Qualys, the Technology sector company, was revisited by a Wall Street analyst yesterday. Analyst Rob Owens from Piper Sandler upgraded the rating on the stock to a Hold and gave it a $135.00 price target.
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Rob Owens’s rating is based on a combination of factors that reflect both positive developments and potential risks for Qualys. The company has shown strong performance in the recent quarter, with accelerated short-term billings growth and record operating margins, which exceeded expectations. This positive momentum has led to an increase in the full-year guidance, indicating management’s confidence despite a challenging market environment.
However, despite these improvements, the decision to rate Qualys as Hold rather than a more bullish rating reflects a balanced view of the company’s prospects. While the company has demonstrated success in its partner channel and with its Exposure TruRisk Management solution, there are still macroeconomic and competitive risks that could impact future performance. Additionally, the current valuation at 5.6x EV/CY’26E revenue suggests a fair risk/reward balance, justifying a neutral stance at this time.
According to TipRanks, Owens is a 5-star analyst with an average return of 19.9% and a 62.47% success rate. Owens covers the Technology sector, focusing on stocks such as Palo Alto Networks, Atlassian, and Okta.
In another report released today, TD Cowen also maintained a Hold rating on the stock with a $145.00 price target.