SentinelOne’s (NYSE:S) future is buzzing with speculation after a recent Reuters report stated that the company is exploring strategic options. Needham analyst Alex Henderson suggests that while tech giants like Google (NASDAQ:GOOG) (NASDAQ:GOOGL), Microsoft (NASDAQ:MSFT), and IBM (NYSE:IBM) might have their eyes on the cybersecurity firm, the most probable outcome might be a purchase by private equity. Henderson, who is bullish about SentinelOne, points out that many of these big names already have similar products in their arsenal.
Pick the best stocks and maximize your portfolio:
- Discover top-rated stocks from highly ranked analysts with Analyst Top Stocks!
- Easily identify outperforming stocks and invest smarter with Top Smart Score Stocks
Currently, SentinelOne’s trading metrics indicate a valuation at 5.5x EV/Sales, but a potential acquisition could see figures hovering between 7x-8x. Furthermore, If an acquisition does happen, it could spell good news for direct rival CrowdStrike (NASDAQ:CRWD), potentially giving them a stronger market hold and a better competitive edge, per Henderson’s insights.
What is the Stock Price Forecast for SentinelOne?
Turning to Wall Street, analysts have a Strong Buy consensus rating on S stock based on 10 Buys, 13 Holds, and zero Sells assigned in the past three months, as indicated by the graphic above. Nevertheless, the average price target of $17.67 per share implies 8.67% upside potential.
