NEW YORK, June 15, 2023 (GLOBE NEWSWIRE) -- Kaplan Fox & Kilsheimer LLP reminds investors that a complaint has been filed on behalf of purchasers of SentinelOne, Inc. (“SentinelOne” or the “Company”) securities (NYSE: S) between June 1, 2022 and June 1, 2023, inclusive (the “Class Period”). Click Here To Join Investigation.
If you acquired SentinelOne securities during the Class Period and would like to discuss this case, please click here. You may also contact us by emailing pmayer@kaplanfox.com or calling (646) 315-9003.
If you are a member of the proposed Class, you may move the court no later than August 7, 2023 to serve as a lead plaintiff for the purported class. If you have losses, we encourage you to contact us to learn more about the lead plaintiff process.
The complaint alleges Defendants made false and misleading statements and failed to disclose to investors that (1) SentinelOne lacked effective internal controls over accounting and financial reporting, (2) as a result, the SentinelOne’s key reported business metric “Annualized Recurring Revenue” (or "ARR") was overstated, and (3) as a result, the Company's guidance was overstated.
Investors allegedly learned the truth on June 1, 2023 when, after the market closed, SentinelOne published a press release reporting its financial results for the first quarter of fiscal 2024 disclosing that "[a]s a result of a change in methodology and correction of historical inaccuracies, which we further describe in our letter to shareholders, we made a one-time adjustment to ARR of $27.0 million or approximately 5% of total ARR." The Company also revised its fiscal year 2024 revenue guidance downward to a range of $590 million to $600 million from a range of $631 million to $640 million.
In a shareholder letter published the same day, SentinelOne further explained that
"we . . . discovered historical upsell and renewal recording inaccuracies relating to ARR on certain subscription and consumption contracts, which are now corrected" and that "[w]e are applying a comparable estimated adjustment to the remaining quarters in fiscal year 23, which we believe is a reasonable approximation of the impact in those periods."
Following this news, SentinelOne's stock price fell $7.28 per share, or more than 35%, to close at $13.44 per share on June 2, 2023.
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If you have any questions about this Notice, your rights, or your interests, please contact:
Pamela Mayer
KAPLAN FOX & KILSHEIMER LLP
800 Third Avenue, 38th Floor
New York, New York 10022
(646) 315-9003
E-mail: pmayer@kaplanfox.com
Laurence D. King
KAPLAN FOX & KILSHEIMER LLP
1999 Harrison Street, Suite 1560
Oakland, California 94612
(415) 772-4704
Fax: (415) 772-4707
E-mail: lking@kaplanfox.com
