Analyst Gray Powell of BTIG reiterated a Buy rating on SailPoint, Inc., retaining the price target of $29.00.
Claim 70% Off TipRanks Premium
- Unlock hedge fund-level data and powerful investing tools for smarter, sharper decisions
- Stay ahead of the market with the latest news and analysis and maximize your portfolio's potential
Gray Powell has given his Buy rating due to a combination of factors that point to a compelling growth and valuation setup for SailPoint. Following recent investor meetings with senior management, he gained confidence that new AI-driven offerings and application management capabilities can unlock incremental revenue over the next 12–18 months, especially as customers look to better understand and govern the full scope of assets in their environments. He also sees SailPoint as well-positioned to benefit from an accelerating wave of legacy identity governance (IGA) replacements, which should act as an additional growth catalyst as large enterprises modernize their identity stacks.
Powell notes that SailPoint continues to operate in a favorable competitive landscape in the large enterprise segment, where win rates remain strong despite heightened noise in the broader identity market. He views the company’s flexible pricing and packaging as a positive driver of on‑premise to cloud migrations and uptake of new products, supporting sustained growth. Based on his analysis, SailPoint can likely maintain revenue expansion above 20% annually with free cash flow margins above 20%, and potentially exceed market expectations on growth next year. Given this outlook and a valuation discount versus high‑growth peers on EV/sales, he concludes that the risk‑reward profile is attractive and reiterates his Buy rating with a $29 price target.
In another report released on January 5, RBC Capital also maintained a Buy rating on the stock with a $26.00 price target.
Based on the recent corporate insider activity of 21 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of SAIL in relation to earlier this year.