Tenable (NASDAQ:TENB) shares are seen trading as much as 12% higher in early Wednesday trading after the company delivered better-than-expected Q2 results and slightly increased the growth outlook for 2023.
The company posted a profit per share of $0.22 on revenue of $195 million, ahead of the consensus for earnings of $0.13 on revenue of $190.26M. Tenable said its billings rose 15% year-over-year with calculated billings exceeding $200M.
"We are very pleased with our Q2 results, which included better than expected top-line growth and a sizable beat in earnings," said Amit Yoran, chairman and CEO of Tenable.
"Our traction with Tenable One strategically positions us to win in the exposure management market as we help customers protect their organizations and consolidate their security spend."
For this quarter, the company sees EPS in the range of $0.18-0.19 on revenue of $198M. Analysts were looking for EPS of $0.16 on sales of $195.9M.
Full-year EPS is seen at $0.67 on revenue of $787M, which compares to the consensus for a profit per share of $0.59 on revenue of $781M.
BTIG analysts commented:
“We were pleased to see results stabilize and execution improve after a weak economic environment negatively impacted TENB’s Q1 print. That said, we remain concerned that the VM space is going through something of a digesting phase after a period of elevated spending in 2021 and most of 2022.”
Morgan Stanley analysts hiked the price target by $4 to $48 per share.
“Tenable got back on track in Q2 with beats across top & bottom line. FY23 guide goes up on increased traction in platform sales & improved execution amidst an uncertain macro. While encouraged by the bounce-back quarter, we remain on the sidelines at EW looking for sustained reacceleration.”