SailPoint, Inc.: Solid SaaS Transition with Limited Upside Potential – Hold Rating Maintained

Analyst Gregg Moskowitz from Mizuho Securities maintained a Hold rating on SailPoint, Inc. (SAIL – Research Report) and keeping the price target at $25.00.

Gregg Moskowitz’s rating is based on several factors that reflect both positive and cautious elements regarding SailPoint, Inc.’s performance and outlook. The company reported solid inaugural earnings with total ARR growth slightly surpassing expectations, driven by strong SaaS ARR growth. This indicates a successful transition to a SaaS model, which is expected to improve economic outcomes and potentially increase average revenue per user over time.
Despite these positive indicators, there are uncertainties regarding the extent of future cross-selling success, which contributes to the Hold rating. While management has noted growing demand for its identity security platform and a strong pipeline for new products, the company’s valuation at current trading multiples suggests limited upside potential relative to its peers. Therefore, Moskowitz maintains a Neutral stance with a price target of $25, reflecting a balanced view of the company’s prospects.

According to TipRanks, Moskowitz is a 5-star analyst with an average return of 8.6% and a 53.21% success rate. Moskowitz covers the Technology sector, focusing on stocks such as Adobe, Salesforce, and CyberArk Software.

In another report released yesterday, Morgan Stanley also maintained a Hold rating on the stock with a $26.00 price target.