Stifel reiterates Hold rating on Tenable stock with $35 price target

Published 29/08/2025, 13:16
Stifel reiterates Hold rating on Tenable stock with $35 price target

Investing.com - Stifel maintained its Hold rating and $35.00 price target on Tenable (NASDAQ:TENB), currently trading at $31.09, following meetings with the company’s Co-CEO Steve Vintz at Stifel’s 2025 Tech Executive Summit. According to InvestingPro data, the cybersecurity company, with a market cap of $3.76 billion, appears slightly undervalued based on its Fair Value analysis.

The research firm reported discussions covered several topics including Tenable’s opportunities in Exposure Management, progress with Tenable One and Cloud Security products, public sector business, merger and acquisition strategy, competitive landscape, and the recent appointment of Matthew Brown as CFO. The company maintains impressive gross profit margins of 78% and has demonstrated solid revenue growth of 11.4% over the last twelve months.

Stifel expressed encouragement regarding management’s confidence in improving growth while simultaneously driving higher margins in coming years, noting Tenable has "a healthy opportunity" with its Tenable One and Cloud Security offerings.

The firm also indicated support for Tenable’s strategy of building a preemptive exposure management platform that unifies visibility, insight, and action, while highlighting an "interesting opportunity" in operational technology (OT) cybersecurity.

Despite acknowledging that Tenable’s current valuation is "undemanding," Stifel stated it awaits "further signs of execution progress and improving VM prioritization" before taking a more constructive stance on the stock. InvestingPro subscribers can access 10+ additional exclusive insights about Tenable, including detailed valuation metrics and growth forecasts in the comprehensive Pro Research Report.

In other recent news, Tenable reported strong second-quarter 2025 earnings, surpassing analysts’ expectations. The company achieved an earnings per share (EPS) of $0.34, exceeding the forecast of $0.30, and revenue of $247.3 million, which was above the anticipated $242.15 million. Following these results, Tenable raised its full-year guidance for Cloud Consumption Billing and revenue. In corporate developments, Tenable appointed Matthew Brown as the new Chief Financial Officer, succeeding Steve Vintz. Brown previously served as CFO at Altair Engineering and played a role in its sale to Siemens for $10.7 billion. Analyst firms responded positively to Tenable’s performance, with Cantor Fitzgerald maintaining an Overweight rating and a $42 price target. Needham also raised its price target to $42, citing the company’s strong quarterly results. Scotiabank increased its price target to $37, noting an improved outlook and maintaining a Sector Perform rating.

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