SentinelOne, Inc. (NYSE: S) shares plunged 7.72% in pre-market trading Friday, extending losses after the cybersecurity firm issued weaker-than-expected Q4 revenue guidance and announced the resignation of its Chief Financial Officer, Barbara Larson.
The company projected Q4 revenue of $271 million, below analysts' consensus estimate of $273.1 million, raising concerns about growth momentum. The unexpected departure of CFO Larson, who will leave in mid-January 2026, further unsettled investors, overshadowing a slight Q3 revenue beat ($258.9M vs. $257.7M expected). Analysts from JP Morgan, Piper Sandler, and Scotiabank subsequently cut price targets, citing execution risks amid leadership transition.
SentinelOne faces intensifying competition in the AI-driven cybersecurity market, with rivals like CrowdStrike and Palo Alto Networks maintaining dominant positions. The dual headwinds of soft guidance and leadership uncertainty triggered the pre-market sell-off.