Tenable Holdings, Inc. (NASDAQ:TENB): When Will It Breakeven?

Tenable Holdings, Inc. (NASDAQ:TENB) is possibly approaching a major achievement in its business, so we would like to shine some light on the company. Tenable Holdings, Inc. provides cyber exposure management solutions in the Americas, Europe, the Middle East, Africa, the Asia Pacific, and Japan. On 31 December 2024, the US$4.2b market-cap company posted a loss of US$36m for its most recent financial year. As path to profitability is the topic on Tenable Holdings' investors mind, we've decided to gauge market sentiment. Below we will provide a high-level summary of the industry analysts’ expectations for the company.

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Consensus from 23 of the American Software analysts is that Tenable Holdings is on the verge of breakeven. They anticipate the company to incur a final loss in 2025, before generating positive profits of US$34m in 2026. So, the company is predicted to breakeven just over a year from now. In order to meet this breakeven date, we calculated the rate at which the company must grow year-on-year. It turns out an average annual growth rate of 55% is expected, which is rather optimistic! Should the business grow at a slower rate, it will become profitable at a later date than expected.

Given this is a high-level overview, we won’t go into details of Tenable Holdings' upcoming projects, but, bear in mind that typically a high growth rate is not out of the ordinary, particularly when a company is in a period of investment.

See our latest analysis for Tenable Holdings

Before we wrap up, there’s one issue worth mentioning. Tenable Holdings currently has a relatively high level of debt. Generally, the rule of thumb is debt shouldn’t exceed 40% of your equity, which in Tenable Holdings' case is 90%. Note that a higher debt obligation increases the risk around investing in the loss-making company.

Next Steps:

This article is not intended to be a comprehensive analysis on Tenable Holdings, so if you are interested in understanding the company at a deeper level, take a look at Tenable Holdings' company page on Simply Wall St. We've also compiled a list of key aspects you should look at:

1. Valuation: What is Tenable Holdings worth today? Has the future growth potential already been factored into the price? The intrinsic value infographic in our free research report helps visualize whether Tenable Holdings is currently mispriced by the market.
2. Management Team: An experienced management team on the helm increases our confidence in the business – take a look at who sits on Tenable Holdings’s board and the CEO’s background .
3. Other High-Performing Stocks: Are there other stocks that provide better prospects with proven track records? Explore our free list of these great stocks here.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.