Tenable Holdings (TENB) AI Stock Analysis

• Market Cap: $3.17B
• Dividend Yield: N/A
• Average Volume (3M): 1.18M
• Price to Earnings (P/E): ―
• Beta (1Y): 1.02
• Revenue Growth: 11.05%
• EPS Growth: 45.23%
• Country: US
• Employees: 1,872
• Sector: Technology
• Sector Strength: 88
• Industry: Software - Infrastructure
• EPS (TTM): 0.42
• Shares Outstanding: 119,344,270
• 10 Day Avg. Volume: 1,097,182
• 30 Day Avg. Volume: 1,180,791
• PEG Ratio: 2.37
• Price to Book (P/B): 11.70
• Price to Sales (P/S): 5.20
• P/FCF Ratio: 21.94
• Enterprise Value/Market Cap: 1.13
• Enterprise Value/Revenue: 3.68
• Enterprise Value/Gross Profit: 4.73
• Enterprise Value/Ebitda: 47.84
• 1Y Price Target: $38.00
• Price Target Upside: 43.23% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 18
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 61 Neutral
• Price Target: $30.00 ▲(13.08% Upside)

Tenable Holdings' overall stock score is primarily driven by strong earnings call results, reflecting robust revenue growth and strategic initiatives. However, financial performance and technical analysis indicate challenges, particularly in profitability and market sentiment. The valuation remains a concern due to negative earnings, but the company's strategic focus on innovation and growth could improve its outlook.

Positive Factors

Revenue Growth

Consistent revenue growth indicates strong market demand and effective sales strategies, supporting long-term financial stability.

R&D Investments

Increased R&D spending underscores a commitment to innovation, which can enhance product offerings and competitive positioning.

Operating Margin Improvement

Improved operating margins reflect enhanced operational efficiency, contributing to better profitability and financial health.

Negative Factors

Profitability Challenges

Ongoing profitability issues can hinder financial flexibility and investment capacity, affecting long-term growth prospects.

Federal Market Concerns

Uncertainties in the federal market could impact revenue stability, given potential budget constraints and policy changes.

Return on Equity

Negative return on equity indicates inefficient use of shareholder funds, which can deter investment and affect growth.

Tenable Holdings Business Overview & Revenue Model

Company Description

Tenable Holdings, Inc. is a cybersecurity company that specializes in providing solutions for vulnerability management and cyber exposure. Founded in 2002 and headquartered in Columbia, Maryland, Tenable offers a range of products designed to help organizations identify, assess, and manage their cybersecurity risks across various environments, including on-premises, cloud, and operational technology. Its flagship products include Tenable.io, Tenable.sc, and Tenable Lumin, which provide comprehensive visibility and insights into vulnerabilities and potential threats.

How the Company Makes Money

Tenable generates revenue primarily through subscription-based software services, which allow customers to access its cybersecurity solutions on a recurring basis. The company's revenue model includes a mix of annual and multi-year contracts, which provide predictable revenue streams. Key revenue sources include licensing fees for its vulnerability management solutions, professional services, and training. Additionally, Tenable benefits from partnerships with other technology providers and systems integrators, which enhance its product offerings and expand its market reach. The growing demand for robust cybersecurity solutions in response to increasing cyber threats further contributes to Tenable's earnings potential.

Tenable Holdings Financial Statement Overview

Summary

Tenable Holdings demonstrates solid revenue growth and strong cash flow management, with a positive free cash flow growth rate. However, profitability remains a challenge due to negative net profit margins and EBIT margins. The company's reduced leverage is a positive sign, but efforts are needed to enhance operational efficiency and return on equity.

Income Statement

Tenable Holdings shows a consistent revenue growth trajectory, with a TTM revenue growth rate of 2.67%. However, profitability remains a challenge, as indicated by negative net profit margins and EBIT margins. The gross profit margin is strong at 77.93%, but the company needs to address its operational inefficiencies to improve overall profitability.

Balance Sheet

The company's debt-to-equity ratio has improved significantly in the TTM period to 0.18, indicating reduced leverage compared to previous years. However, the return on equity remains negative, reflecting ongoing profitability challenges. The equity ratio is relatively stable, suggesting a balanced asset structure.

