Tenable Holdings (TENB) has been in focus after reporting fourth quarter 2025 revenue of US$260.53 million, above market expectations, alongside guidance for 2026 and the launch of its Tenable One AI Exposure product.

The earnings beat, new 2026 guidance and the rollout of Tenable One AI Exposure have arrived after a weak stretch, with the share price down about 24% over 90 days and the 1 year total shareholder return down about 47%. However, the latest 1 day share price return of 7.44% suggests sentiment may be starting to improve.

If this earnings reaction has you looking across cybersecurity, it could be a good time to scan a wider set of opportunities through our list of 56 profitable AI stocks that aren't just burning cash.

With the shares down sharply over 1 year but trading at a sizeable discount to analyst price targets and some intrinsic value estimates, is Tenable now mispriced, or is the market already factoring in its future growth potential?

Most Popular Narrative: 31.4% Undervalued

With Tenable Holdings closing at $21.23 against a narrative fair value of about $30.95, the gap between price and expectations is hard to ignore.

The convergence of IT, cloud, and OT environments requires organizations to obtain holistic risk visibility; Tenable's ability to consolidate multiple asset types (VM, cloud, identity, OT, AI security) in a single platform is resulting in larger deal sizes and growing enterprise adoption, directly impacting top-line growth and average selling prices.

Curious what sits behind that confidence in larger deals and broader adoption? Revenue, margins and future earnings are all wired into this fair value story. The forecasts lean on specific growth rates, profitability shifts and a future earnings multiple that is far from ordinary. Want to see exactly which assumptions have to hold up for that valuation gap to close?

Result: Fair Value of $30.95 (UNDERVALUED)

However, you also need to weigh the risk that heavier spending on AI and acquisitions fails to pay off quickly, or that larger rivals pressure margins and contract renewals.

Build Your Own Tenable Holdings Narrative

If you look at these conclusions and want to test your own assumptions or weigh different data points, you can build a custom view of Tenable in just a few minutes, starting with Do it your way.

A good starting point is our analysis highlighting 4 key rewards investors are optimistic about regarding Tenable Holdings.

Looking for more investment ideas?

If Tenable has sharpened your focus on opportunities, do not stop here. Casting a wider net now could reveal setups you will wish you had seen earlier.

• Spot potential value plays early by scanning our 52 high quality undervalued stocks that screen for quality businesses priced below what their fundamentals may suggest.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.