FINWIRES · TerminalLIVE
FINWIRES

$SAIL

26 stories mentioning SAILUpdated 3d ago

Every FINWIRES story that references SAIL, newest first.

What are analysts saying about SAIL?

Recent broker actions mentioned in FINWIRES coverage. Compiled from wire headlines; not investment advice.

What's the latest news on SAIL?

Wire

SailPoint AI Pipeline Could Drive Increasing Annual Recurring Revenue Upside, RBC Says

SailPoint (SAIL) posted solid fiscal Q2 results across its annual recurring revenue, or ARR, and profitability even though the company's revenue slightly missed expectations amid a SaaS transition, RBC Capital Markets said.The investment firm said in a note Wednesday that investor expectations remained high due to the company's agentic security opportunity, while management maintained a conservative guidance posture and only flowed the Q2 beat through to its fiscal 2027 guidance.RBC noted, however, that the potential for upside could become more significant as the company's agentic pipeline matures and converts, adding that AI could become an increasingly important tailwind to growth.SailPoint remains well positioned to benefit from identity-security momentum and increased agent deployments, while its AI pipeline could contribute more meaningfully to results in the second half of the year.As the agentic pipeline matures, RBC expects higher conversion rates to drive material ARR increases among existing customers while creating an ample opportunity to win new customers.RBC kept SailPoint's outperform rating and $22 price target.Shares of the company were up 4.5% in Thursday trading.Price: $18.37, Change: $+0.79, Percent Change: +4.47%

$SAIL
Stocks Fall Pre-Bell, Oil Rises After Fresh US-Iran Strikes
US Markets

Stocks Fall Pre-Bell, Oil Rises After Fresh US-Iran Strikes

US equity futures were tracking in the red on Wednesday while oil prices rose as the US and Iran exchanged a fresh round of strikes.The S&P 500 declined 0.3%, the Dow Jones Industrial Average decreased 0.4%, and the Nasdaq was off 0.5% in premarket activity. The indexes finished Tuesday trading lower for the second consecutive session.The US Central Command said Tuesday its forces destroyed five Iranian crude oil carriers in response to Tehran firing ballistic missiles at a US navy warship. Iran retaliated by launching a barrage of ballistic missiles at a base used by US forces in Jordan, according to several media reports.CENTCOM previously said it struck three Iranian oil tankers over the weekend.West Texas Intermediate crude oil rose 2.3% to $95.13 a barrel, while Brent gained 2.6% to $100.48.President Donald Trump signed five proclamations on Tuesday to ban imports of certain Canadian goods, including some motor vehicles, alcohol and dairy products, effective Sept. 29. In July, the US imposed tariffs of 50% on these products from Canada.Treasury yields were trending upwards, with the two-year rate rising 2.1 basis points to 4.42% and the 10-year rate adding 0.4 basis points to 4.81%.Traders await two key inflation reports later in the week, with data on wholesale prices for August due on Thursday, while the consumer price index for the same month is scheduled to be released on Friday. The reports are expected to serve as crucial data points for the Federal Reserve, which begins its two-day policy meeting next week.Markets are pricing in a 60% probability that the central bank will raise the benchmark lending rate by 25 basis points, with the remaining odds pointing to another Fed pause, according to the CME FedWatch tool.US consumers had mixed views on the inflation trajectory in August, seeing prices hold steady in the short- and long-term but expecting a drop over the next three years, a survey by the Federal Reserve Bank of New York showed Tuesday.Wednesday's thin economic calendar has the weekly mortgage applications bulletin at 7 am ET.SailPoint (SAIL), Chewy (CHWY), Core & Main (CNM), Signet Jewelers (SIG) and Academy Sports and Outdoors (ASO) are set to release their latest financial results before the bell, among others. Cooper Companies (COO), AeroVironment (AVAV) and American Eagle Outfitters (AEO) post their earnings after the markets close.Shares of Casey's General Stores (CASY) dropped 8.9% pre-bell as the convenience store operator's fiscal first-quarter same-store sales growth decelerated year over year.Gold edged down to $4,438 per troy ounce, while bitcoin traded up 0.9% at $79,091.

