TENABLE HOLDINGS INC (TENB) Stock Fundamental Analysis
NASDAQ:TENB - Nasdaq - US88025T1025 - Common Stock - Currency: USD
We assign a fundamental rating of 4 out of 10 to TENB. TENB was compared to 283 industry peers in the Software industry. The financial health of TENB is average, but there are quite some concerns on its profitability. TENB is growing strongly while it is still valued neutral. This is a good combination!
1. Profitability
1.1 Basic Checks
In the past year TENB was profitable.
In the past year TENB had a positive cash flow from operations.
In the past 5 years TENB always reported negative net income.
Each year in the past 5 years TENB had a positive operating cash flow.
1.2 Ratios
The Return On Assets of TENB (-2.65%) is comparable to the rest of the industry.
TENB has a Return On Equity of -11.71%. This is comparable to the rest of the industry: TENB outperforms 48.41% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.65% | ||
| ROE | -11.71% | ||
| ROIC | N/A |
ROA(3y)-4.45%
ROA(5y)-4.66%
ROE(3y)-21.9%
ROE(5y)-23.15%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
TENB has a better Gross Margin (77.99%) than 76.33% of its industry peers.
In the last couple of years the Gross Margin of TENB has remained more or less at the same level.
The Profit Margin and Operating Margin are not available for TENB so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 77.99% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.06%
GM growth 5Y-1.25%
2. Health
2.1 Basic Checks
TENB does not have a ROIC to compare to the WACC, probably because it is not profitable.
The number of shares outstanding for TENB has been increased compared to 1 year ago.
Compared to 5 years ago, TENB has more shares outstanding
The debt/assets ratio for TENB has been reduced compared to a year ago.
2.2 Solvency
TENB has an Altman-Z score of 1.63. This is a bad value and indicates that TENB is not financially healthy and even has some risk of bankruptcy.
TENB has a Altman-Z score of 1.63. This is comparable to the rest of the industry: TENB outperforms 44.52% of its industry peers.
TENB has a debt to FCF ratio of 1.50. This is a very positive value and a sign of high solvency as it would only need 1.50 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 1.50, TENB is in the better half of the industry, outperforming 69.61% of the companies in the same industry.
TENB has a Debt/Equity ratio of 0.93. This is a neutral value indicating TENB is somewhat dependend on debt financing.
The Debt to Equity ratio of TENB (0.93) is worse than 73.14% of its industry peers.
Although TENB does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.93 | ||
| Debt/FCF | 1.5 | ||
| Altman-Z | 1.63 |
ROIC/WACCN/A
WACC10.8%
2.3 Liquidity
TENB has a Current Ratio of 1.04. This is a normal value and indicates that TENB is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.04, TENB is not doing good in the industry: 73.85% of the companies in the same industry are doing better.
TENB has a Quick Ratio of 1.04. This is a normal value and indicates that TENB is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of TENB (1.04) is worse than 72.79% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.04 | ||
| Quick Ratio | 1.04 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 47.37% over the past year.
Measured over the past years, TENB shows a very strong growth in Earnings Per Share. The EPS has been growing by 55.97% on average per year.
The Revenue has grown by 11.80% in the past year. This is quite good.
TENB shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 20.48% yearly.
EPS 1Y (TTM)47.37%
EPS 3Y55.97%
EPS 5YN/A
EPS Q2Q%44%
Revenue 1Y (TTM)11.8%
Revenue growth 3Y18.48%
Revenue growth 5Y20.48%
Sales Q2Q%10.73%
3.2 Future
The Earnings Per Share is expected to grow by 16.03% on average over the next years. This is quite good.
The Revenue is expected to grow by 9.20% on average over the next years. This is quite good.
EPS Next Y17.35%
EPS Next 2Y16.76%
EPS Next 3Y16.08%
EPS Next 5Y16.03%
Revenue Next Year8.93%
Revenue Next 2Y8.4%
Revenue Next 3Y8.52%
Revenue Next 5Y9.2%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 22.89, TENB is valued on the expensive side.
Compared to the rest of the industry, the Price/Earnings ratio of TENB indicates a somewhat cheap valuation: TENB is cheaper than 75.27% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.03, TENB is valued at the same level.
With a Price/Forward Earnings ratio of 18.22, TENB is valued on the expensive side.
TENB's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. TENB is cheaper than 78.09% of the companies in the same industry.
TENB is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 21.94, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.89 | ||
| Fwd PE | 18.22 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of TENB is on the same level as its industry peers.
