nCino (NASDAQ:NCNO) versus SailPoint (NASDAQ:SAIL) Head to Head Analysis

SailPoint (NASDAQ:SAIL) and nCino (NASDAQ:NCNO) are both computer and technology companies, but which is the better investment? We will compare the two businesses based on the strength of their earnings, risk, dividends, valuation, institutional ownership, profitability and analyst recommendations.

Analyst Ratings

This is a summary of current ratings and target prices for SailPoint and nCino, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
SailPoint	1	4	17	1	2.78
nCino	1	5	11	2	2.74

SailPoint currently has a consensus price target of $20.08, suggesting a potential upside of 40.33%. nCino has a consensus price target of $25.29, suggesting a potential upside of 55.89%. Given nCino’s higher probable upside, analysts plainly believe nCino is more favorable than SailPoint.

Insider and Institutional Ownership

94.8% of nCino shares are held by institutional investors. 1.7% of SailPoint shares are held by insiders. Comparatively, 1.9% of nCino shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Volatility & Risk

SailPoint has a beta of 2.2, indicating that its share price is 120% more volatile than the S&P 500. Comparatively, nCino has a beta of 0.68, indicating that its share price is 32% less volatile than the S&P 500.

Profitability

This table compares SailPoint and nCino’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
SailPoint	-14.04%	2.31%	2.10%
nCino	2.17%	6.85%	4.39%

Valuation & Earnings

This table compares SailPoint and nCino”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
SailPoint	$1.07 billion	7.58	-$270.05 million	($0.27)	-53.00
nCino	$594.78 million	2.99	$5.18 million	$0.12	135.17

nCino has lower revenue, but higher earnings than SailPoint. SailPoint is trading at a lower price-to-earnings ratio than nCino, indicating that it is currently the more affordable of the two stocks.

Summary

nCino beats SailPoint on 10 of the 15 factors compared between the two stocks.

About SailPoint

SailPoint, Inc. delivers solutions to enable comprehensive identity security for the enterprise. Its solutions enable organizations to establish, control, and automate policies that help them define and maintain a robust security posture and achieve regulatory compliance. The company was founded by Mark David McClain in 2005 and is headquartered in Austin, TX.

About nCino

nCino, Inc., a software-as-a-service company, provides cloud-based software applications to financial institutions in the United States and internationally. Its nCino Bank Operating System connects financial institution employees, clients and third parties on a single cloud-based platform which include client onboarding, deposit account opening, loan origination, end-to-end mortgage suite, and powerful ecosystem. The company's nIQ, an application suite that utilizes data analytics and artificial intelligence and machine learning to provide its customers with automation and insights into their operations, such as tools for analyzing, measuring, and managing credit risk, as well as to enhance their ability to comply with regulatory requirements. It also offers SimpleNexus, a cloud-based mobile-first homeownership software solution. The company serves financial institution customers, including global financial institutions, enterprise banks, regional banks, community banks, credit unions, new market entrants, and independent mortgage banks through business development representatives, account executives, field sales engineers, and customer success managers. nCino, Inc. was founded in 2011 and is headquartered in Wilmington, North Carolina.