Dow JonesNasdaq CompositeS&P 500$AEO$ASO$AVAV$CASY$CHWY$CNM$COO$SAIL$SIG
Palo Alto Beats Fiscal Fourth-Quarter Estimates; Gross Margin Declines
US Markets

Palo Alto Beats Fiscal Fourth-Quarter Estimates; Gross Margin Declines

Palo Alto Networks (PANW) fiscal fourth-quarter results came in ahead of Wall Street's estimates, but the cybersecurity firm's shares fell early Wednesday amid margin and cost pressures.Adjusted gross margin came in at 74.8% for the quarter ended July, down from 75.8% the year before, the company said late Tuesday. The stock decreased 1.8% in the most recent premarket activity.The decline reflected a mix shift toward Palo Alto's faster-growing software-as-a-service offerings, which continued to scale and "have yet to reach their gross margin maturity," Chief Financial Officer Dipak Golechha said during an earnings call, according to a FactSet transcript. "Looking ahead, the growing majority of revenue is cloud and SaaS, and we anticipate that mix shift will drive our cloud hosting costs faster than total revenue in fiscal year 2027," according to Golechha.The company expects rising commodity costs to persist in its hardware business, especially related to memory and storage, Golechha said on the call. "We continue to manage our component cost exposure through our strategic supplier relationships and selective pricing actions across our portfolio of hardware products," the CFO added.Palo Alto reported adjusted earnings of $1.02 a share for the fourth quarter, up from $0.95 in the prior-year quarter, ahead of the FactSet-polled consensus of $0.98. Revenue climbed 34% to $3.41 billion, topping the Street's view for $3.35 billion.Subscription and support revenue increased to $2.67 billion from $1.96 billion, while product sales gained to $738 million from $574 million. Next-generation security annual recurring revenue, or ARR, surged 63% on a yearly basis to $9.1 billion, surpassing the average analyst estimate of $8.93 billion."This performance is a direct result of record-breaking platformization adoption and the growing urgency among customers to fortify their defenses as (artificial intelligence) fundamentally redefines the security landscape," Chief Executive Nikesh Arora said on the call.The company expects AI tailwinds driving cybersecurity demand to intensify in the future, according to Arora. The development of global AI infrastructure is requiring trillions in investment, and the firm expects "more capital expenditure in the next five years than the preceding two decades," Arora told analysts."There is approximately $1 trillion of global cybersecurity debt that must be modernized to defend against automated threats," the CEO added.Last month, Morgan Stanley said in a client note that Palo Alto was among the cybersecurity companies positioned to benefit from a shift toward new identity-security architectures and platforms as the growing use of autonomous AI agents creates new security risks.For fiscal 2027, Palo Alto projects adjusted EPS to come in between $4.16 and $4.19 on a revenue range of $14.1 billion to $14.2 billion. The Street is looking for non-GAAP EPS of $4.14 and sales of $13.97 billion. In the previous fiscal year, adjusted EPS came in at $3.84 and revenue amounted to $11.48 billion.Next-generation security ARR is pegged at $11.08 billion to $11.18 billion for the ongoing fiscal year, representing annual growth of 22% to 23%. The market's current forecast is for $11.02 billion.Last week, rival CrowdStrike (CRWD) raised its full-year net new ARR outlook amid increasing demand for cybersecurity solutions to address AI risks, while the firm reported better-than-expected fiscal second-quarter results.For the first quarter, Palo Alto anticipates adjusted EPS of $0.96 to $0.98 on revenue of $3.3 billion to $3.31 billion. The current consensus on FactSet is for non-GAAP EPS of $0.95 and sales of $3.26 billion. Next-generation security ARR is seen at $9.54 billion to $9.56 billion, reflecting a year-over-year gain of 63%.

$CRWD$OKE$PANW$SAIL
Wire

SailPoint, CrowdStrike Expand Partnership to Integrate Identity Security Data

SailPoint (SAIL) said Monday it expanded its partnership with CrowdStrike (CRWD) to integrate its identity governance and access data into CrowdStrike's Falcon Next-Gen SIEM platform.The integration allows analysts to correlate SailPoint insights with endpoint, cloud, identity and other security telemetry, SailPoint said.The data will be available within existing Falcon workflows, reducing the need to switch between security tools during investigations, SailPoint added.SailPoint and CrowdStrike shares were up 2.9% and 5.2% respectively in Monday trading.Price: $20.41, Change: $+0.58, Percent Change: +2.92%

$CRWD$SAIL
Wire

Palo Alto Networks, Okta, SailPoint Seen Benefiting as Agentic Identity Security Shifts to Platforms, Morgan Stanley Says

