We recently compiled a list of the 11 Most Promising New Technology Stocks According to Analysts. In this article, we are going to take a look at where SailPoint, Inc. (NASDAQ:SAIL) stands against the other promising new technology stocks.
Are the Tariffs Impacting the IPO Market?
The stock market entered 2025 with much optimism, taking confidence from last year’s performance. Similar to the stock market, the US IPO market also entered 2025 well-positioned for a promising year. However, the uncertainty regarding the tariffs has led to a lot of volatility in both the stock market and the IPO market.
On March 27, White & Case released its insights on the US IPO market. The report highlighted that the US IPO showed steady gains due to stabilized gains and falling interest rates in the fourth quarter of 2024. Last year marked the second consecutive year of positive growth in US IPO proceeds, including the SPACs (Special Purpose Acquisition Company), as the proceeds reached $41.36 billion after growing 75% year-over-year. While the growth was impressive, it was still well below the pre-pandemic levels. In terms of the IPO counts, the number of IPOs grew from 154 in 2023 to 231 in 2024. The report also noted that the United States continued to lead the global IPO market by posting more than twice the level of proceeds as India, which is the second-largest IPO market by proceeds.
The progress from the last year was carried on into 2025 as figures from the January 2025 IPO were favorable compared to the same month last year. In January, the US saw 29 IPOs, up from 17, with deal values growing from $3.45 billion to $5.1 billion. Moreover, the pipeline figures showed that there were 57 pending IPOs in March 2025. The United States market is anticipating more technology and artificial intelligence companies to go IPO during the year. This is due to the massive joint investment through Stargate’s $100 billion reserve.
The report acknowledged the uncertainty and difficulty that new companies might be facing due to the tariffs. However, the overall economic policies of the administration are viewed as capital-friendly, thereby paving the way for more IPOs to be filed this year.
Our Methodology
To curate the list of 11 most promising new technology stocks according to analysts, we used the Finviz stock screener and CNN. Using the screener, we aggregated a list of technology stocks that have IPOed within the last 3 years. Next, we sourced the upside potential based on Wall Street analysts’ price target estimates for each stock from CNN and ranked the stocks in ascending order of this indicator. We have also added the hedge fund sentiment around each stock from Insider Monkey’s Q4 2024 database. Please note that the data was recorded on May 13, 2025.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 373.4% since May 2014, beating its benchmark by 218 percentage points (see more details here).
A young professional in a workspace with a laptop demonstrating the company’s anti-virus security & privacy protection services.
SailPoint, Inc. (NASDAQ:SAIL)
Analyst Upside Potential: 37.33%
Number of Hedge Fund Holders: NA
SailPoint, Inc. (NASDAQ:SAIL) is a technology company that specializes in identity security solutions for enterprises. It provides a unified platform that manages and secures access to applications and data of identities, including employees, contractors, and partners. Its key offerings include Identity Security Cloud, IdentityIQ, and other advanced capabilities.
On April 23, it launched its first Software-as-a-Service instance in the Middle East, which is expected to go live in May 2025. This is a strategic move to strengthen its global expansion and accelerate digital transformation in the region. Moreover, during fiscal 2025, SailPoint, Inc. (NASDAQ:SAIL) grew its annual recurring revenue by 29% year-over-year to reach $877 million. Its SaaS ARR, which is a key indicator of cloud-based services, expanded even faster at 39% year-over-year, reaching $540 million. The management of the company noted that identity security is now a strategic imperative for enterprises, especially with the growing complexity and scale of identity management needs accelerated by AI agents.
Looking ahead, SailPoint, Inc. (NASDAQ:SAIL) expects continued growth for fiscal 2026 with annual recurring revenue projected between $896 million and $900 million, reflecting 26% to 27% growth.
ClearBridge Mid Cap Strategy stated the following regarding SailPoint, Inc. Common Stock (NASDAQ:SAIL) in its Q1 2025 investor letter:
“We participated in the IPO of SailPoint, Inc. Common Stock (NASDAQ:SAIL), which offers identity security solutions to help companies manage and secure access to critical data and applications. Having known the company for a long time and previously owned it in its prior publicly traded forms, we believe the incorporation of AI has swelled SailPoint’s total addressable market — already growing at a high pace — as companies will need to begin addressing what data and functions their new AI agents can access across their enterprise.”
Overall SAIL ranks 5th on our list of the most promising new technology stocks according to analysts. While we acknowledge the potential of SAIL as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. There is an AI stock that went up since the beginning of 2025, while popular AI stocks lost around 25%. If you are looking for an AI stock that is more promising than SAIL but that trades at less than 5 times its earnings, check out our report about this cheapest AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.