13 Best Software Stocks to Buy Now

9. SailPoint Technologies Holdings, Inc. (NYSE:SAIL)

1-Year Return as of June 16: 7.52%

Number of Hedge Fund Holders as of Q1 2025: 41

SailPoint Technologies Holdings, Inc. (NYSE:SAIL) is one of the 13 best software stocks to buy now. On June 12, JPMorgan reiterated a ‘Neutral’ rating on the stock and increased the price target to $26 from $25. The adjustments follow what the investment bank touted as a solid first real quarter post-IPO.

According to JPMorgan, SailPoint delivered annual recurring revenue and profitability that beat consensus estimates. The company achieved 30% year-over-year growth in ARR in the first quarter. Half of the ARR growth came from new customers, while the other half from existing customer expansion.

JPMorgan also noted that the company has not experienced any fundamental change in line with the challenging macroeconomic environment. Instead, the company benefits from strength driven by large customer traction and identity rising as an investment priority. The investment firm is also buoyed by the company’s product innovation, healthy traction in Machine identity, and the introduction of the Harbor Pilot. Consequently, SailPoint Technologies expects to gain market share and increase the priority stack.

SailPoint Technologies Holdings, Inc. (NYSE:SAIL) is a company that provides enterprise software for identity security and governance. It offers solutions that help organizations manage and secure user identities.