Palo Alto Networks (PANW), Okta (OKTA), and SailPoint (SAIL) are well positioned to benefit from an anticipated move by enterprises toward new identity-security architectures and platforms as security risks emerge from the growth of autonomous AI agents, Morgan Stanley said in a Thursday note.The agentic identity market represents an opportunity of more than $60 billion in the coming years, Morgan Stanley analysts said. Identity-security offerings will need to expand their capabilities to make access and governance decisions in real time and at a much larger scale to handle AI agents.This architectural shift will move identity security toward platforms, as fragmented tools may not keep pace with modern attacks, according to the note.Despite Palo Alto and SailPoint having an advantage in performing real-time behavioral analysis through Palo Alto's privileged-access-management capabilities and SailPoint's identity-governance-and-administration offerings, Okta is seen as first to market with a more comprehensive platform, the analysts said.However, Palo Alto's CyberArk business gives it the strongest positioning in terms of data and client reach, the analysts said.SailPoint is also viewed favorably due to the importance of identity governance in agentic identity security, but its share-ownership overhang poses an obstacle to bringing its stock valuation closer to peer valuations, according to the note.Morgan Stanley maintained overweight ratings on the three companies and raised Okta's price target to $180 from $115 and SailPoint's to $22 from $18.Price: $358.45, Change: $-1.31, Percent Change: -0.36%

$OKTA$PANW$SAIL
Cybersecurity Firms Poised for 'Durable' Demand Amid Growing Role in Enterprise AI Adoption, BofA Says
US Markets

Cybersecurity Firms Poised for 'Durable' Demand Amid Growing Role in Enterprise AI Adoption, BofA Says

Cybersecurity companies are poised to see "durable" demand amid their growing role in enterprise artificial intelligence adoption in the light of rising agentic AI threats, BofA Securities said Tuesday.Initially, the market saw AI as a "potentially disruptive force that could compress the value of incumbent security platforms," the brokerage said in a note to clients. However, recent developments have moved the conversation toward the growing threat landscape triggered by the technology."We believe investors are increasingly viewing cybersecurity as a critical enabler of enterprise AI adoption, supporting both durable demand and a more constructive valuation framework across the sector," BofA analyst Tal Liani said.Earlier this month, the UK's AI Security Institute said AI agents from Anthropic and OpenAI took unsanctioned actions targeting real people and organizations during cyber testing.BofA raised its price objective on the SailPoint (SAIL) stock to $19 from $16.The identity security company is well positioned to gain from the increasing demand for identity governance and administration offerings that help organizations manage access, maintain compliance, and reduce identity-related risk, according to the note."While we remain constructive on SailPoint's long-term positioning as identity becomes a foundational layer of AI security, we see some higher execution risk for new products, resulting in a more balanced risk-reward profile relative to peers," Liani said.For cybersecurity provider SentinelOne (S), BofA raised its price objective to $26 from $22."Record net new (annual recurring revenue) growth, improving trends among ($100,000-plus) ARR customers, and continued progress toward balanced growth and profitability reinforce our constructive view," Liani said.The brokerage increased its price objective on Zscaler's (ZS) stock to $210 from $175.The cloud security company's strength in network transformation, data protection, and Zero Trust security, along with its growing AI capabilities and extensive cloud platform, bolsters its "strategic importance" within customer environments, Liani said.BofA reiterated its buy rating on the stocks of SentinelOne and Zscaler and its neural rating for SailPoint.SailPoint shares were up 4.2% in Tuesday afternoon trade, while SentinelOne rose 2.4%. Zscaler was 1.9% higher.Price: $19.28, Change: $+0.69, Percent Change: +3.71%

$S$SAIL$ZS
Wire

Cybersecurity Firms Critical to Enterprise AI Adoption, BofA Says

Cybersecurity firms are a critical enabler of enterprise AI adoption as growing concerns about autonomous threats should likely support security spending and demand for secure systems, creating upsell opportunities across the sector, Bank of America Securities said in a Tuesday research report.The brokerage said it reiterated its buy rating on the SentinelOne (S) stock and raised its price target to $26 per share from $22, citing the company's Singularity platform that positions it to benefit from clients leveraging AI to address higher threat volumes.BofA also reiterated its neutral rating on SailPoint (SAIL) stock and boosted its price target to $19 per share from $16. The company remains well-positioned to benefit from rising demand for identity governance and administration offerings, but faces higher execution risks for new products.For Zscaler (ZS), analysts wrote that they maintained their buy rating on the stock and raised the price target to $210 per share from $175, citing confidence in the company's ability to sustain growth through continued adoption of its zero trust architecture, according to the note.Price: $22.07, Change: $+0.25, Percent Change: +1.15%

