SentinelOne (S): Assessing Valuation After Elpha Secure Partnership Expands SMB Cybersecurity Reach

SentinelOne (NYSE:S) stock is drawing fresh attention after the company unveiled a partnership with Elpha Secure to deliver integrated cybersecurity and insurance solutions designed for small and midsize businesses. This collaboration directly targets a growing demand for accessible cyber protection among SMBs.

See our latest analysis for SentinelOne.

Momentum around SentinelOne has been fueled by a series of high-profile moves, including expanding AI security capabilities through strategic acquisitions and naming Ana Pinczuk as President of Product & Technology. While these developments put the company firmly in the cybersecurity spotlight, the 1-year total shareholder return of -25.7% reflects lingering volatility and shifting market sentiment. Investors continue to look for long-term growth drivers.

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With shares trading around a 21 percent discount to intrinsic value and showing improving fundamentals, does SentinelOne offer a compelling entry point for long-term investors, or is the recent optimism already reflected in the price?

Most Popular Narrative: 23.6% Undervalued

SentinelOne’s narrative fair value stands at $23.50 compared to the last close at $17.95, making it one of the standout underpriced names in its space. This perspective is shaped by high revenue growth expectations and a view that ongoing innovation could reshape the company’s financial outlook.

SentinelOne's robust innovation in AI-driven, autonomous security, highlighted by substantial enterprise adoption of Purple AI and the AI-native SIEM platform, strongly positions the company to capture growing budgets as cyber threats become more sophisticated. This will likely drive sustained revenue growth and improve gross margins as their differentiated offerings enable premium pricing.

Read the complete narrative.

Why are analysts betting on such a steep upside? The drafting of this fair value hinges on accelerating revenue, profit margin transformation, and a bold profit multiple projection that few competitors achieve. Want to know which specific financial assumptions turbocharge this forecast? Tap in to see how the numbers stack up.

Result: Fair Value of $23.50 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, uncertainty around international regulation or a slowdown in new product contributions could quickly challenge these bullish forecasts.

Find out about the key risks to this SentinelOne narrative.

Build Your Own SentinelOne Narrative

If you'd like to challenge these viewpoints or dig deeper into the numbers yourself, building your own perspective is quick and insightful. It takes just minutes. Do it your way

A great starting point for your SentinelOne research is our analysis highlighting 3 key rewards and 2 important warning signs that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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