SailPoint stock dropped after post-IPO earnings despite beating projections

From Yahoo Finance: 2025-03-26 15:40:00

SailPoint’s stock price fluctuated during Wednesday trading after its first earnings report since going public in early February. Despite a 1% closing drop, CEO Mark McClain expressed optimism, citing beating all numbers. The cybersecurity company posted an 18% year-over-year sales increase to $240 million.

For the full year, SailPoint guided sales between $1.025 billion to $1.035 billion, above the Street’s estimate of $1.02 billion. Adjusted earnings per share are projected between $0.14 to $0.18, surpassing the $0.09 estimate. McClain noted no slowdown in demand, emphasizing cybersecurity’s ongoing importance.

SailPoint began trading on the Nasdaq on February 13, pricing its IPO at $1.38 billion. Its valuation stood at $12.6 billion pre-IPO, closing its first day of trading at $22. The company hit a closing high of $25.70 on Feb. 16, with a current market cap of $11.9 billion.

Thoma Bravo took SailPoint public in 2017 and then private in 2022 for $6.9 billion. SailPoint’s successful IPO in 2025 amid a volatile market has spurred other private companies like eToro, StubHub, and CoreWeave to file for IPOs. The tech IPO market remains robust despite market uncertainty.

Read more: SailPoint stock drop ‘hard to explain’ after post-IPO earnings, CEO says