$S$SAIL$ZS
Major Software Providers Poised for Quarterly Beats Amid 'Bullish' Reseller Feedback, RBC Says
US Markets

Major Software Providers Poised for Quarterly Beats Amid 'Bullish' Reseller Feedback, RBC Says

Several major software companies are likely to top expectations for their upcoming quarterly financial results amid an "incrementally more optimistic" feedback from resellers and other factors, RBC Capital Markets said in a note e-mailed Friday.The brokerage raised its price targets for 12 of the 14 software providers in its sector coverage, including CrowdStrike (CRWD) and Snowflake (SNOW), which it tagged as its "favorite growth idea." RBC expects both Autodesk (ADSK) and CrowdStrike, in particular, to raise their respectively financial outlooks."Our recent checks and on-quarter results from our (artificial intelligence), cyber, infra and data coverage leave us more optimistic as we head into the (second half of the year), with upside to consensus estimates now appearing more likely," Matthew Hedberg, RBC's head of global technology, internet, media and telecom research, said in a note to clients."Our off-(quarter) cyber checks were particularly bullish, as we found resellers incrementally more optimistic regarding recent results and the potential for a strong (second half)," Hedberg wrote.The brokerage raised its price target on the Snowflake stock to $372 from $313. "We continue to believe Snowflake is one of the few software companies benefiting directly from AI-readiness as we remain positively biased on shares," Hedberg said.RBC revised its price target for CrowdStrike's shares to $256 from $188.75. The brokerage tagged the company as a "top (long-term) idea and category leader.""Following another round of bullish reseller checks, we look for another strong beat/raise quarter (for CrowdStrike)," Hedberg said. "While we think demand trends remain very healthy and assume nice upside to (second-quarter) estimates, the (short-term) setup is trickier, as CrowdStrike has higher company-specific expectations and valuation (versus) peers."While RBC maintained its $305 price target on the Autodesk stock, Hedberg described the company's setup as "favorable coming off a strong beat-and-raise quarter.""We believe (fiscal 2027) guidance has an opportunity to move slightly higher this quarter and over (the second half)," Hedberg wrote. "We continue to like design and vertical software ideas like (Autodesk), as we believe they are less prone to AI headwinds and could start to see AI tailwinds due to proprietary data moats."Citing "peer-multiple expansion," RBC also raised its price targets for GitLab (GTLB), Okta (OKTA), Palo Alto Networks (PANW), SailPoint (SAIL), among other names. It maintained its price target on the Zscaler (ZS) stock at $200.Price: $217.71, Change: $-7.82, Percent Change: -3.47%

$ADSK$CRWD$GTLB$OKTA$PANW$SAIL$SNOW$ZS
Wire

SailPoint Well Positioned to Capitalize on Agentic AI Opportunities, RBC Says

SailPoint (SAIL) is well-positioned in a durable and growing identity security market and for opportunities in agentic artificial intelligence, RBC Capital Markets analysts said in a note emailed Wednesday.Analysts said the company is likely to face upside throughout the year as its commentary on an inflection in agentic AI remains bullish.SailPoint's fiscal 2027 guidance is "conservative" as it refrains from predicting when AI will begin to have a positive impact on results.Analysts said that SailPoint's fiscal 2029 topline targets are achievable despite the implied acceleration, as modernizations will accelerate and provide a healthy uplift along with the extensive agentic opportunity.RBC retained an outperform rating and a $19 price target on the stock.Price: $13.69, Change: $-0.40, Percent Change: -2.84%

$SAIL
SailPoint Positioned Well in Identity Security Market Amid Agentic AI Opportunity, RBC Says
US Markets

SailPoint Positioned Well in Identity Security Market Amid Agentic AI Opportunity, RBC Says

