Investors Buy High Volume of Call Options on Tenable (NASDAQ:TENB)

Key Points

• Call-option activity surged: Investors purchased 3,375 Tenable call options, about 56% above the stock’s typical daily call volume.
• Shares fell 5.7% to $35.98 during Tuesday trading, while Tenable’s latest quarterly results exceeded analyst expectations for both earnings and revenue. The company reported 8.6% year-over-year revenue growth.
• Analyst sentiment remains mixed: Tenable has an average “Hold” rating and a consensus price target of $34.68, despite several target increases and Wall Street Zen upgrading the stock to “strong buy.”

Tenable Holdings, Inc. (NASDAQ:TENB - Get Free Report) was the target of unusually large options trading on Tuesday. Stock investors acquired 3,375 call options on the company. This represents an increase of approximately 56% compared to the typical daily volume of 2,170 call options.

Tenable Trading Down 5.7%

Shares of TENB traded down $2.17 during midday trading on Tuesday, reaching $35.98. The company had a trading volume of 815,705 shares, compared to its average volume of 3,343,391. Tenable has a 1-year low of $15.73 and a 1-year high of $43.67. The stock has a market cap of $3.96 billion, a PE ratio of 719.80 and a beta of 0.94. The firm has a 50 day simple moving average of $35.80 and a 200-day simple moving average of $26.72. The company has a quick ratio of 0.79, a current ratio of 0.79 and a debt-to-equity ratio of 1.78.

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

Analyst Upgrades and Downgrades

A number of research analysts have issued reports on the stock. Jefferies Financial Group decreased their price target on shares of Tenable from $35.00 to $30.00 and set a "hold" rating for the company in a report on Thursday, July 30th. Canaccord Genuity Group upped their target price on Tenable from $30.00 to $36.00 and gave the company a "buy" rating in a research report on Thursday, July 30th. UBS Group reduced their target price on Tenable from $37.00 to $34.00 and set a "neutral" rating for the company in a research note on Thursday, July 30th. Stifel Nicolaus lifted their price target on Tenable from $26.00 to $31.00 and gave the stock a "hold" rating in a research report on Thursday, July 30th. Finally, Wall Street Zen upgraded Tenable from a "buy" rating to a "strong-buy" rating in a research note on Saturday, August 1st. Eight investment analysts have rated the stock with a Buy rating, eleven have issued a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of "Hold" and an average price target of $34.68.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the stock. Quarry LP purchased a new position in Tenable in the third quarter valued at approximately $25,000. Kemnay Advisory Services Inc. acquired a new stake in shares of Tenable in the 4th quarter valued at about $28,000. Quadrant Capital Group LLC purchased a new position in Tenable during the 4th quarter worth approximately $38,000. Horizon Investments LLC acquired a new position in Tenable during the third quarter worth approximately $45,000. Finally, Los Angeles Capital Management LLC purchased a new stake in Tenable in the fourth quarter valued at approximately $48,000. 89.06% of the stock is currently owned by hedge funds and other institutional investors.

About Tenable

Tenable Holdings, Inc is a global cybersecurity company specializing in vulnerability management and continuous threat exposure assessment. Headquartered in Columbia, Maryland, Tenable was founded in 2002 by Ron Gula and Jack Huffard to address the growing need for proactive network security solutions. Over the years, the company has evolved from a pioneer in open-source vulnerability scanning to a leading provider of comprehensive security platforms that help organizations identify, investigate and prioritize cyber risks across on-premises, cloud and operational technology environments.

At the core of Tenable's product suite is Nessus, one of the industry's most widely adopted vulnerability scanners.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source