SailPoint, Inc. (NASDAQ: SAIL)

Sector: Technology Industry: Software - Infrastructure CIK: 0002030781
P/B 0.40
P/E -4.36
P/S 2.70
Market Cap 2.75 Bn
ROIC (Qtr) -3.85
Div Yield % 0.00
Rev 1y % (Qtr) 19.84
Total Debt (Qtr) 0.00
Debt/Equity (Qtr) 0.00

About

Stock Price Chart

Analysis

Pros

  • Robust tangible asset base of 894.63M provides 6.19x coverage of working capital 144.45M, indicating strong operational backing.
  • R&D investment of 212.05M represents healthy 0.46x of deferred revenue 460.82M, indicating strong future innovation pipeline.
  • Cash position of 298.11M represents healthy 2.06x of working capital 144.45M, demonstrating strong operational liquidity.
  • Cash reserves of 298.11M provide comfortable 4.33x coverage of tax obligations 68.82M, showing strong fiscal management.
  • Strong R&D investment of 212.05M at 14.73x of capex 14.39M shows balanced investment in innovation and infrastructure.

Cons

  • Operating cash flow of 20.51M barely covers its investment activities of (41.33M), with a coverage ratio of -0.50, indicating heavy reliance on external financing for growth which may not be sustainable in a tighter credit environment.
  • Investment activities of (41.33M) provide weak support for R&D spending of 212.05M, which is -0.19x, suggesting potentially insufficient investment in innovation relative to other capital deployment.
  • Cash reserves of 298.11M provide limited coverage of acquisition spending of (26.93M), which is -11.07x, suggesting aggressive expansion might strain liquidity if market conditions deteriorate.
  • Operating cash flow of 20.51M provides insufficient coverage of deferred revenue obligations of 460.82M, which is 0.04x, raising concerns about future service delivery capabilities.
  • The company's operating cash flow of 20.51M shows concerning coverage of stock compensation expenses of 210.76M, with a 0.10 ratio indicating potential earnings quality issues.

Peer Comparison

Companies in the Software - Infrastructure
S.No. Ticker Company Market Cap P/E P/S Total Debt (Qtr)
1 MSFT Microsoft Corp 3,542.10 Bn 33.76 12.06 60.56 Bn
2 ORCL Oracle Corp 533.93 Bn 34.61 8.75 124.39 Bn
3 PLTR Palantir Technologies Inc. 437.56 Bn 399.47 112.31 0.24 Bn
4 PANW Palo Alto Networks Inc 125.16 Bn 112.03 13.10 0.35 Bn
5 CRWD CrowdStrike Holdings, Inc. 120.85 Bn -384.67 26.47 0.82 Bn
6 SNPS Synopsys Inc 71.69 Bn 35.89 11.14 15.14 Bn
7 NET Cloudflare, Inc. 67.84 Bn -658.43 33.70 3.50 Bn
8 FTNT Fortinet, Inc. 63.33 Bn 33.80 9.66 1.00 Bn

Industry Comparisons

Current Valuation

Metric Value Industry Percentile
EV to Assets 0.33 2.56
EV to Cash from Ops. 120.64 38.32
EV to Debt 0.00 -11.37
EV to EBIT -8.40 -12.79
EV to EBITDA -27.91 7.72
EV to Free Cash Flow [EV/FCF] 404.56 24.22
EV to Market Cap 0.90 0.58
EV to Revenue 2.43 -35.00
Price to Book Value [P/B] 0.40 3.74
Price to Earnings [P/E] -4.36 -18.61

Dividend Metrics

Metric Value Industry Percentile
Dividend Coverage Ratio -1.99 -0.30
Dividend Payout Ratio % 0.00 2.69
Dividend per Basic Share 0.00 0.10
FCF Dividend Payout Ratio % 0.00 1.67
Interest Coverage -4.15 -13.15

Growth Metrics

Metric Value Industry Percentile
Capex Growth (1y) % -17.59 -404.11
Cash and Equivalents Growth (1y) % 337.34 226.02
Dividend Growth (1y) % 0.00 -0.27
EBIAT Growth (1y) % -44.70 31.15
EBITDA Growth (1y) % -418.51 49.02
EBIT Growth (1y) % -32.90 25.85
EBT Growth (1y) % 10.72 17.82
EPS Growth (1y) % 48.13 70.69
FCF Growth (1y) % 103.31 295.45
Gross Profit Growth (1y) % 24.05 49.96

Liquidity Ratios

Metric Value Industry Percentile
Asset Utilization Ratio 0.14 0.68
Cash Payout Ratio 0.00 0.02
Cash Ratio 0.57 1.21
Current Ratio 1.28 2.57
Debt to Equity Ratio 0.00 -0.93
Interest Cover Ratio -4.15 -13.15
Times Interest Earned -4.15 -13.15

Profitability

Metric Value Industry Percentile
EBITDA Margin % -8.40 -544.82
EBIT Margin % -28.96 -197.78
EBT Margin % -35.93 -602.74
Gross Margin % 64.10 52.06
Net Profit Margin % -61.90 -605.52