SailPoint (SAIL) is positioned well as an adaptive identity security provider with potential to benefit from the emerging agentic AI market, RBC Capital Markets said in a note emailed Wednesday.The brokerage said it's optimistic about SailPoint after attending its analyst day, where the cybersecurity firm unveiled its fiscal 2029 and long-term financial targets, product strategy and pricing models.For fiscal 2029, SailPoint is eyeing annual recurring revenue of $2.1 billion, of which $800 million is expected to be generated from artificial intelligence. The company is also aiming to achieve an adjusted operating margin of 22%."We believe topline targets are achievable despite the implied acceleration as we believe modernizations will accelerate and yield a healthy uplift along with the extensive agentic opportunity ahead of the company," RBC analyst Matthew Hedberg wrote in the note.Last week, the firm said it expects ARR of $1.36 billion to $1.37 billion for its ongoing fiscal year, while the current consensus on FactSet is for $1.37 billion. Adjusted earnings are pegged at $0.30 to $0.34 per share on a revenue range of $1.27 billion to $1.28 billion. The Street is looking for non-GAAP EPS of $0.32 and sales of $1.27 billion.SailPoint reiterated its full-year outlook at the analyst event, according to RBC.Upside for the firm is likely to continue throughout the year based on senior management's bullish commentary around agentic inflection, Hedberg wrote. The brokerage said SailPoint's guidance "remains conservative," as it is measured about the timing of AI's impact on results but expects it to become a tailwind."We believe management did a good job reconciling recent bullish commentary on AI tailwinds with what we view is conservative (fiscal 2027) guidance by providing (fiscal 2029) and (long-term) targets implying accelerating growth," according to Hedberg. "We believe SailPoint remains well-positioned in a durable and growing identity security market and for the emerging agentic opportunity."RBC maintained its outperform rating on SailPoint's stock and price target of $19.

$SAIL
Wire

SailPoint Plans to Acquire Entro to Boost Machine Identity Security

SailPoint (SAIL) said Monday it plans to purchase Israel-based Entro to broaden its non-human identity protection capabilities.The transaction will integrate new technology into the existing security platform to help organizations monitor automated artificial intelligence agents, the company said.Entro provides visibility into machine identities while linking them to human operators to establish digital accountability, SailPoint said.The acquisition is expected to close in Q3 of fiscal 2027, subject to standard closing conditions, the company said.Shares of the company were up 1.9% in Monday trading.Price: $14.90, Change: $+0.28, Percent Change: +1.92%

$SAIL
Wire

SailPoint Downgraded on Growth Concerns as Shift Toward Platform IAM Pressures Outlook, BofA Says

SailPoint (SAIL) was downgraded due to concerns over growth durability and competitive positioning as the identity governance market shifts toward broader platform-based identity and access management offerings, BofA Securities said in a Friday note.The analyst said larger incumbents and hyperscalers are increasingly bundling authentication, directories, conditional access and telemetry, which could weigh on demand for standalone governance vendors and limit upside for those providers.BofA added that growth is expected to moderate as SaaS-driven expansion matures, with earlier migration tailwinds from term and perpetual licenses fading, while SaaS growth is likely to decelerate over the next two years.The note highlighted emerging product areas, including AI-driven identity capabilities and agentic frameworks, as potential offsets, with early traction in non-human identity workloads and increasing ARR from newer offerings.BofA downgraded the stock to Neutral from Buy with a price target of $16.Shares of SailPoint were down 1% in Friday trading.Price: $14.30, Change: $-0.12, Percent Change: -0.83%

$SAIL
Research

BofA Downgrades SailPoint to Neutral From Buy, Keeps $16 Price Target

SailPoint (SAIL) has an average rating of buy and mean price target of $19.10, according to analysts polled by FactSet.

$SAIL
Wire

SailPoint Well-Positioned in Growing Identity Security Market for Emerging Agentic Opportunity, RBC Says

SailPoint (SAIL) remains well-positioned in a durable and growing identity security market and for the emerging agentic opportunity, RBC Capital Markets said in a Wednesday research note.With the company raising its fiscal 2027 guidance and its midpoint guidance now calling for +22% annual recurring revenue and -2% net new annual recurring revenue versus +21% ARR and -5% NNARR growth previously, RBC said it believes agentic assumptions are discounted in guidance and could yield more upside in H2.Additionally, RBC said that the introduction of the SailPoint Agentic Fabric can also provide upside and increased interest in the platform as the product is included in agentic suites for software as a service.RBC raised its priced target to $19 from $17 and maintained its outperform rating.Price: $14.48, Change: $-1.19, Percent Change: -7.57%

