Latest news with #TENB
Yahoo
30-05-2025
- Business
- Yahoo
Tenable announces intent to acquire Apex security to expand exposure management
Tenable (TENB) announced its intent to acquire Apex Security, an innovator in securing the rapidly expanding AI attack surface. Tenable believes the acquisition, once completed, will strengthen Tenable's ability to help organizations identify and reduce cyber risk in a world increasingly shaped by artificial intelligence. Generative AI tools and autonomous systems are rapidly expanding the attack surface and introducing new risks – from shadow AI apps and AI-generated code to synthetic identities and ungoverned cloud services. In 2024, Tenable launched Tenable AI Aware which already helps thousands of organizations detect and assess AI usage across their environments. Adding Apex capabilities will expand on that foundation – adding the ability to govern usage, enforce policy, and control exposure across both the AI that organizations use and the AI they build. This move reinforces Tenable's long-standing strategy of delivering scalable, unified exposure management as AI adoption accelerates. Easily unpack a company's performance with TipRanks' new KPI Data for smart investment decisions Receive undervalued, market resilient stocks right to your inbox with TipRanks' Smart Value Newsletter Published first on TheFly – the ultimate source for real-time, market-moving breaking financial news. Try Now>> See the top stocks recommended by analysts >> Read More on TENB: Disclaimer & DisclosureReport an Issue Tenable announces new enhancements to Tenable One Tenable Holdings Expands Board with New Appointments Tenable Holdings: Strong Financial Performance and Strategic Positioning Justify Buy Rating Qualys price target raised to $142 from $140 at Scotiabank DA Davidson technology analysts hold an analyst/industry conference call Sign in to access your portfolio
Yahoo
13-05-2025
- Business
- Yahoo
TENB Q1 Earnings Call: Exposure Management Drives Large Deals Amid Cautious Outlook
Cybersecurity software maker Tenable (NASDAQ:TENB) reported revenue ahead of Wall Street's expectations in Q1 CY2025, with sales up 10.7% year on year to $239.1 million. The company expects next quarter's revenue to be around $242 million, close to analysts' estimates. Its non-GAAP profit of $0.36 per share was 27.5% above analysts' consensus estimates. Is now the time to buy TENB? Find out in our full research report (it's free). Revenue: $239.1 million vs analyst estimates of $233.6 million (10.7% year-on-year growth, 2.4% beat) Adjusted EPS: $0.36 vs analyst estimates of $0.28 (27.5% beat) Adjusted Operating Income: $48.68 million vs analyst estimates of $41.86 million (20.4% margin, 16.3% beat) The company reconfirmed its revenue guidance for the full year of $975 million at the midpoint Operating Margin: -7.4%, down from -4.1% in the same quarter last year Free Cash Flow Margin: 33.5%, similar to the previous quarter Net Revenue Retention Rate: 108%, in line with the previous quarter Annual Recurring Revenue: $1.07 billion at quarter end, up 20.1% year on year Billings: $214.3 million at quarter end, up 13.9% year on year Market Capitalization: $4.09 billion Tenable's first quarter results were shaped by notable momentum in its exposure management platform, Tenable One, which management said was central to landing the highest number of seven-figure deals in company history. Co-CEOs Steve Vintz and Mark Thurmond credited the platform's ability to unify risk insights across cloud, on-premise, and operational technology environments for expanding deal sizes and driving customer upgrades, particularly in regulated sectors such as finance and the public sector. Looking ahead, Tenable's leadership reaffirmed its annual revenue guidance but indicated a more cautious approach due to economic and geopolitical uncertainties, especially in the U.S. public sector. Vintz explained, 'There's just more uncertainty now since our February call than there was early in the year,' citing longer procurement cycles and leadership changes in government agencies as reasons for a more conservative outlook. The company's strategy for the year centers on continued investment in platform innovation and expanding integrations, balanced with operating discipline. Tenable's management pointed to exposure management momentum, a shifting competitive landscape, and evolving customer priorities as the key factors influencing quarterly results and outlook. Exposure Management Platform Adoption: Tenable One continued to drive large deal wins, with management attributing heightened customer interest to its ability to integrate vulnerability, cloud, and operational technology risk into a unified solution, leading to broader platform adoption and higher average selling prices. Cloud