SentinelOne stock drops 12% as cyber firm trims headcount to boost AI investments
SentinelOne's stock fell 12% following the company's decision to lay off 8% of its workforce to enhance its focus on artificial intelligence. CEO Tomer Weingarten stated that this move is part of a strategic evolution aimed at improving performance and agility. The company also provided disappointing revenue guidance for the upcoming quarter and full year, falling short of analyst expectations.
- ▪SentinelOne laid off 8% of its workforce to focus on AI and data investments.
- ▪The company expects a one-time $25 million charge related to the layoffs.
- ▪SentinelOne anticipates revenue between $289 million and $291 million for the current quarter, below analyst expectations.
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| Canonical URL | https://www.cnbc.com/2026/05/29/sentinelone-s-stock-earnings-ai-layoffs.html |
| Publication time | Fri, 29 May 2026 14:30:49 GMT |
| Retrieval time | 2026-05-29T14:45:01.332Z |
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Opening excerpt (first ~120 words) tap to expand
SentinelOne shares sank 12% as the cybersecurity company laid off 8% of its full-time workforce to focus on artificial intelligence and data investments. "This is not a reactive measure, it is a deliberate evolution to reduce complexity, raise the performance bar, and build a leaner, more agile SentinelOne," CEO Tomer Weingarten told analysts on the earnings call Thursday.Over the last few months, he said SentinelOne has restructured its teams and already seen "meaningful productivity" gains from ramped AI use.In a securities filing, the company said it expects a one-time $25 million charge tied to the layoffs. The company had over 3,000 employees at the end of April.
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