Akamai Technologies, Inc. (AKAM) vs SailPoint, Inc. (SAIL)

Akamai Technologies, Inc. and SailPoint, Inc. are both Software Infrastructure companies. Akamai Technologies, Inc. is the larger, with a market value of $19.2B against $12.8B — 1.5× the size. SailPoint, Inc. has negative trailing earnings, so its P/E is not meaningful; Akamai Technologies, Inc. trades at 40.0×. SailPoint, Inc. grew revenue faster over the last twelve months: 20.1% against 5.87%. Akamai Technologies, Inc. has the higher net margin (9.51% vs −16.9%) and the higher return on invested capital (3.18% vs −2.10%). Across the 19 metrics below, Akamai Technologies, Inc. leads on 14 and SailPoint, Inc. on 5.

Valuation

Metric AKAM SAIL Software Infrastructure median
P/E 39.98 n/m 28.02
P/S 3.81 10.06 3.07
P/B 3.47 1.71 3.36
Price to free cash flow 26.17 73.42 17.12
EV/EBITDA 17.34 286.97 14.91
EV/Sales 4.79 10.67 3.03
Earnings yield 2.50% (1.65%) 0.13%
Free cash flow yield 3.82% 1.36% 1.15%

Profitability

Metric AKAM SAIL Software Infrastructure median
Gross margin 57.45% 66.22% 61.23%
Operating margin 10.54% (18.92%) 0.00%
Net margin 9.51% (16.92%) 0.00%
Free cash flow margin 14.57% 13.70% 1.67%
Return on equity 8.92% (2.88%) 0.59%
Return on assets 3.21% (2.62%) 0.00%
Return on invested capital 3.18% (2.10%) 0.00%

Growth

Metric AKAM SAIL Software Infrastructure median
Revenue growth (TTM) 5.87% 20.13% 13.41%
EPS growth (last fiscal year) (6.12%) 95.82% —
Revenue growth, 5-year CAGR 5.64% — 15.81%
Net income growth, 5-year CAGR (4.09%) — 0.00%

Health

Metric AKAM SAIL Software Infrastructure median
Debt to equity 1.59 0.00 0.06
Current ratio 1.64 1.23 1.55
Net debt to EBITDA 2.28 8.93 0.08

Dividend

Metric AKAM SAIL Software Infrastructure median
Dividend yield — — 1.53%
Payout ratio 0.00 — 0.00

Size

Metric AKAM SAIL Software Infrastructure median
Market cap 19.18b 12.75b 835.96m

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