We came across a bullish thesis on Tenable Holdings, Inc. on Show me the incentives…’s Substack. In this article, we will summarize the bulls’ thesis on TENB. Tenable Holdings, Inc.’s share was trading at $22.47 as of January 28th. TENB’s forward P/E was 13.00 according to Yahoo Finance.
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Tenable, Inc. (TENB) is emerging as a leader in proactive cybersecurity, shifting the industry from reactive breach detection to comprehensive exposure management. The company’s flagship platform, Tenable One, unifies its broad range of security tools, providing enterprises with a single view of their entire digital attack surface—from on-premises IT to cloud applications, operational technology, and remote devices.
This holistic approach allows companies to prioritize and remediate the most critical risks before attackers exploit them. Serving 44,000 customers, including roughly 65% of the Fortune 500, TENB has built a diversified, resilient enterprise client base, with no single customer contributing more than 2% of revenue. Tenable One has driven record seven-figure deals, consolidating multiple vendors’ services for major enterprises, and reflects a broader shift toward preemptive cybersecurity, where less than 5% of global spending is currently allocated.
Financially, TENB is profitable on a GAAP basis, generating positive free cash flow while aggressively investing in R&D to expand Tenable One’s capabilities across AI, cloud, and exposure management technologies. The company has also pursued strategic acquisitions—including Bit Discovery, Ermetic, Eureka Security, Vulcan Cyber, and Apex Security—to enhance platform functionality and consolidate its market position. Simultaneously, TENB has returned capital to shareholders through substantial buybacks, while incentivizing leadership through performance-linked equity, further aligning management with value creation.
Rumors of a potential sale have surfaced, supported by historical spikes in professional fees and management preparing for strategic options. With deep ties to U.S. federal and public sector clients via long-term contracts, a robust platform, and a history of disciplined capital allocation, TENB represents a compelling investment with multiple catalysts, including organic growth, strategic M&A, and potential pre-deal acquisition upside. Its strong market position and preemptive cybersecurity platform position it well for long-term value creation.
Previously we covered a bullish thesis on Qualys, Inc. (QLYS) by Na’s Substack in May 2025, which highlighted its cloud-native cybersecurity platform, recurring revenue from TruRisk, consistent profitability, and strong free cash flow. QLYS’s stock price has appreciated approximately by 4.62% since our coverage. This thesis still stands, while Show Me the Incentives’ Substack emphasizes Tenable’s proactive exposure management and platform unification as key growth and M&A drivers.
