Jefferies analyst Joseph Gallo maintained a Buy rating on SailPoint, Inc. (SAIL – Research Report) today and set a price target of $26.00.
Joseph Gallo has given his Buy rating due to a combination of factors that highlight SailPoint, Inc.’s strong financial performance and growth potential. The company reported a robust fourth quarter with an annual recurring revenue (ARR) of $877 million, marking a 29% year-over-year increase, which exceeded expectations. This strong performance was driven by higher-than-anticipated term revenue, boosting both the top and bottom lines.
Furthermore, SailPoint’s guidance for fiscal year 2026 suggests a prudent yet optimistic outlook with a 23% year-over-year ARR growth, surpassing the consensus estimate. The company’s early success in the machine identity sector and its gains in identity governance and administration (IGA) further reinforce confidence in sustained ARR growth of over 20% for the next three years. Additionally, SailPoint’s resilience in the identity sector, despite macroeconomic challenges, and its significant exposure to government contracts, particularly in the U.S., provide a stable foundation for future growth, justifying the Buy rating.
Gallo covers the Technology sector, focusing on stocks such as CyberArk Software, Check Point, and Fortinet. According to TipRanks, Gallo has an average return of 15.0% and a 72.73% success rate on recommended stocks.
In another report released today, Barclays also maintained a Buy rating on the stock with a $27.00 price target.