SentinelOne, Inc.

Worth knowing

• Returning more cash than it generates. Paid out $200M vs $38M of free cash flow over the 3 fiscal years to FY Jan 2026.

  SentinelOne returned $200M to shareholders over three years, 525% of the free cash flow it produced. That gap has to be covered by cash reserves or new debt, which can't last indefinitely.

• Stock pay outran buybacks. Stock-based pay expense $782M vs $200M spent repurchasing shares over the 3 fiscal years to FY Jan 2026.

  Over three fiscal years SentinelOne recorded $782M of stock-based pay expense and spent $200M repurchasing shares (repurchases can include shares withheld to cover employees' taxes). Repurchases were smaller than the stock pay, so they did little to offset new employee shares.Over three fiscal years SentinelOne recorded $782M of stock-based pay expense and spent $200M repurchasing shares. Repurchases were smaller than the stock pay, so they did little to offset new employee shares.

• Stock-based pay is a large cost. Stock pay was 30% of revenue in FY Jan 2026.

  SentinelOne paid employees $298M in stock in FY Jan 2026, 30% of its $1.0B revenue. It doesn't use cash, so it flatters cash flow, but it is a real cost to shareholders through dilution.

• Operating loss narrowing. Operating margin -32% in FY Jan 2026, the smallest loss relative to revenue of the last 6 years.

  SentinelOne still lost money on operations in FY Jan 2026 (margin -32%), but that was its smallest operating loss relative to revenue in the 6 years of filings we have.