SentinelOne (S) Stock Target Increased After Beating $1 Billion ARR Milestone

SentinelOne, Inc. (NYSE:S) ranks among the most active stocks to buy according to Wall Street analysts. On August 29, DA Davidson boosted SentinelOne, Inc. (NYSE:S)’s price target to $19 from $17, reiterating a Neutral rating on the company’s stock. The target hike comes after SentinelOne’s quarterly results, which revealed Annual Recurring Revenue (ARR) of $1.001 billion, beating average projections of $985 million and indicating a 24% year-over-year gain.

That said, SentinelOne’s fiscal year 2026 revenue guidance was only boosted by $1.5 million at the midpoint mark, despite the company’s good performance metrics. The company’s management attributed this to a cautious attitude considering macroeconomic conditions and contract timing risks.

At the midpoint, the company also reduced its operating margin expectation by about 50 basis points, which management ascribed to the effects of foreign exchange and the Prompt Security acquisition.

SentinelOne, Inc. (NYSE:S) is a well-known cybersecurity company that provides a variety of technologies, including the Singularity Platform, endpoint protection, and attack surface management tools.

While we acknowledge the potential of S as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

READ NEXT: 10 Best Magic Formula Stocks for 2025 and 10 Best Retirement Stocks to Buy According to Hedge Funds.

Disclosure: None. This article is originally published at Insider Monkey.