Why SentinelOne Stock Plunged 29% in June
Shares of cybersecurity company SentinelOne (NYSE: S) plunged 29.4% in June, according to data provided by S&P Global Market Intelligence. The stock fell roughly 40% during the first couple of days of the month after the company reported its most recent quarterly financial results. Therefore, this is a business-related drop in the stock price.
On June 1, SentinelOne reported results for the fiscal first quarter of its 2024, which ended in April. Revenue of $133 million was up a blistering 70% year over year but was below the $137 million that management was guiding for. And its commentary explaining the miss didn't calm investors' fears.
In its letter to shareholders, management wrote, "Macroeconomic pressures continue to impact deal sizes, sales cycles, and pipeline conversion rates." In other words, the deals aren't as big as it would like, it's taking longer to close deals than expected, and it isn't winning as many of the potential deals as it had hoped.
Source Fool.com