Cash Flow

Tenable Holdings demonstrates strong cash flow management, with a positive free cash flow growth rate of 10.9% in the TTM period. The operating cash flow to net income ratio is healthy, indicating efficient cash generation relative to net income. The free cash flow to net income ratio is also robust, highlighting effective cash utilization.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	974.60M	900.02M	798.71M	683.19M	541.13M	440.22M
Gross Profit	759.52M	700.35M	615.13M	528.40M	434.73M	362.67M
EBITDA	75.04M	46.24M	-8.95M	-44.09M	-27.56M	-25.95M
Net Income	-33.51M	-36.30M	-78.28M	-92.22M	-46.68M	-42.73M
Balance Sheet
Total Assets	1.65B	1.74B	1.61B	1.44B	1.25B	690.59M
Cash, Cash Equivalents and Short-Term Investments	383.57M	577.19M	473.97M	567.43M	512.29M	291.85M
Total Debt	417.72M	422.31M	413.31M	420.40M	422.09M	58.34M
Total Liabilities	1.31B	1.34B	1.26B	1.17B	1.03B	539.92M
Stockholders Equity	344.38M	399.95M	346.34M	270.87M	215.31M	150.66M
Cash Flow
Free Cash Flow	250.75M	213.23M	141.10M	112.00M	90.20M	43.95M
Operating Cash Flow	264.84M	217.48M	149.85M	131.15M	96.77M	64.23M
Investing Cash Flow	-184.62M	-41.43M	-212.62M	-128.04M	-391.59M	4.08M
Financing Cash Flow	-218.87M	-79.40M	1.25M	23.32M	397.65M	36.40M

Tenable Holdings Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 26.53
• 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 26.53 is below the 20-day moving average (MA) of 27.28, below the 50-day MA of 28.75, and below the 200-day MA of 32.11, indicating a bearish trend. The MACD of -0.90 indicates Positive momentum. The RSI at 40.05 is Neutral, neither overbought nor oversold. The STOCH value of 29.78 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
QLYS	77 Outperform	$5.08B	27.46	38.64%	―	9.95%	12.72%
ATEN	77 Outperform	$1.22B	24.89	23.88%	1.41%	10.27%	3.52%
CPAY	73 Outperform	$20.43B	19.83	29.35%	―	11.27%	4.47%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
TENB	61 Neutral	$3.17B	―	-8.95%	―	11.05%	45.23%
VRNS	48 Neutral	$3.83B	―	-22.17%	―	11.37%	-34.44%
RPD	48 Neutral	$1.02B	44.81	37.09%	―	3.08%	-54.07%

Tenable Holdings Corporate Events

Tenable Holdings Shines in Q3 2025 Earnings Call

Tenable Holdings’ Q3 2025 earnings call was marked by a generally positive sentiment, driven by strong revenue growth, increased adoption of the Tenable One platform, and significant investments in research and development. The company also received industry recognition, which further bolstered its market position. While there were some concerns regarding the federal market and minimal inorganic contribution, the overall outlook remains optimistic due to the company’s strategic focus on exposure management.

Tenable Holdings Reports Strong Q3 2025 Results

Tenable Holdings, Inc. is a cybersecurity company that specializes in exposure management, offering a platform that helps organizations protect against cyber threats across various environments, including IT infrastructure and cloud systems. The company recently announced its financial results for the third quarter of 2025, showcasing strong revenue growth and profitability, driven by increased demand for its Tenable One Exposure Management platform. Key financial highlights include a revenue increase of 11% year-over-year to $252.4 million and a significant improvement in GAAP operating margin to 2.8% from a negative margin in the previous year. Non-GAAP operating margin also saw a notable rise to 23.3%, reflecting enhanced operational efficiency. The company added 437 new enterprise platform customers and launched Tenable AI Exposure, a new solution to manage risks associated with generative AI. Looking ahead, Tenable has raised its full-year outlook, expecting continued revenue growth and improved profitability, as it remains committed to leading the shift towards proactive cybersecurity measures in the AI era.

Tenable Holdings Appoints New Chief Financial Officer

On August 19, 2025, Tenable Holdings appointed Matthew Brown as Chief Financial Officer, effective August 21, 2025. Brown, who has extensive experience in the technology sector, succeeds Stephen Vintz, now Co-CEO of Tenable. Brown’s appointment is expected to enhance Tenable’s strategic growth and operational efficiency, aligning with its long-term vision to lead in exposure management.

The most recent analyst rating on (TENB) stock is a Buy with a $42.00 price target. To see the full list of analyst forecasts on Tenable Holdings stock, see the TENB Stock Forecast page.