SailPoint slips after soft Q3 profit forecast

Shares of cybersecurity firm SailPoint fell 17.1% to $3.7, its biggest single-day drop in over a month.

The company sees Q3 adjusted EPS between 7 cents and 8 cents, the midpoint of which is below analysts' estimates of 8 cents, according to data compiled by LSEG.

Q2 revenue of $309 million came slightly below estimates of $310.2 million.

A shift towards Software as a Service (SaaS) is creating "noise" on the company's income statement, delayed revenue recognition is creating headwinds for revenue, brokerage BTIG said.

Nineteen of 25 brokerages rate the stock "buy" or higher, five rate it "hold" and one rates it "sell"; the median price target is $19.5.

Including the session's move, the stock is down 15.2% year to date.