Security and AI Initiatives: The company observed outsized growth in its cloud security offerings, and highlighted the operationalization of AI-aware discovery capabilities. Management cited increased detection of AI-related applications and vulnerabilities, positioning Tenable to address emerging risks tied to artificial intelligence adoption. Vulcan Cyber Acquisition Integration: The integration of Vulcan Cyber is broadening Tenable One's analytics by incorporating third-party security data, which management believes will further differentiate the platform and enable more actionable remediation workflows for customers. Competitive Landscape Shifts: Management noted that the acquisition of Wiz by Google has created new opportunities for Tenable, as customers with multi-cloud environments seek alternatives to vendor lock-in. Tenable reported higher win rates against both legacy vulnerability management and endpoint security competitors. Public Sector Headwinds: Leadership acknowledged increased uncertainty in the U.S. federal market due to government leadership changes and extended procurement cycles. Despite closing notable public sector deals, Tenable anticipates more cautious spending and delayed purchasing decisions from these customers. Management's outlook for the coming quarters is shaped primarily by continued demand for exposure management, balanced against macroeconomic and public sector headwinds. Platform Expansion and Innovation: Tenable plans to invest in expanding Tenable One's capabilities, including deeper integrations of third-party data and automated remediation, aiming to strengthen its competitive position and drive higher-value deals. Cloud and AI Security Demand: The company expects rising adoption of cloud and AI technologies to create ongoing demand for its solutions, as organizations look to secure increasingly complex and interconnected environments. Macroeconomic and Government Uncertainties: Management highlighted risks from geopolitical events, U.S. policy changes, and federal agency leadership turnover, which may lengthen sales cycles and create variability in public sector revenue contributions. Brian Essex (JPMorgan): Asked how increased macro uncertainty, particularly in the public sector, was factored into guidance. Management replied that about two-thirds of the guidance reduction was due to U.S. public sector caution, with the rest from the enterprise segment. Saket Kalia (Barclays): Questioned competitive trends, especially with new players like Wiz. Management said win rates against traditional and endpoint security vendors remained high, and recent M&A has led to more RFP invitations. Andrew Nowinski (Wells Fargo): Inquired about the interplay between cloud security momentum and exposure management. Management stated that cloud security is integral to the exposure management platform, with customers increasingly seeking unified solutions. Matt Calitri (Needham): Wanted quantification of public versus private sector impacts on guidance. Management specified that two-thirds of the outlook revision was attributed to public sector uncertainty, mainly from longer deal cycles. Patrick Colville (Scotiabank): Asked about strategic priorities for the co-CEO structure. Management emphasized continued focus on expanding Tenable One, integrating third-party data, and leveraging AI to drive customer value. In future quarters, the StockStory team will be watching (1) the pace of Tenable One adoption and customer upgrades across enterprise and public sector accounts, (2) evidence of sales cycle lengthening or stabilization in the U.S. federal business as government leadership roles are filled, and (3) the rollout and market reception of new platform features enabled by the Vulcan Cyber integration. We will also track the impact of emerging AI security risks on customer demand and platform differentiation. Tenable currently trades at a forward price-to-sales ratio of 4.1×. In the wake of earnings, is it a buy or sell? See for yourself in our free research report. The market surged in 2024 and reached record highs after Donald Trump's presidential victory in November, but questions about new economic policies are adding much uncertainty for 2025. While the crowd speculates what might happen next, we're homing in on the companies that can succeed regardless of the political or macroeconomic environment. Put yourself in the driver's seat and build a durable portfolio by checking out our Top 6 Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 176% over the last five years. Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-micro-cap company Tecnoglass (+1,754% five-year return). Find your next big winner with StockStory today.
Yahoo
13-05-2025
- Business
- Yahoo
Tenable (TENB): Buy, Sell, or Hold Post Q1 Earnings?
