Mon, Apr. 13, 11:07 AM
- With shares having nearly tripled from a 52-week low of $18.00 going into today, Baird has downgraded Qualys (NASDAQ:QLYS) to Neutral. The firm's target is at $50.
- The cloud security/compliance software vendor trades for 10.4x 2015E sales; this year's revenue growth consensus is at $168.4M. As is the case with other cloud software firms, price/billings multiples are lower than price/sales multiples, given subscription billings are recognized over an extended period of time.
- Shares soared in February thanks to a Q4 beat and strong guidance, and have benefited from a broader rally in security tech plays.
Wed, Apr. 8, 10:30 AM
- Believing new product launches will boost margins, Topeka Capital has upgraded Qualys (NASDAQ:QLYS) to Buy, and hiked its target by $15 to $61.
- The cloud security/compliance software vendor has rallied to new highs. Shares soared in February thanks to a Q4 beat and strong guidance, and have benefited from investor enthusiasm towards cybersecurity plays in general.
Thu, Mar. 26, 2:44 PM
- Though the Nasdaq is nearly flat today, many security tech plays are rallying. CyberArk (CYBR +4.6%) is a standout, adding to Monday's post-lockup gains. So are Qualys (QLYS +4.7%), Vasco (VDSI +3.8%), and Proofpoint (PFPT +4.3%). Palo Alto Networks (PANW +1.8%), Fortinet (FTNT +1.9%), and Imperva (IMPV +2.2%) are up more moderately.
- Possibly helping the group: The House Intelligence Committee has unanimously passed a cybersecurity bill that will make it easier for companies to share information about attacks without risking lawsuits. A full House vote could happen by late April, and the Senate is working on a similar bill. The White House recently floated its own cybersecurity initiatives.
- Yesterday, FBR's Daniel Ives (bullish on the space for some time) forecast spending on "next-generation" security solutions will rise 25% this year, up from a prior 20% estimate. He thinks less than 10% of companies have fully invested in next-gen offerings, and sees evidence of a "surge in deal flow with a major upgrade cycle underway in 2015, as enterprises and governments 'fast track' cybersecurity initiatives across the board."
- Ives expects FireEye (FEYE +0.7%), Palo Alto, Fortinet, and Proofpoint to benefit from the trend, which he isn't sqeamish about hyping. "This once-in-a-multi-decade upgrade opportunity is poised to be a rising tide for all security boats ... with legacy security solutions no longer 'good enough' and next-generation products well positioned to replace traditional firewall and endpoint vendors over the coming years."
- ETF: HACK
- Previously: Three cybersecurity companies reportedly planning $1B+ IPOs
Fri, Mar. 6, 2:54 PM
- With the Nasdaq down 1.1%, major tech decliners are outpacing major gainers by a sound margin.
- Notable gainers include gaming headset maker Turtle Beach (HEAR +6.8%), Chinese data center owner 21Vianet (VNET +3.6%), wireless charging tech developer Energous (WATT +2.7%), Chinese online retailer LightInTheBox (LITB +5.6%), and solar microinverter maker Enphase (ENPH +5.9%).
- Notable decliners include ultracapacitor maker Maxwell (MXWL -6.6%), healthcare IT giant Cerner (CERN -3.8%), enterprise storage hardware vendor Quantum (QTM -6%), cloud SMB marketing software vendor Constant Contact (CTCT -4.6%), 3D measurement/imaging system maker FARO Technologies (FARO -5.4%), PC/mobile peripherals giant Logitech (LOGI -4.6%), and cloud security/compliance software vendor Qualys (QLYS -4.2%).
- Energous is up 12% over the last two trading days; its Q4 report arrives on Monday afternoon. Maxwell was up sharply yesterday on an insider buy. Cerner closed yesterday near an all-time high of $73.24.
- Previously covered: YY, Finisar/JDS Uniphase, Violin Memory, Crossroads, Skullcandy, Neustar, Synacor, CyberArk, Autohome/Bitauto, Wave Systems
Fri, Feb. 13, 2:50 AM
- President Obama is poised to sign an executive order today aimed at encouraging companies to share more information about cybersecurity threats with the government and each other.
