SentinelOne plunges 32.4% in 2025 as Sherritt doubles Energas dividends to $26M
SentinelOne stock fell 32.4% in 2025 and additional 7.3% in 2026, pressured by decelerating sales growth, margin concerns, and weak guidance despite beating revenue and earnings estimates. Sherritt’s 2025 Energas dividends doubled to $26 million; Moa JV nickel and cobalt output fell to the low end of guidance after operational issues.
1. SentinelOne Faces Continued Share Declines Despite Revenue Growth
SentinelOne’s stock fell 32.4% during 2025 and has shed a further 7.3% year-to-date in 2026, underperforming both the S&P 500 and Nasdaq Composite. The cybersecurity firm delivered solid top-line growth—full-year 2025 revenue rose approximately 29.5% to $902 million and Q3 2026 sales climbed 26% year-over-year to $258.9 million—but investors reacted negatively to margin compression and cautious forward guidance. Gross margin contracted to roughly 74.5% in the latest period, while non-GAAP operating margin narrowed by 120 basis points compared with the prior year. Management’s projection for Q4 2026 revenue growth of 22–24% fell below the consensus 26% pace, and the announced retirement of CFO Barbara Larson heightened concerns about leadership continuity. At current consensus estimates, the shares trade at about 72.5 times forward earnings and 7.7 times forward sales, rich multiples relative to peers given decelerating growth and intensifying competition in endpoint security.
2. Sherritt Reports Doubling Dividends and Production Challenges
Sherritt International announced that 2025 dividends from its Cuban power joint venture, Energas, totaled $26.0 million—double the $13.0 million paid in 2024—reflecting lower unit operating costs of $23.00 per MWh and stable adjusted EBITDA contributions. In metals, Moa JV finished-nickel output reached 25,240 tonnes versus guidance of 25,000–26,000, while cobalt production of 2,729 tonnes sat near the 2,700–2,800 tonne range. Challenges at Moa included below-plan ore volumes, grid outages, and hurricane‐related downtime, which constrained mixed sulphide feed and depressed quarterly throughput. Full-year net direct cash costs for nickel sold were within the $5.75–$6.25 per pound target, aided by higher cobalt by‐product credits. Management has launched an operational review to stabilize mixed sulphide output ahead of a planned expansion, while monitoring geopolitical risks that could affect Cuban operations and future cash distributions.