$SAIL
Sectors

Sector Update: Tech Stocks Fall Late Afternoon

Tech stocks were lower late Tuesday afternoon, with the State Street Technology Select Sector SPDR ETF (XLK) falling 3.1% and the State Street SPDR S&P Semiconductor ETF (XSD) dropping 5.5%.The Philadelphia Semiconductor index slumped 4.2%.In sector news, OpenAI has confidentially filed for a potential initial public offering in the US, joining a series of mega-cap listings that could mark the largest capital-raising cycle on record. Last week, AI chatbot Claude maker Anthropic confidentially filed to go public in the US. Elon Musk-led SpaceX is looking to raise a record-breaking $75 billion in its IPO, and could be valued at $1.75 trillion, Reuters reported earlier this month.In corporate news, Satellogic (SATL) shares fell past 9% after the company said Rick Dunn will step down as its chief financial officer.Apple (AAPL) on Monday unveiled major software updates at its Worldwide Developers Conference, including Siri AI and the next generation of Apple Intelligence. Separately, Apple said Tuesday users in the EU will not have access to Siri AI on iOS 27 and iPadOS 27 when the software launches later this year because of requirements under the bloc's Digital Markets Act. Apple shares fell 3.5%.Amazon-backed (AMZN) Anthropic said Tuesday it is launching Claude Fable 5, a new general-purpose model with capabilities across software engineering, knowledge work, vision and scientific research. Amazon shares were decreasing 0.3%.SailPoint (SAIL) on Tuesday issued a fiscal Q2 revenue outlook indicating a sequential growth slowdown, while the cybersecurity company left its full-year profit guidance unchanged. Its shares dropped 12%.

$AAPL$AMZN$SAIL$SATL
Wire

Scotiabank Raises SailPoint Price Target to $19 From $16, Sector Outperform Rating Kept

SailPoint, Inc. (SAIL) has an average rating of buy and mean price target of $18.65, according to analysts polled by FactSet.Price: $15.51, Change: $-2.18, Percent Change: -12.32%

$SAIL
Sectors

Sector Update: Tech Stocks Fall Tuesday Afternoon

Tech stocks were sharply lower Tuesday afternoon, with the State Street Technology Select Sector SPDR ETF (XLK) falling 3.5% and the State Street SPDR S&P Semiconductor ETF (XSD) dropping 6%.The Philadelphia Semiconductor index slumped 4.7%.In sector news, OpenAI has confidentially filed for a potential initial public offering in the US, joining a series of mega-cap listings that could mark the largest capital-raising cycle on record. Last week, AI chatbot Claude maker Anthropic confidentially filed to go public in the US. Elon Musk-led SpaceX is looking to raise a record-breaking $75 billion in its IPO, and could be valued at $1.75 trillion, Reuters reported earlier this month.In corporate news, Apple (AAPL) on Monday unveiled major software updates at its Worldwide Developers Conference, including Siri AI and the next generation of Apple Intelligence. Separately, Apple said Tuesday users in the EU will not have access to Siri AI on iOS 27 and iPadOS 27 when the software launches later this year because of requirements under the bloc's Digital Markets Act. Apple shares fell 3.8%.SailPoint (SAIL) on Tuesday issued a fiscal Q2 revenue outlook indicating a sequential growth slowdown, while the cybersecurity company left its full-year profit guidance unchanged. Its shares dropped 11%.CoreWeave (CRWV) will hold calls Tuesday with high-yield investors in Europe about potential dollar and euro bond sales, Bloomberg reported. CoreWeave shares dropped 5.4%.

$AAPL$CRWV$SAIL
Sectors

Sector Update: Tech

Tech stocks were sharply lower Tuesday afternoon, with the State Street Technology Select Sector SPDR ETF (XLK) falling 4.4% and the State Street SPDR S&P Semiconductor ETF (XSD) dropping 7.4%.The Philadelphia Semiconductor index slumped 6%.In corporate news, SailPoint (SAIL) on Tuesday issued a fiscal Q2 revenue outlook indicating a sequential growth slowdown, while the cybersecurity company left its full-year profit guidance unchanged. Its shares dropped 12.4%.