- The order will set the stage for new private-sector led information sharing and analysis organizations, called ISAOs, where companies share cyber threat data with each other and the Department of Homeland Security.
- The move comes as big Silicon Valley companies prove hesitant to fully support more mandated cybersecurity information sharing without reforms to government surveillance practices.
- KEYW, CUDA, PFPT, FEYE +0.5%, PANW +1.3%, QLYS +3% CYBR +18.5% AH
- ETFs: HACK +4.7% AH
Tue, Feb. 10, 12:45 PM
Tue, Feb. 10, 12:16 PM
- In addition to handily beating Q4 EPS estimates (and slightly beating on revenue), Qualys (NASDAQ:QLYS) is guiding for Q1 revenue of $37.6M-$38.1M and EPS of $0.10-$0.12 (above a consensus of $37M and $0.09), and full-year revenue of $167.3M-$169.3M and EPS of $0.50-$0.55 (almost entirely above a consensus of $160.6M and $0.50).
- Qualys attributes its 24% Y/Y Q4 sales growth to "the accelerated adoption of Qualys' new services, namely Web Application Scanning, Policy Compliance, Continuous Monitoring and Private Cloud Platform, as well as continued growth of Qualys' market-leading Vulnerability Management solution."
- The deferred revenue balance rose 20% to $91.2M. That helped 2014 free cash flow total $27.4M, up from 2013's $11.5M and above net income of $17.1M. Q4 customer adds included Halliburton, Netflix, and Tyco.
- GAAP operating expenses rose a moderate 11% Y/Y in Q4 to $24.8M. Sales/marketing spend totaled $11.9M, R&D $7M, and G&A $5.9M.
- Fellow security software/cloud services provider Imperva (NYSE:IMPV) is also rallying. Its shares sold off last Friday due to the light guidance provided with a Q4 revenue beat.
- Qualys' Q4 results, PR, CC transcript
Mon, Feb. 9, 4:04 PM
Sun, Feb. 8, 5:35 PM
Thu, Feb. 5, 11:46 AM
- A major data breach at #2 U.S. health insurer Anthem - it involves a database containing personal info about 80M customers/employees - has put cybersecurity back in the spotlight ... along with the companies providing hardware, software, and services to protect against external attacks.
- FireEye (FEYE +5.6%), whose Mandiant endpoint protection/incident response unit has been hired by Anthem to investigate the breach, is among today's gainers. Mandiant was also hired by Sony following its breach; JPMorgan writes today FireEye/Mandiant has become the "go-to" for probing high-profile attacks.
- Other security tech plays rallying today include CyberArk (CYBR +6.5%), Vasco (VDSI +6.1%), Fortinet (FTNT +2.3%), Proofpoint (PFPT +2.6%), Imperva (IMPV +3%), Qualys (QLYS +2.7%), and Barracuda (CUDA +2.5%). The Nasdaq is up 0.7%.
- ETF: HACK
- Previously: Wilson predicts cybersecurity budgets will "explode" in 2015
- Update (3:40PM): Bloomberg reports investigators probing the Anthem breach are "pursuing evidence that points to Chinese state-sponsored hackers who are stealing personal information from health-care companies for purposes other than pure profit."
Fri, Jan. 2, 12:08 PM
- "Safety used to mean gold, US treasuries, and blue chip stocks. Now it means Google, Apple, Amazon, and Facebook," says high-profile VC Fred Wilson while offering his 2015 predictions. Though believing rising interest rates and low oil prices will trigger "a noticeable flight to safety," he sees major tech firms continuing to have easy access to capital.
- On the other hand, Wilson is cautious on the near-term outlook for the budding wearables market (John Legere feels differently). "Apple Watch will not be the homerun product that iPod, iPhone, and iPad have been. Not everyone will want to wear a computer on their wrist. Eventually, this market will be realized as the personal mesh/personal cloud, but the focus on wearables will be a bit of a headfake..."
- He also expects virtual reality to "hit some headwinds" after getting hyped in 2014 following the Facebook/Oculus (NASDAQ:FB) deal. "Oculus will struggle to ship their consumer version and competitive products will underwhelm. The virtual reality will eventually catch up to the virtual hype, but not in 2015."
