Tenable (NASDAQ:TENB) Upgraded by Wedbush to Strong Sell Rating

Key Points

• Wedbush issued Tenable a “strong sell” rating, contrasting with mixed analyst coverage overall. Seven analysts rate the stock Buy, 11 Hold and two Sell, with a consensus price target of $34.68.
• Tenable’s latest quarter exceeded expectations, reporting $0.51 adjusted EPS versus the $0.47 consensus and revenue of $268.51 million, up 8.6% year over year.
• Shares opened at $30.11, while institutional investors own 89.06% of the company. Recent convertible-note financing raised concerns about additional leverage and potential future dilution, despite planned debt repayment and share repurchases.

Tenable (NASDAQ:TENB - Get Free Report) was upgraded by analysts at Wedbush to a "strong sell" rating in a research report issued to clients and investors on Thursday, Zacks reports.

A number of other equities analysts have also recently issued reports on TENB. Canaccord Genuity Group increased their price target on Tenable from $30.00 to $36.00 and gave the stock a "buy" rating in a report on Thursday, July 30th. Jefferies Financial Group lowered their price objective on shares of Tenable from $35.00 to $30.00 and set a "hold" rating for the company in a research note on Thursday, July 30th. UBS Group dropped their target price on shares of Tenable from $37.00 to $34.00 and set a "neutral" rating on the stock in a research report on Thursday, July 30th. Susquehanna increased their target price on shares of Tenable from $26.00 to $36.00 and gave the stock a "positive" rating in a research note on Thursday, July 30th. Finally, Wall Street Zen upgraded shares of Tenable from a "buy" rating to a "strong-buy" rating in a report on Saturday, August 1st. Seven research analysts have rated the stock with a Buy rating, eleven have given a Hold rating and two have assigned a Sell rating to the company. According to data from MarketBeat.com, the company has an average rating of "Hold" and a consensus price target of $34.68.

Tenable Stock Performance

Shares of TENB opened at $30.11 on Thursday. The company has a current ratio of 0.79, a quick ratio of 0.79 and a debt-to-equity ratio of 1.78. The firm's fifty day simple moving average is $35.88 and its two-hundred day simple moving average is $27.42. Tenable has a 12 month low of $15.73 and a 12 month high of $43.67. The stock has a market capitalization of $3.32 billion, a P/E ratio of 602.32 and a beta of 0.96.

Tenable (NASDAQ:TENB - Get Free Report) last posted its quarterly earnings data on Wednesday, July 29th. The company reported $0.51 earnings per share for the quarter, topping the consensus estimate of $0.47 by $0.04. Tenable had a return on equity of 14.90% and a net margin of 0.65%.The firm had revenue of $268.51 million during the quarter, compared to analyst estimates of $264.87 million. During the same period last year, the company posted $0.34 EPS. The business's quarterly revenue was up 8.6% on a year-over-year basis. Tenable has set its FY 2026 guidance at 1.950-2.000 EPS and its Q3 2026 guidance at 0.490-0.520 EPS. As a group, analysts predict that Tenable will post 0.5 EPS for the current year.

Hedge Funds Weigh In On Tenable

Institutional investors have recently modified their holdings of the company. BlackRock Inc. bought a new stake in Tenable in the 2nd quarter worth about $498,387,000. California State Teachers Retirement System lifted its position in shares of Tenable by 3,258.3% during the 2nd quarter. California State Teachers Retirement System now owns 4,807,898 shares of the company's stock worth $177,315,000 after buying an additional 4,664,733 shares in the last quarter. Arrowstreet Capital Limited Partnership lifted its position in shares of Tenable by 175.1% during the 1st quarter. Arrowstreet Capital Limited Partnership now owns 3,732,271 shares of the company's stock worth $63,131,000 after buying an additional 2,375,587 shares in the last quarter. The Manufacturers Life Insurance Company purchased a new position in shares of Tenable in the 2nd quarter worth approximately $76,759,000. Finally, Norges Bank bought a new position in shares of Tenable in the fourth quarter valued at approximately $44,542,000. 89.06% of the stock is owned by institutional investors and hedge funds.

Key Tenable News

Here are the key news stories impacting Tenable this week:

• Positive Sentiment: Tenable priced $725 million of 0.25% convertible senior notes due 2031, up from the initially proposed $650 million. The low interest rate limits near-term cash interest expense, while the notes’ initial conversion price of approximately $44.84 per share is well above recent trading levels. Tenable Announces Pricing of Upsized Convertible Senior Notes
• Positive Sentiment: Management expects to use proceeds partly for capped-call transactions, repayment of term loans and a share repurchase of roughly 5.3 million shares for about $170.5 million. These actions could reduce future dilution and lower debt costs, although they do not eliminate investor concerns about leverage. Tenable Proposed Convertible Notes Offering
• Positive Sentiment: Tenable said it ranked first in device vulnerability and exposure management for the eighth consecutive year, citing platform innovation, agentic artificial intelligence and demand for securing AI environments. Tenable Market Leadership Announcement
• Neutral Sentiment: Recent analyst coverage remains mixed in valuation: the reported median price target is $27.50, while individual targets range from $26 to $50. Institutional positioning was also divided, with 177 investors adding shares and 198 reducing positions in the latest quarter.
• Negative Sentiment: The larger-than-expected convertible offering raised concerns about additional leverage and potential future share dilution. Those concerns outweighed the benefits of debt repayment and buybacks, prompting selling as investors reassessed the capital structure. Tenable Prices Convertible Notes

Tenable Company Profile

Tenable Holdings, Inc is a cybersecurity company that helps organizations identify, assess and reduce cyber risk across their technology environments. Its platform is designed to provide visibility into vulnerabilities and exposures affecting information technology, cloud, operational technology and identity systems.

The company's product portfolio includes Tenable One, an exposure-management platform that brings together data and capabilities for vulnerability management, attack-surface management and other risk assessments.

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