Why Tenable Stock Fell 16% Today
Shares of cybersecurity stock Tenable Holdings (NASDAQ: TENB) were down 15.6% today as of 12:20 p.m. ET. The company reported earnings that exceeded expectations, but as is almost always the case with stocks, it's the outlook for the future that matters most.
Specifically, Tenable reported revenue growth of 26% in the second quarter of 2022 compared to the same period a year ago, hauling in $164 million during the spring quarter. Adjusted operating income was $12.2 million, and adjusted earnings per share were $0.05. These results handily exceeded Wall Street's expectations (consensus among analysts was just $0.01 per share).
Shares were tumbling anyway, though. Tenable said revenue should grow 22.6% year over year in the third quarter at the midpoint of guidance. Adjusted net income is expected to be $9 million to $10 million, less than the $13.7 million reported last year. Between slower revenue growth and lower profitability, investors were feeling a bit gloomy.
Source Fool.com
