Tenable (TENB): Evaluating Whether the Recent Share Price Slide Has Created a Value Opportunity
Tenable Holdings (TENB) has quietly slid over the past year, with the stock down about 38% while still growing revenue near 7% and sharply improving its bottom line. That mix sets up an interesting value debate.
See our latest analysis for Tenable Holdings.
That weak 1 year total shareholder return of around negative 38 percent, on top of a roughly 32 percent year to date share price decline, suggests sentiment has been fading even as Tenable talks up steady cyber exposure demand and improving profitability.
If Tenable’s recent slide has you rethinking your tech exposure, it could be a good moment to explore other high growth tech and AI stocks that are capturing stronger momentum and growth expectations.
With revenue still climbing and losses narrowing, yet the share price deeply in the red, is Tenable now a mispriced cybersecurity compounder, or is the market correctly discounting its prospects and already pricing in future growth?
Most Popular Narrative Narrative: 30.3% Undervalued
With Tenable shares last closing at $26.40 against a narrative fair value near $37.89, the narrative presents the pullback as a potential opportunity rooted in long term earnings power.
The convergence of IT, cloud, and OT environments requires organizations to obtain holistic risk visibility. Tenable's ability to consolidate multiple asset types (VM, cloud, identity, OT, AI security) in a single platform is resulting in larger deal sizes and growing enterprise adoption, directly impacting top line growth and average selling prices.
Want to see the math behind that confidence? The projected revenue glide path, margin lift, and rich future earnings multiple driving this fair value are anything but conservative.
Result: Fair Value of $37.89 (UNDERVALUED)
Have a read of the narrative in full and understand what's behind the forecasts.
However, that optimistic setup could unravel if federal contract growth slows or hyperscaler platforms undercut Tenable’s pricing power and compress long term margins.
Find out about the key risks to this Tenable Holdings narrative.
Build Your Own Tenable Holdings Narrative
If you are not convinced by this view or simply want to stress test the assumptions with your own research, you can build a personalized take in just a few minutes: Do it your way.
A great starting point for your Tenable Holdings research is our analysis highlighting 5 key rewards and 1 important warning sign that could impact your investment decision.
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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.
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