SentinelOne Stock Rises After Citron Research Flags AI Security Opportunity Amid Clawdbot Buzz

• Citron Research said in a post on X that while SentinelOne is being priced like a dead legacy endpoint vendor, its acquisition of Prompt Security turned it into a critical infrastructure play.
• In Aug. 2025, SentinelOne acquired Israel-based startup Prompt Security, foraying into the generative and agentic AI security in the workplace. 
• The research firm also highlighted SentinelOne’s valuation, noting that the company trades at about 4.9 times price-to-sales multiple despite owning the agent-security choke point.

SentinelOne Inc. (S) shares rose over 3% on Tuesday after Citron Research called the company a “critical infrastructure play” for the autonomous-agent ecosystem.

The research firm noted SentinelOne’s acquisition of Prompt Security, a company involved in AI risk mitigation, positions it to address security risks created by AI agents like Clawdbot.

“SentinelOne ($S) is being priced like a dead legacy endpoint vendor. But its acquisition of Prompt Security quietly turned it into a critical infrastructure play for this exact problem,” Citron Research said in a post on X.

The Rationale

Citron Research said that personal AI assistant Clawdbot leverages Model Context Protocol (MCP) to take real-world actions based on local computer files and data, making users susceptible to security compromises.

The firm argued that since traditional antivirus systems don’t have access to AI conversations, they will be unable to identify if an agent has been hijacked by a malicious prompt until after damage is done.

Prompt Security’s MCP Gateway acts as a real-time command filter, Citron said, adding that all actions by Clawdbot get inspected. Its security features act as a real-time control layer for AI interactions, redacting sensitive data, blocking unauthorized AI use, and enforcing policy before actions are executed.

In August, SentinelOne acquired Israel-based startup Prompt Security, foraying into the generative (GenAI) and agentic AI security in the workplace.

“If a phishing email tricks an agent into leaking files or credentials, SentinelOne stops the action before it runs. This isn’t “antivirus.” It’s the governance layer for the agentic ecosystem,” Citron said in the post. “The Clawdbot era is an endpoint war. That’s the technical edge,” the firm added.

The research firm also highlighted SentinelOne’s valuation, noting that the company trades at about 4.9 times price-to-sales multiple despite owning the agent-security choke point. Meanwhile, internet security company Cloudflare Inc. (NET) trades at 18 times its price-to-sales ratio, Citron noted.

“This is a coiled spring!!!” the research company said about SentinelOne.

How Did Stocktwits Users React?

On Stocktwits, retail sentiment around S stock jumped from ‘bearish’ to ‘bullish’ territory over the past 24 hours, while message volumes jumped from ‘normal’ to ‘high’ levels.

One bullish user called the stock one of the most ‘under-appreciated names in cyber security.’

Shares of S have declined over 35% in the past year. 

For updates and corrections, email newsroom[at]stocktwits[dot]com.

Also Read: RBC Flags Cloudflare As ‘Tier 1’ AI Beneficiary – Attributes Share Price Surge To Buzz Around Growing Demand For AI Workloads
 

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