Based on the Price/Free Cash Flow ratio, TENB is valued cheaper than 86.93% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 16.06 | ||
| EV/EBITDA | 118.97 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
TENB's earnings are expected to grow with 16.08% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.32
PEG (5Y)N/A
EPS Next 2Y16.76%
EPS Next 3Y16.08%
5. Dividend
5.1 Amount
No dividends for TENB!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
32.05
-0.64 (-1.96%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners93.02%
Inst Owner Change-0.99%
Ins Owners0.79%
Ins Owner Change0.26%
Market Cap3.85B
Analysts75.86
Price Target39.46 (23.12%)
Short Float %3.61%
Short Ratio3.06
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)21.05%
Min EPS beat(2)17.02%
Max EPS beat(2)25.08%
EPS beat(4)4
Avg EPS beat(4)19.24%
Min EPS beat(4)6.33%
Max EPS beat(4)28.52%
EPS beat(8)8
Avg EPS beat(8)35.44%
EPS beat(12)12
Avg EPS beat(12)111.34%
EPS beat(16)16
Avg EPS beat(16)110.64%
Revenue beat(2)1
Avg Revenue beat(2)0.04%
Min Revenue beat(2)-0.21%
Max Revenue beat(2)0.3%
Revenue beat(4)1
Avg Revenue beat(4)-0.22%
Min Revenue beat(4)-0.7%
Max Revenue beat(4)0.3%
Revenue beat(8)3
Avg Revenue beat(8)-0.04%
Revenue beat(12)4
Avg Revenue beat(12)-0.19%
Revenue beat(16)8
Avg Revenue beat(16)0.22%
PT rev (1m)-20.66%
PT rev (3m)-21.45%
EPS NQ rev (1m)-14.61%
EPS NQ rev (3m)-15.51%
EPS NY rev (1m)-0.35%
EPS NY rev (3m)-2.45%
Revenue NQ rev (1m)0.65%
Revenue NQ rev (3m)0.84%
Revenue NY rev (1m)-0.44%
Revenue NY rev (3m)-0.65%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.89 | ||
| Fwd PE | 18.22 | ||
| P/S | 4.17 | ||
| P/FCF | 16.06 | ||
| P/OCF | 15.13 | ||
| P/B | 10.05 | ||
| P/tB | N/A | ||
| EV/EBITDA | 118.97 |
EPS(TTM)1.4
EY4.37%
EPS(NY)1.76
Fwd EY5.49%
FCF(TTM)2
FCFY6.23%
OCF(TTM)2.12
OCFY6.61%
SpS7.68
BVpS3.19
TBVpS-3.34
PEG (NY)1.32
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.65% | ||
| ROE | -11.71% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 77.99% | ||
| FCFM | 25.98% |
ROA(3y)-4.45%
ROA(5y)-4.66%
ROE(3y)-21.9%
ROE(5y)-23.15%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-1.06%
GM growth 5Y-1.25%
F-Score7
Asset Turnover0.55
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.93 | ||
| Debt/FCF | 1.5 | ||
| Debt/EBITDA | 11.76 | ||
| Cap/Depr | 42.14% | ||
| Cap/Sales | 1.59% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | 841.04% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.04 | ||
| Quick Ratio | 1.04 | ||
| Altman-Z | 1.63 |
F-Score7
WACC10.8%
ROIC/WACCN/A
Cap/Depr(3y)50.18%
Cap/Depr(5y)76.56%
Cap/Sales(3y)1.69%
Cap/Sales(5y)2.18%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)47.37%
EPS 3Y55.97%
EPS 5YN/A
EPS Q2Q%44%
EPS Next Y17.35%
EPS Next 2Y16.76%
EPS Next 3Y16.08%
EPS Next 5Y16.03%
Revenue 1Y (TTM)11.8%
Revenue growth 3Y18.48%
Revenue growth 5Y20.48%
Sales Q2Q%10.73%
Revenue Next Year8.93%
Revenue Next 2Y8.4%
Revenue Next 3Y8.52%
Revenue Next 5Y9.2%
EBIT growth 1Y82.77%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year34.05%
EBIT Next 3Y22.22%
EBIT Next 5Y-1.35%
FCF growth 1Y97.76%
FCF growth 3Y31.86%
FCF growth 5YN/A
OCF growth 1Y85.81%
OCF growth 3Y30.97%
OCF growth 5YN/A