Tenable Holdings (TENB) AI Stock Analysis

• Market Cap: $2.29B
• Dividend Yield: N/A
• Average Volume (3M): 2.99M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.89
• Revenue Growth: 11.05%
• EPS Growth: 45.23%
• Country: US
• Employees: 1,872
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Infrastructure
• EPS (TTM): 0.48
• Shares Outstanding: 119,344,270
• 10 Day Avg. Volume: 3,020,846
• 30 Day Avg. Volume: 2,987,139
• PEG Ratio: 24.26
• Price to Book (P/B): 8.66
• Price to Sales (P/S): 2.83
• P/FCF Ratio: 11.10
• Enterprise Value/Market Cap: 1.12
• Enterprise Value/Revenue: 2.57
• Enterprise Value/Gross Profit: 3.30
• Enterprise Value/Ebitda: 54.23
• 1Y Price Target: $30.47
• Price Target Upside: 58.45% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 17
• EPS Forecast (FY): 1.87
• Revenue Forecast (FY): $1.07B

• Rating: 60 Neutral
• Price Target: $20.00 ▲(4.00% Upside)
• Action: Reiterated Date: 02/07/26
• Date: Action: Reiterated 02/07/26

The score is supported primarily by strong free-cash-flow generation and improving operating fundamentals, reinforced by positive FY2026 guidance and platform traction from the latest earnings call. These strengths are tempered by weak technicals (downtrend and negative momentum) and valuation pressure implied by ongoing GAAP losses (negative P/E).

Positive Factors

Free Cash Flow

Sustained high operating and free cash flow provides durable internal funding for R&D, product investment, buybacks, and debt reduction. Strong cash conversion cushions the business through slower growth periods and supports strategic flexibility without needing dilutive capital.

Platform Traction

Rapid adoption of Tenable One drives larger deals, platform consolidation and higher switching costs. As customers centralize exposure management, recurring spend and cross-sell potential grow, strengthening competitive position and improving lifetime value over the medium term.

Recurring Revenue & Expansion

A high recurring revenue mix with >100% net expansion means revenue is both predictable and organically compounding inside the installed base. This supports margin leverage, reduces churn-driven volatility, and underpins multi-year revenue visibility for durable cash generation.

Negative Factors

GAAP Profitability

Ongoing GAAP losses and negative ROE indicate the company has not fully converted operating improvements into accounting profitability. This limits some strategic options, may constrain investor appetite, and requires continued strong cash flow to bridge to sustained net income.

Growth Deceleration

A meaningful step-down in guided growth rate signals potential market saturation, tougher comps, or execution pacing. Slower top-line expansion reduces operating leverage potential and raises the bar for product-driven upsell to sustain margin and cash-flow progression.

Billing Pattern & Visibility

Shifts toward longer-duration billing and reduced upfront multiyear payments change cash timing and depress near-term FCF. De-emphasizing billings metrics like CCB/TCV also reduces external visibility into billings health, complicating investor assessment of durable demand.

Tenable Holdings Business Overview & Revenue Model

Company Description

Tenable Holdings, Inc. provides cyber exposure solutions for in the Americas, Europe, the Middle East, Africa, the Asia Pacific, and Japan. Its platforms include Tenable.io, a cloud-delivered software as a service that provides organizations with a risk-based view of traditional and modern attack surfaces; Tenable.cs, a cloud-native application platform that enables organizations to programmatically detect and fix cloud infrastructure misconfigurations; Tenable.io WAS, which provides scanning for modern web applications; and Tenable.ep, an unified platform that helps organizations identify, assess, and accurately prioritize cyber risks across the entire attack surface. The company also offers Tenable.ad, a solution to secure Active Directory environments; Tenable.ot, an on-premises solution that provides threat detection and mitigation, asset tracking, vulnerability management, and configuration control capabilities to protect OT environments, including industrial networks; Tenable.sc, an on-premises solution that provides a risk-based view of an organization's IT, security and compliance posture. In addition, it provides Nessus Professional, a vulnerability assessment solution for identifying security vulnerabilities, configuration issues, and malware; and Nessus Essentials, which includes vulnerability and configuration assessment for a limited number of assets. The company was founded in 2002 and is headquartered in Columbia, Maryland.

How the Company Makes Money

Tenable generates revenue primarily through subscription-based licensing for its software products and services. The company offers tiered pricing plans based on the number of assets to be monitored, allowing customers to select a package that meets their specific needs. Key revenue streams include renewals from existing customers, new customer acquisitions, and upselling additional features or services. Additionally, Tenable partners with various technology providers and cybersecurity firms to enhance its product offerings and reach new markets, which can contribute to increased sales and revenue growth.

