SentinelOne With the Nasdaq Composite rising, cybersecurity business SentinelOne (NYSE: S) is the third stunning growth stock you'll regret not acquiring. SentinelOne's first-quarter sales projection disappointed investors, but its share price drop offers several opportunities for opportunistic investors.
SentinelOne has cash-flow stability like Exelixis. With organizations moving data online and into the cloud faster than ever, endpoint cybersecurity solutions like SentinelOne are in demand. Demand for cybersecurity solutions is constant regardless of the economy since hackers never rest.
We trust SentinelOne to protect sensitive data because of their Singularity platform. Singularity uses AI and machine learning to evolve and become better at detecting risks before they become a problem.
But investors will enjoy the company's KPIs, which are mostly positive. Sales rose 38% and ARR 39% in the fourth quarter. Subscriptions make SentinelOne's operating cash flow predictable, and its adjusted gross margin is rising (now 78% as of the fourth quarter of fiscal 2024, ending Jan. 31, 2024).
Another key for SentinelOne is attracting larger consumers. It completed fiscal 2024 with 1,133 clients generating $100,000 ARR, 30% more than the year before. These larger fish should help the company achieve recurring profitability in 2025. With sales expected to triple in four years, now is the time to buy this fast-growing cybersecurity stock.
Pinterest Pinterest (NYSE: PINS) is the fourth great growth stock you'll regret not buying in the new Nasdaq bull market. In recent years, Pinterest's monthly active user (MAU) growth has been a problem. Though MAUs aren't everything when evaluating a social media firm, investors were unhappy with Pinterest's MAUs falling in 2022 after the COVID-19 outbreak. Pinterest's MAUs rose 11% to a record 498 million in the December quarter, reducing skepticism.
Like Meta Platforms, Pinterest has time. Most economic growth lasts years, if not a decade, thus advertising-based enterprises are good investments. With over half-billion MAUs, Pinterest's ad pricing should rise.
As I've said, Pinterest is well-positioned to prosper regardless of app developers' data-tracking capabilities. Most social media sites utilize data-tracking techniques to help advertisers target users, but Pinterest's structure encourages people to share what they like. Pinterest may easily provide advertising relevant data.
Another driver for Pinterest is its financial situation. After repurchasing $500 million of its ordinary shares, it ended 2023 with $2.5 billion in cash, cash equivalents, and marketable securities. Pinterest can develop and return capital to long-term investors with a strong cash position.
Finally, Pinterest's valuation is appealing. Wall Street expects the company's yearly EPS to treble over the next four years, along with double-digit sales growth. Pinterest is a steal with a PEG ratio below 1.
stay turned for development