By Christiana Sciaudone
Investing.com -- SentinelOne (NYSE:S) opened at $46, jumping almost 30% after shares started trading on the New York Stock Exchange.
The cybersecurity company priced its initial public offering at $35 a share, ahead of the proposed range of $31 to $32, selling 35 million shares to raise $1.23 billion.
"With digital transformation changing everything, accelerated by the COVID-19 pandemic, organizations have become increasingly susceptible to cyberattacks," the company said in a prospectus.
As of April 30, SentinelOne had more than 4,700 customers, up from 2,700 a year earlier. Revenue for fiscal 2020 and fiscal 2021 was $46.5 million and $93.1 million, respectively, while sales for the three months ended April 30, 2020 and 2021 were $18 million and $37.4 million, respectively.
The addressable market for cybersecurity type products is expected to reach $40.2 billion in 2024, growing at a compound annual growth rate of 11.9% between 2021 and 2024, according to IDC.
The company, however, continues to incur losses, and is facing significant competition, including Crowdstrike Holdings Inc (NASDAQ:CRWD), which is up almost 200% since going public more than two years ago. Crowdstrike has been profitable since the quarter ended in April 2020.