Shares of SentinelOne Inc. S were bucking Wednesday’s market weakness and rising nearly 10% in morning trading after the cybersecurity company’s outlook, issued the prior afternoon, was viewed by some analysts to be conservative. “Guidance was offered below consensus for revenue and ARR [annual recurring revenue], with implied guidance now calling for 47% growth, reflecting expectations that the macro environment will remain challenging,” William Blair’s Jonathan Ho wrote Wednesday, following the company’s latest earnings report. “However, we believe the company is taking a prudent and conservative perspective given the uncertainty in the environment.” FBN Securities analyst Shebly Seyrafi agreed that SentinelOne seemed to be “a bit more conservative with its guidance in light of the occurrence of bank failures in the past week and an uncertain macroeconomic environment.” Shares of the company have lost almost half their value over the past 12 months as the S&P 500 SPX has declined about 10%.
Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news.