BlitzLab Scoring · Oct 2026 · Model v1.0 (frozen)
SentinelOne, Inc. — Blitz Index 56 (C)
SentinelOne scores 56 — the business turned a corner (emerging solutions are ~50% of ARR), but 9 of the points between it and the 65 line are demerits, not quality.
56Grade C
Confidence: Medium · Category: platforms
Score breakdown
| Section | Score | Detail |
|---|---|---|
| A · Speed | 16 / 25 | Revenue +47% → +32.2% → +21.9%, three straight years of deceleration; ARR +22% outruns revenue but NRR disclosure stopped at 110% |
| B · Moat | 36 / 60 | Emerging solutions (cloud · data · AI) hit ~50% of ARR in Q1 FY2027 — a platform turn, unverified by product-level disclosure (B1 · B2 capped at 8 · 9) |
| C · Creative destruction | 10 / 15 | From endpoint product to platform company — the displacement is real; the quality of expansion is not yet provable |
| D · BlitzFailing | −6 | SBC at 29.7% of revenue — worst in the security cluster (−4) — plus 20x dual-class shares with ~28% voting control (−2, sunsets 2028-06-29) |
Radar axes (0–100): Moat 60.0 · Speed 64 · Creative 66.7.
Watch item
Gates: G1 ✓ (ARR +22%) · G2 ✓ (borderline — bar ≈ $10.01B (FY2026 revenue × 10) vs Gartner global security spend $244B; CRWD holds half the bar — the real contest).
Strengths
- Revenue $1,001.3M ($1B crossed) · ARR $1,218M (+22%) — ARR outruns revenue (SEC)
- Emerging solutions (cloud · data · AI) ~50% of ARR (Q1 FY27) — numerical evidence of the platform turn (CEO statement)
- Non-GAAP operating margin −3% → +3% → +10% (Q2 FY27) · FCF margin +5% (first annual positive) — efficiency turnaround at speed (SEC)
- 0.00% converts $1,437.5M (2031 maturity) + pro forma cash + investments ≈ $2.2B — a capital structure with no interest burden (SEC)
- GAAP operating loss rate −60.9% → −32.1% improving (ITA tax charge $180.9M is one-off)
- International revenue 37% → 39% — room to expand
Concerns
- Three straight years of deceleration (47% → 32.2% → 21.9%) + FY2027 guide ≈ +20% — the next speed is in the judgment zone
- NRR disclosure stopped (132% → 110% → stopped) — retention unverifiable (strongly recorded as concern; D2 no-trigger)
- The 4.7x ARR gap to CRWD has stalled for a year — share recapture speed is the practical G2 question
- SBC/revenue 29.7% (FY2026) · weighted shares 330.1M (diluting ~5–7% a year) — dilution runs alongside growth
- Converts can dilute up to ~46.1M shares (≈ 14%) at conversion ($31.21)
- Quarterly GAAP GM fell to 72% (from 75%) + AI inference cost pressure on GM (company risk item)
Next earnings
Not announced.
Coverage
SentinelOne, Inc. · Q3 FY2027 earnings ~Dec 2026 (unconfirmed) · Score 56 · Grade C
BlitzLab scores businesses against a scholar’s standard — not investment advice. No price targets, no buy/sell recommendations. Figures are from SEC filings (XBRL) as labeled in the source scorecard.