Qualys (NASDAQ:QLYS) Stock Gets Price Target Boost from Wedbush

Key Points

• Wedbush raised its Qualys price target to $185 from $175 but kept a neutral rating, implying about 2.7% upside from the stock’s then-current price.
• Analyst views remain mixed: Qualys had a consensus “Hold” rating and an average price target of $190.53, with targets ranging from $150 to $230.
• Qualys beat quarterly estimates, reporting EPS of $2.12 and revenue of $188.05 million, up 10.7% year over year; shares nevertheless fell about 11% to $180.09 in Tuesday trading.

Qualys (NASDAQ:QLYS - Get Free Report) had its target price hoisted by research analysts at Wedbush from $175.00 to $185.00 in a report issued on Tuesday, Benzinga reports. The brokerage currently has a "neutral" rating on the software maker's stock. Wedbush's price objective would indicate a potential upside of 2.73% from the company's current price.

Several other research analysts also recently weighed in on the stock. Jefferies Financial Group boosted their target price on shares of Qualys from $150.00 to $185.00 and gave the company a "hold" rating in a research note on Wednesday, August 5th. Scotiabank raised their price target on shares of Qualys from $190.00 to $220.00 and gave the stock an "outperform" rating in a research note on Wednesday, August 5th. Zacks Research upgraded shares of Qualys from a "hold" rating to a "strong-buy" rating in a report on Tuesday, August 11th. JPMorgan Chase & Co. lifted their price target on shares of Qualys from $139.00 to $150.00 and gave the stock a "neutral" rating in a report on Monday, July 27th. Finally, Yorkville Ives started coverage on shares of Qualys in a research report on Monday, October 5th. They issued an "outperform" rating and a $230.00 price objective for the company. One equities research analyst has rated the stock with a Strong Buy rating, four have assigned a Buy rating, eleven have issued a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, the stock presently has a consensus rating of "Hold" and an average price target of $190.53.

Qualys Price Performance

NASDAQ:QLYS traded down $22.37 during trading hours on Tuesday, reaching $180.09. 418,531 shares of the company traded hands, compared to its average volume of 757,706. The firm's 50-day moving average is $191.07 and its 200-day moving average is $137.06. The stock has a market cap of $6.23 billion, a P/E ratio of 30.99 and a beta of 0.54. Qualys has a 1-year low of $74.51 and a 1-year high of $235.54.

Qualys (NASDAQ:QLYS - Get Free Report) last released its quarterly earnings results on Monday, November 9th. The software maker reported $2.12 earnings per share for the quarter, topping analysts' consensus estimates of $1.96 by $0.16. Qualys had a return on equity of 37.52% and a net margin of 29.38%. The company had revenue of $188.05 million during the quarter, compared to analysts' expectations of $186.63 million. During the same period in the previous year, the firm posted $1.86 earnings per share. The business's revenue for the quarter was up 10.7% compared to the same quarter last year. As a group, research analysts predict that Qualys will post 5.84 earnings per share for the current year.

Insider Activity at Qualys

In related news, insider Bruce K. Posey sold 881 shares of the stock in a transaction dated Tuesday, October 20th. The stock was sold at an average price of $189.52, for a total transaction of $166,967.12. Following the transaction, the insider directly owned 57,807 shares in the company, valued at approximately $10,955,582.64. This represents a 1.50% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Sumedh Thakar sold 3,200 shares of the firm's stock in a transaction dated Monday, September 14th. The stock was sold at an average price of $170.05, for a total value of $544,160.00. Following the completion of the sale, the chief executive officer directly owned 180,338 shares in the company, valued at approximately $30,666,476.90. The trade was a 1.74% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders sold 11,672 shares of company stock worth $2,192,747. 0.72% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the stock. Edgestream Partners L.P. purchased a new stake in Qualys in the third quarter valued at approximately $669,000. HighTower Advisors LLC raised its holdings in Qualys by 1.9% in the third quarter. HighTower Advisors LLC now owns 39,119 shares of the software maker's stock valued at $7,323,000 after buying an additional 711 shares during the period. Paralel Advisors LLC lifted its position in Qualys by 1.1% during the third quarter. Paralel Advisors LLC now owns 26,593 shares of the software maker's stock valued at $4,978,000 after buying an additional 299 shares in the last quarter. Bessemer Group Inc. grew its stake in Qualys by 20.1% during the third quarter. Bessemer Group Inc. now owns 495 shares of the software maker's stock worth $93,000 after buying an additional 83 shares during the period. Finally, Hantz Financial Services Inc. grew its stake in Qualys by 6.6% during the third quarter. Hantz Financial Services Inc. now owns 2,701 shares of the software maker's stock worth $506,000 after buying an additional 168 shares during the period. 99.31% of the stock is currently owned by hedge funds and other institutional investors.

Qualys News Roundup

Here are the key news stories impacting Qualys this week:

• Positive Sentiment: Qualys reported Q3 revenue of $188.05 million, up about 11% year over year and ahead of the $186.63 million consensus. EPS of $2.12 also exceeded estimates of about $1.96. Qualys Q3 results
• Positive Sentiment: The company raised its FY2026 outlook: revenue is now forecast at $736.9 million–$738.9 million, while EPS guidance of $8.07–$8.14 is above the cited $7.44 consensus. Q4 EPS guidance of $2.05–$2.12 also tops the $1.86 estimate. FY2026 guidance
• Positive Sentiment: Qualys expanded its mROC alliance with technology partners spanning mobile, operational technology, IoT, and identity security, potentially broadening the reach of its risk-management offerings. mROC alliance expansion
• Neutral Sentiment: Analyst target changes were mixed: Piper Sandler raised its target to $185 but kept a neutral rating, while Baird raised its target to $210 and also maintained a neutral rating. Piper Sandler rating Baird rating
• Neutral Sentiment: Management plans to meet with investors and participate in a fireside chat at the UBS Global Technology and AI Conference. Investor conference announcement
• Negative Sentiment: Despite the earnings beat, Q4 revenue guidance of $191 million–$193 million was only marginally above the $190.9 million consensus. Reports cited the revenue outlook as a factor weighing on the stock. Coverage of Q3 results and outlook

About Qualys

Qualys, Inc provides cloud-based security and compliance software to help organizations identify and manage cybersecurity risks. Its platform brings together information about an organization's IT assets and security posture to support vulnerability management, threat detection, and compliance activities.

Qualys offers products and services for vulnerability assessment and remediation, cloud security, endpoint protection, web application security, and policy compliance. Its solutions are designed to help customers monitor systems across cloud environments, on-premises infrastructure, and other connected assets.

Founded in 1999, Qualys is headquartered in Foster City, California, and serves customers around the world.

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