SAN FRANCISCO, CA / ACCESSWIRE / June 6, 2023 / Hagens Berman urges SentinelOne, Inc. (NYSE:S) investors who suffered substantial losses submit your losses now.
Class Period: June 1, 2022 - June 1, 2023
Lead Plaintiff Deadline: Aug. 7, 2023
Visit: www.hbsslaw.com/investor-fraud/S
Contact An Attorney Now: [email protected]
844-916-0895
SentinelOne, Inc. (S) Securities Fraud Class Action:
The complaint alleges Defendants made false and misleading statements and failed to disclose that: (1) SentinelOne lacked effective internal controls over accounting and financial reporting; (2) as a result, the company's key reported business metric annualized recurring revenue or "ARR" was overstated; and (3) as a result, the company's guidance was overstated.
Investors learned the truth on June 1, 2023, when after the market closed, SentinelOne published a press release titled "SentinelOne Announces First Quarter Fiscal Year 2024 Financial Results." Therein, the Company disclosed 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."
On 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.
"We're focused on investors' losses and proving SentinelOne first became aware of the historical inaccuracies in ARR and the decline in customer usage well before the company's disclosures," said Reed Kathrein, the Hagens Berman partner leading the investigation.
If you invested in SentinelOne and have substantial losses, or have knowledge that may assist the firm's investigation, click here to discuss your legal rights with Hagens Berman.
Whistleblowers: Persons with non-public information regarding SentinelOne should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 844-916-0895 or email [email protected].
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Hagens Berman is a global plaintiffs' rights complex litigation law firm focusing on corporate accountability through class-action law. The firm is home to a robust securities litigation practice and represents investors as well as whistleblowers, workers, consumers and others in cases achieving real results for those harmed by corporate negligence and fraud. More about the firm and its successes can be found at hbsslaw.com. Follow the firm for updates and news at @ClassActionLaw.
CONTACT:
Reed Kathrein, 844-916-0895
SOURCE: Hagens Berman Sobol Shapiro LLP