurity.
SentinelOne raised its annual revenue forecast to $815 million, from between $808 million and $815 million. Analysts on average were expecting $813 million, according to LSEG data.
For the second quarter, SentinelOne posted an adjusted profit per share of 1 cent for the first time in its 11-year history, while analysts had expected it to break even.
Revenue for the quarter ended July 31 rose 33% to $198.9 million, beating estimates of $197.5 million.
SentinelOne forecast third-quarter revenue to be $209.5 million, in line with estimates.
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@ Thomson Reuters 2024
