Update shared on 26 Nov 2025
Narrative Update on Tenable Holdings
Analysts have reduced their price target for Tenable Holdings from $44 to $40. This adjustment is based on updated financial models and a more conservative outlook ahead of upcoming earnings.
Analyst Commentary
Analysts have weighed in on Tenable Holdings ahead of its earnings release, providing insights into both the optimistic and cautionary outlooks surrounding the company’s prospects and valuation.
Bullish Takeaways
- Bullish analysts highlight that Tenable retains an Overweight rating. This reflects ongoing confidence in the company’s longer-term execution and competitive positioning.
- They point to continued demand for Tenable’s cybersecurity offerings, suggesting resilient growth potential despite near-term headwinds.
- Recent updates to financial models are characterized as precautionary rather than structural. Bullish analysts expect the company to outperform lowered expectations if operational focus continues.
Bearish Takeaways
- Bearish analysts cite the lowered price target as evidence of more conservative outlooks on revenue and profit growth over the coming quarters.
- There are concerns that macroeconomic conditions and spending caution among enterprise customers could slow the pace of customer acquisitions and existing account expansion.
- Some model adjustments reflect caution on margin improvement and the company's ability to rapidly scale in a competitive cybersecurity landscape.
What's in the News
- Tenable Holdings provided consolidated earnings guidance for the fourth quarter and full year ending December 31, 2025. The company expects quarterly revenue between $249.1 million and $253.1 million, and annual revenue between $988.0 million and $992.0 million, with continued net losses anticipated (Key Developments).
- The company forecasts quarterly income from operations between $4.0 million and $8.0 million, with a net loss per share, diluted, in the range of $0.05 to $0.02 (Key Developments).
- Tenable completed the repurchase of 2,000,000 shares during the third quarter of 2025 for $60 million, contributing to a total of 8,285,013 shares repurchased since November 2023 for nearly $300 million (Key Developments).
Valuation Changes
- Fair Value: Remained unchanged at $37.89 per share, with no adjustment from prior estimates.
- Discount Rate: Decreased slightly from 8.80% to 8.76%, reflecting a minor shift in perceived risk.
- Revenue Growth: Held steady at 8.48%, indicating consistent expectations for top-line expansion.
- Net Profit Margin: Stable at 3.28%, with no revision in the margin outlook.
- Future P/E: Declined modestly from 140.07x to 138.72x, suggesting a minor adjustment in forward valuation multiples.
Disclaimer
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