What a brutal six months it's been for Tenable. The stock has dropped 24.8% and now trades at $31.52, rattling many shareholders. This may have investors wondering how to approach the situation. Is now the time to buy Tenable, or should you be careful about including it in your portfolio? Check out our in-depth research report to see what our analysts have to say, it's free. Even though the stock has become cheaper, we're swiping left on Tenable for now. Here are three reasons why there are better opportunities than TENB and a stock we'd rather own. A company's long-term performance is an indicator of its overall quality. Any business can put up a good quarter or two, but the best consistently grow over the long haul. Over the last three years, Tenable grew its sales at a 16.9% compounded annual growth rate. Although this growth is acceptable on an absolute basis, it fell slightly short of our standards for the software sector, which enjoys a number of secular tailwinds. Forecasted revenues by Wall Street analysts signal a company's potential. Predictions may not always be accurate, but accelerating growth typically boosts valuation multiples and stock prices while slowing growth does the opposite. Over the next 12 months, sell-side analysts expect Tenable's revenue to rise by 7.5%, a deceleration versus its 16.9% annualized growth for the past three years. This projection is underwhelming and implies its products and services will face some demand challenges. While many software businesses point investors to their adjusted profits, which exclude stock-based compensation (SBC), we prefer GAAP operating margin because SBC is a legitimate expense used to attract and retain talent. This metric shows how much revenue remains after accounting for all core expenses – everything from the cost of goods sold to sales and R&D. Tenable's expensive cost structure has contributed to an average operating margin of negative 1.7% over the last year. Unprofitable software companies require extra attention because they spend heaps of money to capture market share. As seen in its historically underwhelming revenue performance, this strategy hasn't worked so far, and it's unclear what would happen if Tenable reeled back its investments. Wall Street seems to think it will face some obstacles, and we tend to agree. Tenable isn't a terrible business, but it isn't one of our picks. Following the recent decline, the stock trades at 3.8× forward price-to-sales (or $31.52 per share). This valuation multiple is fair, but we don't have much faith in the company. We're pretty confident there are more exciting stocks to buy at the moment. Let us point you toward one of our top digital advertising picks. The market surged in 2024 and reached record highs after Donald Trump's presidential victory in November, but questions about new economic policies are adding much uncertainty for 2025. While the crowd speculates what might happen next, we're homing in on the companies that can succeed regardless of the political or macroeconomic environment. Put yourself in the driver's seat and build a durable portfolio by checking out our Top 9 Market-Beating Stocks. This is a curated list of our High Quality stocks that have generated a market-beating return of 176% over the last five years. Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-small-cap company Comfort Systems (+782% five-year return). Find your next big winner with StockStory today. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
30-04-2025
- Business
- Yahoo
Tenable Holdings Inc (TENB) Q1 2025 Earnings Call Highlights: Strong Revenue Growth Amid ...
Revenue: $239.1 million, representing 11% year-over-year growth. Gross Margin: 82%, consistent with the previous quarter. Operating Margin: 20%, approximately 300 basis points better than the midpoint of the guided range. EPS: $0.36 per share, $0.095 better than the midpoint of the guided range. Unlevered Free Cash Flow: $87 million, a record for the quarter. Calculated Current Billings: $215.4 million, 9% year-over-year growth. Current RPO Growth: 13% year-over-year. Net Dollar Expansion Rate: 108%. Sales and Marketing Expense: $85.5 million, 36% of revenue. R&D Expense: $39 million, 16% of revenue. G&A Expense: $22.7 million, 9% of revenue. Cash and Short-term Investments: $460 million. Deferred Revenue: $808 million, with $633 million current deferred revenue. Share Repurchase: 1.6 million shares for $60 million during the quarter. Warning! GuruFocus has detected 4 Warning Signs with TENB. Release Date: April 29, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Tenable Holdings Inc (NASDAQ:TENB) reported 11% year-over-year revenue growth, exceeding their guided range by $5.1 million. The company achieved a 36% unlevered free cash flow margin, reflecting strong operating leverage. Tenable