Research Idea
Research content for general circulation. Not individualized advice. Methodology & Disclosures
Shares reached a 21-session high on October 1, up about 10% over the period. Q2 revenue grew 11%, 2026 revenue guidance was raised, and margins and free cash flow remained strong.
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AI Analyst Overview
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Valuation Metrics
Fundamental Analysis
Key Financial Insights: ⢠High Margins ⢠Strong Cash Flow ⢠Net Cash Position QLYS delivers exceptional profitability, cash generation, and capital efficiency with a strong net-cash balance sheet, but its elevated valuation warrants caution.
Price Behavior
Key Price Behavior Insights: ⢠Support Holding ⢠Momentum Weakening ⢠Resistance Overhead Support Level: $170â$171 Resistance Level: $185â$189 QLYS has a negative short-term bias after retreating below its 21-session average, with $170â$171 support critical and a reclaim of $185â$189 needed to improve momentum.
Sentiment & News
Key News Insights: ⢠Raised FY26 guidance ⢠Strong cash generation ⢠Cautious valuation outlook Qualys' earnings beat, raised guidance, and cybersecurity tailwinds support momentum, but cautious analyst targets and valuation concerns temper upside.
AI Summary
Qualys offers exceptional margins, cash generation, and raised guidance, but at 27â29x earnings investors should wait for evidence that TruRisk and AI-security products can accelerate growth above ~10â11% rather than merely defend the core franchise; failure to prove monetization leaves meaningful multiple-compression risk.
Description
Qualys, Inc. is a provider of cloud-based IT security and compliance solutions used by enterprises, governments and small-to-medium businesses worldwide. Its Qualys Cloud Platform bundles vulnerability and threat detection, endpoint and cloud security, asset and certificate inventories, compliance and remediation workflows, and analytics to help customers discover, prioritize and address security issues. The company sells through direct sales and channel partners and is headquartered in Foster City, California, with operations since 1999.
Idea History
| Date | Close | Ticker | Company | Summary | Status | P/L |
|---|---|---|---|---|---|---|
| Oct 1 | Oct 8 | QLYS | Qualys, Inc. | Shares reached a 21-session high on October 1, up about 10% over the period. Q2 revenue grew 11%, 2026 revenue guidance was raised, and margins and free cash flow remained strong. | Closed | +3.4% |
| Dec 15 | Dec 22 | QLYS | Qualys, Inc. | Qualys delivers raised 2025 revenue guidance with strong AI-powered platform adoption, improving EBITDA margins, and an 8% price gain over three weeks with positive technical momentum, establishing it as a hot cybersecurity idea driven by AI innovation and growth. | Closed | -2.7% |