Tenable Holdings Financial Statement Overview

Summary

Strong cash generation is the key positive (TTM operating cash flow ~$267M; free cash flow ~$255M) alongside high gross margins (~77–80%) and improving operating performance. Offsetting this, GAAP profitability remains weak (TTM net margin ~-3.4%) with negative ROE (~-9%), despite improving loss trends and reduced leverage.

Income Statement

TTM (Trailing-Twelve-Months) revenue is ~$999M and has grown meaningfully versus 2024 (revenue growth rate 2.545), with consistently strong gross margins (~77–80%) supporting attractive unit economics. Profitability is improving but not yet fully there: net margin remains slightly negative (~-3.4% TTM), though this is a notable improvement from deeper losses in 2022–2023. EBITDA is positive in TTM and 2024, signaling operating leverage progress, but the company is still working through the final step to consistent net profitability.

Balance Sheet

Leverage is a key mixed factor. Debt relative to equity improved sharply in TTM (total debt ~$60M vs ~$422M in 2024), while equity is healthy at ~$326M and assets are ~ $1.75B. However, returns on equity remain negative (roughly -9% in both TTM and 2024), reflecting ongoing net losses. Overall, the balance sheet trajectory looks better on debt, but profitability still limits balance-sheet quality.

Cash Flow

Cash generation is a clear strength: TTM operating cash flow is ~$267M and free cash flow is ~$255M, both up versus 2024 (with free cash flow growth 1.555). Free cash flow remains robust even while net income is negative, indicating strong cash conversion and favorable working-capital dynamics. The main watch item is that accounting profits lag cash profitability, so sustained free-cash-flow durability matters if growth slows.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	999.40M	900.02M	798.71M	683.19M	541.13M
Gross Profit	780.47M	700.35M	615.13M	528.40M	434.73M
EBITDA	47.44M	46.24M	-8.95M	-44.09M	-27.56M
Net Income	-36.12M	-36.30M	-78.28M	-92.22M	-46.68M
Balance Sheet
Total Assets	1.75B	1.74B	1.61B	1.44B	1.25B
Cash, Cash Equivalents and Short-Term Investments	402.18M	577.19M	473.97M	567.43M	512.29M
Total Debt	465.56M	422.31M	413.31M	420.40M	422.09M
Total Liabilities	1.42B	1.34B	1.26B	1.17B	1.03B
Stockholders Equity	326.38M	399.95M	346.34M	270.87M	215.31M
Cash Flow
Free Cash Flow	254.65M	213.23M	141.10M	112.00M	90.20M
Operating Cash Flow	266.75M	217.48M	149.85M	131.15M	96.77M
Investing Cash Flow	-174.58M	-41.43M	-212.62M	-128.04M	-391.59M
Financing Cash Flow	-234.09M	-79.40M	1.25M	23.32M	397.65M

Tenable Holdings Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 19.23
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TENB, the sentiment is Negative. The current price of 19.23 is below the 20-day moving average (MA) of 20.80, below the 50-day MA of 22.32, and below the 200-day MA of 28.36, indicating a bearish trend. The MACD of -0.97 indicates Positive momentum. The RSI at 38.89 is Neutral, neither overbought nor oversold. The STOCH value of 33.22 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TENB.

Tenable Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
CPAY	77 Outperform	$22.74B	21.62	30.54%	―	11.27%	4.47%
QLYS	73 Outperform	$3.30B	16.98	38.20%	―	9.95%	12.72%
ATEN	70 Outperform	$1.38B	33.64	19.01%	1.33%	10.27%	3.52%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
TENB	60 Neutral	$2.29B	-64.06	-9.95%	―	11.05%	45.23%
VRNS	54 Neutral	$2.71B	-20.38	-24.53%	―	11.37%	-34.44%
RPD	49 Neutral	$409.86M	17.30	27.12%	―	3.08%	-54.07%

Tenable Holdings Corporate Events

Tenable Reports Strong Q4 Results and Expands Buyback Plan

On February 4, 2026, Tenable reported that it exceeded all guided metrics for the fourth quarter and full year 2025, delivering 11% year-over-year revenue growth to $260.5 million for the quarter and $999.4 million for the year, alongside solid non-GAAP profitability, strong operating cash flow and unlevered free cash flow. The company highlighted growing adoption of its Tenable One platform, recognition as an industry leader in exposure management by major analyst firms, a credit rating upgrade by S&P Global, and key leadership and government-focused cloud security moves, while the board on January 15, 2026, approved a $150 million increase to the share repurchase authorization, signaling confidence in the business and returning additional capital to shareholders after repurchasing $247.5 million of stock in 2025.

The most recent analyst rating on (TENB) stock is a Hold with a $23.50 price target. To see the full list of analyst forecasts on Tenable Holdings stock, see the TENB Stock Forecast page.