One platform drove significant sales acceleration, with the best quarter ever for seven-figure wins. The company is making progress in expanding integrations with third-party tools and data sources, enhancing their platform's capabilities. Tenable Holdings Inc (NASDAQ:TENB) is seeing strong momentum in cloud security and exposure management, with a notable increase in AI-related application detections. The company expressed caution due to macroeconomic uncertainties, particularly in the US public sector, impacting their guidance. Sales and marketing expenses increased, partly due to the annual sales kickoff conference, affecting operating margins. R&D expenses rose due to increased personnel costs from the Vulcan acquisition, impacting short-term profitability. Tenable Holdings Inc (NASDAQ:TENB) faces potential challenges from geopolitical events and policy actions that could lengthen sales cycles. The company acknowledged disruptions in the US public sector, particularly on the civilian side, affecting visibility and deal closure timelines. Q: Can you explain the rationale behind the cautious guidance for the year, given the strong start? A: Steve Vintz, Co-CEO and CFO, explained that the cautious guidance is due to ongoing macroeconomic uncertainties, particularly in the public sector. Despite a strong start and high demand generation, disruptions in personnel and leadership roles in the federal sector have reduced visibility. The company is taking a data-driven approach to assess longer lead times for procurement decisions, especially in the public sector, while also applying caution to the enterprise business due to potential geopolitical events. Q: How is Tenable performing in the competitive vulnerability management (VM) landscape? A: Mark Thurmond, Co-CEO, stated that Tenable had a strong quarter with high win rates against traditional VM players like Qualys and Rapid7. The company also competes with endpoint players like CrowdStrike and Microsoft, but sees fewer engagements with them compared to traditional VM competitors. Tenable's ability to secure seven-figure deals by replacing incumbents highlights its competitive strength. Q: How does the acquisition of Wiz by Google impact Tenable's cloud security strategy? A: Steve Vintz noted that Google's acquisition of Wiz presents an opportunity for Tenable, as customers may seek alternatives to avoid being locked into a single platform. Tenable is seeing growth in cloud security, with customers expanding their use of Tenable One to manage cloud environments. The acquisition has led to increased interest in Tenable's offerings as customers look for multi-cloud solutions. Q: What is the impact of the potential end of funding for the CVE program on Tenable? A: Steve Vintz mentioned that while there were concerns about funding, it has been extended for the year. The CVE program is crucial for sharing vulnerabilities and exploits, and Tenable is one of the few companies contributing to it. The company is working with public and private sectors to explore better collaboration opportunities, recognizing the program's limitations and the need for improvement. Q: What are Tenable's strategic priorities for the next 100 days as co-CEOs? A: Steve Vintz outlined priorities including expanding market opportunities through the exposure management platform, integrating third-party data with first-party assessments, and leveraging AI to deliver actionable insights. The focus is on consolidating security solutions and enhancing the Tenable One platform to provide comprehensive risk management. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Sign in to access your portfolio
Yahoo
17-04-2025
- Business
- Yahoo
Tenable price target lowered to $30 from $40 at Morgan Stanley
Morgan Stanley lowered the firm's price target on Tenable (TENB) to $30 from $40 and keeps an Equal Weight rating on the shares. The firm is adjusting risk/rewards for a large number of software companies as it analyzes tariff risk uncertainty and what has already been priced into shares. Discover outperforming stocks and invest smarter with Top Smart Score Stocks. Filter, analyze, and streamline your search for investment opportunities using Tipranks' Stock Screener. Published first on TheFly – the ultimate source for real-time, market-moving breaking financial news. Try Now>> See today's best-performing stocks on TipRanks >> Read More on TENB: Disclaimer & DisclosureReport an Issue Tenable Holdings Appoints Vintz and Thurmond as Co-CEOs Tenable appoints Vintz, Thurmond as co-CEOs Tenable price target lowered to $40 from $48 at Barclays Tenable Holdings: Strong Market Position and Growth Potential Justify Buy Rating Despite Competitive Pressures Tenable achieves FedRMAP authorization for Tenable One, Tenable Cloud Security Sign in to access your portfolio
