SentinelOne price target lowered to $36 from $42 at JMP Securities

JMP Securities analyst Trevor Walsh lowered the firm’s price target on SentinelOne to $36 from $42 after its Q3 earnings miss but keeps an Outperform rating on the shares. The company’s 106% revenue growth marked the seventh consecutive quarter of triple-digit revenue growth and the fifth consecutive quarter of over 25% y/y operating margin expansion, the analyst tells investors in a research note. SentinelOne’s premium valuation is warranted due to top-line growth, which is twice that of the peer group mean, product expansion into high-growth markets, and unique architecture emphasizing a cloud-based, AI-driven approach in a core cybersecurity market, Walsh adds.