- He forecasts cybersecurity budgets "will explode in 2015 as every company, institution, and government attempts to avoid being Sony’d." But Wilson also thinks "the hacks will continue because on the open internet there is no such thing as an impenetrable system." Cybersecurity plays: FEYE, PANW, FTNT, IMPV, QLYS, PFPT.
- Wilson, a long-time Bitcoin (COIN, OTCQB:BTCS) believer, once more defends the cryptocurrency. "The horrible year that bitcoin had in 2014 will be a wakeup call for all stakeholders. Developers will turn their energy from creating the next bitcoin (all the alt stuff) to creating the stack on top of the bitcoin blockchain. Real decentralized applications will start to emerge..."
- Tech ETFs: QQQ, XLK, PSQ, TQQQ, QID, VGT, SQQQ, QLD, TECL, IYW, ROM, FTEC, TECS, RYT, QQEW, QTEC, IGM, QQQE, FXL, MTK, REW, QQXT
Dec. 12, 2014, 9:54 AM
- A blog post from computer security firm F-Secure may send a chill through the C-suites of major corporations across the globe.
- F-Secure calls the Sony Pictures (NYSE:SNE) hacking incident the worst ever seen by a company, but that's not even the scary part.
- The take from F-Secure is that it's sophisticated extortionists behind the incident - not ticked off North Korea sympathizers.
- The public execution of Sony Pictures could just be a warning aimed at future targets, theorizes F-Secure.
- The FBI has issued a flash alert which warns that other company might already have the malware in their systems.
- Related: Senate passes cybersecurity bill
- Cybersecurity plays: FEYE, CYBR, PFPT, QLYS, IMPV, PANW.
Nov. 5, 2014, 3:18 PM
- Threat-prevention hardware/software/services upstart FireEye is down 14.9% after missing Q3 revenue estimates and offering slightly soft Q4 revenue guidance. The company's billings figures were better.
- Security tech peers Qualys (QLYS -2.5%), Proofpoint (PFPT -2.5%), CyberArk (CYBR -6.7%), and KEYW Holding (KEYW -2.2%) have joined the list of names selling off in sympathy. Palo Alto Networks and Barracuda Networks are also lower.
Nov. 3, 2014, 4:11 PM
Nov. 2, 2014, 5:35 PM
- ACXM, AEIS, AGU, AIG, AMTG, ANV, APL, BDE, BKH, CHGG, CKP, CRK, CUTR, CVD, CXW, CYH, DXPE, EGAN, ELNK, ENH, EOX, EPAM, EQC, FN, FTR, GALE, GRT, GTY, HLF, IART, ININ, KAMN, KBR, LCI, MCEP, MDU, MR, MRO, NBIX, NLS, NOR, NTRI, OGS, OTTR, PKT, PL, PLOW, PQ, QLYS, RBC, REG, RKT, RKUS, RLD, RTEC, SALE, SBRA, SGY, SKH, SNHY, SRC, SSW, SUP, TDW, THC, TXRH, VNO, VNR, WTR, Y
Oct. 23, 2014, 12:03 PM
- Check Point (CHKP +4.2%) beat Q3 estimates and offered healthy Q4 guidance: Revenue of $395M-$430M and EPS of $0.99-$1.09 vs. a consensus of $410.3M and $1.03.
- Fortinet (FTNT -0.1%) posted a Q3 beat, reported strong billings growth, and issued above-consensus Q4 revenue guidance. EPS guidance was light due to aggressive spending.
- Several security tech peers are outperforming on a day the Nasdaq is up 1.7%. PANW +4.4%. FEYE +4.5%. PFPT +4.9%. QLYS +2.7%. The numbers follow downbeat guidance from IBM, SAP, and VMware, and arguably highlight security's growing share of IT spend.
- Oppenheimer is reiterating an Outperform and $30 target on Fortinet, and notes the company's new billings guidance implies 26% 2014 growth at the midpoint (up from 22%). It thinks the UTM hardware vendor's performance is being driven by strong high-end appliance sales, product refreshes, and the fruits of major sales/marketing investments.
QLYS vs. ETF Alternatives
Qualys Inc provides cloud security & compliance solutions to organizations identifying security risks to their IT infrastructures, to protect their IT systems from cyber-attacks & achieve compliance with internal policies & external regulations.
Other News & PR