SentinelOne downgraded to Hold from Buy at Deutsche Bank

Deutsche Bank analyst Brad Zelnick downgraded SentinelOne to Hold from Buy with a price target of $15, down from $20. The analyst’s fieldwork suggests "intensifying competition of late" with SentinelOne moving upmarket and pressuring CrowdStrike’s premium price point, resulting in greater discounting. The firm expects endpoint security to only become more competitive. The analyst expects 2023 to be another volatile year for software stocks with investors seeking confirmation of a bottom as fundamentals "likely deteriorate further." Deutsche prefers earlier cycle names within software for 2023 over later ones, and tells investors to "selectively begin picking away at quality growth."