$SAIL
SailPoint's Quarterly Outlook Indicates Sequential Revenue Slowdown; Shares Slump
US Markets

SailPoint's Quarterly Outlook Indicates Sequential Revenue Slowdown; Shares Slump

SailPoint (SAIL) on Tuesday issued a fiscal second-quarter revenue outlook indicating a sequential growth slowdown, while the cybersecurity company left its full-year profit guidance unchanged.SailPoint expects second-quarter revenue of $308 million to $312 million, indicating year-over-year growth of 17% to 18%. That reflects a slower pace than a 22% rise in the first quarter to $280.1 million, which surpassed the consensus of $275.8 million on FactSet.Annual recurring revenue is projected at $1.218 billion to $1.222 billion, representing a rise of 24% annually. The metric increased 26% to $1.16 billion in the first quarter that ended in April, largely in line with the Street's views.The stock declined 10% intraday, and has slid nearly 21% since the start of the year.SailPoint pegged second-quarter adjusted per-share earnings at $0.07 to $0.08 after its bottom-line rose to $0.05 in the first quarter from $0.01 a year earlier, topping the $0.04 market estimate.Analysts in a FactSet survey are looking for second-quarter total sales of $309.7 million, ARR of $1.213 billion, and non-GAAP EPS of $0.08.For fiscal 2027, the company maintained its adjusted EPS guidance at $0.30 to $0.34, while raising its revenue outlook to between $1.265 billion and $1.275 billion from its prior range of $1.26 billion to $1.27 billion. Analysts expect non-GAAP EPS of $0.32 on sales of $1.27 billion.SailPoint is now looking at full-year ARR of $1.364 billion to $1.374 billion, compared with its prior guidance of $1.356 billion to $1.366 billion. The Street is looking for $1.363 billion."Consistent with last quarter, our fiscal (second-quarter) and full-year 2027 guidance assumes 90% to 95% of net new ARR will come from (software as a service) as customers leverage the continuous innovation we are building into our cloud platform," Chief Financial Officer Brian Carolan said at an earnings conference call, according to a FactSet transcript. "As our SaaS mix increases, it may cause short-term fluctuations in our (profit and loss statement)."Still, "the shift towards SaaS is a long-term value driver for the business," Carolan said.Price: $15.68, Change: $-2.01, Percent Change: -11.36%

$SAIL
Asia Markets

US Equity Futures Rise Pre-Bell as Oil Prices Drop Amid Optimism on US-Iran Peace Deal

US equity futures were higher pre-bell Tuesday as oil prices receded on optimism that a US-Iran peace agreement could happen soon.Dow Jones Industrial Average futures were 0.3% higher, S&P 500 futures were up 0.4%, and Nasdaq futures were 0.8% higher.West Texas Intermediate crude oil dropped to below $90 a barrel as President Donald Trump said in a CNBC report that a deal to end the Middle East war could be reached in "two to three days," with the Strait of Hormuz reopening "immediately" after the agreement is signed. The two countries are nearing a deal "that will not in any way allow nuclear weapons," Trump said, according to the report.Front-month global benchmark North Sea Brent crude was down 1.5% to $92.85 per barrel and US West Texas Intermediate crude 2.1% lower at $89.39 per barrel.The US international trade deficit narrowed to $55.88 billion in April from the downwardly revised $56.59 billion gap in March, compared with a $56.1 billion gap expected in a survey compiled by Bloomberg.The existing home sales report, scheduled for release at 10 am ET, is expected to show an increase of 1.1% for May after a gain of 0.2% in the prior month.In other world markets, Japan's Nikkei closed 2.2% higher, Hong Kong's Hang Seng ended 0.4% lower, and China's Shanghai Composite finished 1.3% higher. Meanwhile, the UK's FTSE 100 was down 0.3%, and Germany's DAX index was 0.5% higher in Europe's early afternoon session.In equities, Meta Platforms (META) stock was up 1% after a Reuters report that a probe on the use of AI tools on its messaging service WhatsApp was stopped by Italy's competition authority due to jurisdictional overlap with European Union regulators. Broadcom (AVGO) and Micron Technology (MU) shares rose 1.2% and 4.5%, respectively, as part of a broader rally in the tech sector. J.M. Smucker was up 4.7% after the company posted higher fiscal Q4 adjusted earnings and net sales.On the losing side, SailPoint (SAIL) shares fell more than 12% despite posting higher fiscal Q1 adjusted earnings and revenue. Sony (SONY) stock was down 2.6% after Nikkei Asia reported that the company will release a new flagship version of its Xperia smartphone with AI-enabled camera functions on Thursday.

Dow JonesNasdaq CompositeS&P 500$AVGO$META$MU$SAIL$SJM$SONY

Showing 1-20 of 26

Track with the FINWIRES app suite

FolioX
FolioX
Track SAIL in your portfolio
WheelAI
WheelAI
Analyze SAIL options with the wheel strategy
StockInsider
StockInsider
See market sentiment on SAIL