SailPoint, Inc. (SAIL) vs Toast, Inc. (TOST)

SailPoint, Inc. and Toast, Inc. are both Software Infrastructure companies. Toast, Inc. is the larger, with a market value of $17.6B against $12.8B — 1.4× the size. SailPoint, Inc. has negative trailing earnings, so its P/E is not meaningful; Toast, Inc. trades at 36.9×. Toast, Inc. grew revenue faster over the last twelve months: 23.0% against 20.1%. Toast, Inc. has the higher net margin (7.14% vs −16.9%) and the higher return on invested capital (81.1% vs −2.10%). Across the 18 metrics below, Toast, Inc. leads on 15 and SailPoint, Inc. on 3.

Valuation

Metric SAIL TOST Software Infrastructure median
P/E n/m 36.87 28.02
P/S 10.06 2.60 3.07
P/B 1.71 8.65 3.36
Price to free cash flow 73.42 30.71 17.12
EV/EBITDA 286.97 27.59 14.91
EV/Sales 10.67 2.35 3.03
Earnings yield (1.65%) 2.71% 0.13%
Free cash flow yield 1.36% 3.26% 1.15%

Profitability

Metric SAIL TOST Software Infrastructure median
Gross margin 66.22% 26.72% 61.23%
Operating margin (18.92%) 6.33% 0.00%
Net margin (16.92%) 7.14% 0.00%
Free cash flow margin 13.70% 8.47% 1.67%
Return on equity (2.88%) 25.16% 0.59%
Return on assets (2.62%) 16.34% 0.00%
Return on invested capital (2.10%) 81.14% 0.00%

Growth

Metric SAIL TOST Software Infrastructure median
Revenue growth (TTM) 20.13% 23.04% 13.41%
EPS growth (last fiscal year) 95.82% 1,766.67% —
Revenue growth, 5-year CAGR — 49.53% 15.81%
Net income growth, 5-year CAGR — 0.00% 0.00%

Health

Metric SAIL TOST Software Infrastructure median
Debt to equity 0.00 0.00 0.06
Current ratio 1.23 2.40 1.55
Net debt to EBITDA 8.93 (4.38) 0.08

Dividend

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

Size

Metric SAIL TOST Software Infrastructure median
Market cap 12.75b 17.62b 835.96m

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