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Qualys Inc (QLYS)



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Upturn Advisory Summary
03/25/2025: QLYS (1-star) is currently NOT-A-BUY. Pass it for now.
Analysis of Past Performance
Type Stock | Historic Profit -19.28% | Avg. Invested days 42 | Today’s Advisory PASS |
Upturn Star Rating ![]() ![]() | Upturn Advisory Performance ![]() | Stock Returns Performance ![]() |
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Key Highlights
Company Size Mid-Cap Stock | Market Capitalization 4.69B USD | Price to earnings Ratio 27.67 | 1Y Target Price 142.63 |
Price to earnings Ratio 27.67 | 1Y Target Price 142.63 | ||
Volume (30-day avg) 315094 | Beta 0.56 | 52 Weeks Range 119.17 - 174.20 | Updated Date 04/1/2025 |
52 Weeks Range 119.17 - 174.20 | Updated Date 04/1/2025 | ||
Dividends yield (FY) - | Basic EPS (TTM) 4.65 |
Analyzing Revenue: Products, Geography and Growth
Revenue by Products
Product revenue - Year on Year
Revenue by Geography
Geography revenue - Year on Year
Earnings Date
Report Date - | When - | Estimate - | Actual - |
Profitability
Profit Margin 28.59% | Operating Margin (TTM) 31.04% |
Management Effectiveness
Return on Assets (TTM) 13.1% | Return on Equity (TTM) 41.09% |
Valuation
Trailing PE 27.67 | Forward PE 21.64 | Enterprise Value 4359380056 | Price to Sales(TTM) 7.73 |
Enterprise Value 4359380056 | Price to Sales(TTM) 7.73 | ||
Enterprise Value to Revenue 7.02 | Enterprise Value to EBITDA 20.73 | Shares Outstanding 36477700 | Shares Floating 36224517 |
Shares Outstanding 36477700 | Shares Floating 36224517 | ||
Percent Insiders 0.82 | Percent Institutions 101.11 |
Analyst Ratings
Rating 3.21 | Target Price 149.81 | Buy 1 | Strong Buy 4 |
Buy 1 | Strong Buy 4 | ||
Hold 16 | Sell 2 | Strong Sell 1 | |
Strong Sell 1 |
Upturn AI SWOT
Qualys Inc

Company Overview
History and Background
Qualys Inc. was founded in 1999 and pioneered cloud-based vulnerability management. Initially focused on vulnerability scanning, it expanded its platform to offer a comprehensive suite of cloud security and compliance solutions.
Core Business Areas
- Vulnerability Management, Detection and Response (VMDR): Provides continuous vulnerability scanning, prioritization, and remediation tracking across on-premises, cloud, and endpoint environments.
- Cloud Security Assessment (CSA): Automates security assessments of cloud environments to identify misconfigurations, compliance violations, and security risks.
- Web Application Scanning (WAS): Scans web applications for vulnerabilities such as SQL injection, cross-site scripting (XSS), and other OWASP Top 10 threats.
- Policy Compliance (PC): Automates the assessment and enforcement of security policies and regulatory compliance standards.
- Endpoint Detection and Response (EDR): Provides real-time visibility into endpoint activity, detects threats, and enables rapid incident response.
Leadership and Structure
Sumedh Thakar is the President and CEO of Qualys. The company operates with a functional organizational structure, with teams dedicated to product development, sales, marketing, and customer support.
Top Products and Market Share
Key Offerings
- Vulnerability Management, Detection and Response (VMDR): Qualys VMDR provides comprehensive visibility into an organization's security posture by continuously discovering, assessing, prioritizing, and remediating vulnerabilities. Qualys estimates it has around 20% of the vulnerability management market. Key competitors include Rapid7 (RPD) and Tenable (TENB).
- CloudGuard Cloud Security Posture Management (CSPM): CloudGuard enables visibility and protection across cloud environments, including AWS, Azure and GCP. Competitors include Palo Alto Networks (PANW) with Prisma Cloud and Check Point (CHKP).
Market Dynamics
Industry Overview
The cybersecurity industry is experiencing rapid growth driven by increasing cyber threats, regulatory compliance requirements, and the digital transformation of businesses. Cloud security, vulnerability management, and endpoint protection are key areas of focus.
Positioning
Qualys Inc is a leading provider of cloud-based security and compliance solutions. Its competitive advantage lies in its integrated platform, comprehensive vulnerability database, and ease of deployment.
Total Addressable Market (TAM)
The total addressable market (TAM) for cloud security and vulnerability management is estimated to be in the tens of billions of dollars. Qualys is well-positioned to capture a significant share of this market due to its comprehensive platform and established customer base.
Upturn SWOT Analysis
Strengths
- Comprehensive cloud-based platform
- Extensive vulnerability database
- Strong brand recognition
- High customer retention rates
- Scalable architecture
Weaknesses
- Integration complexity with certain third-party tools
- Pricing can be perceived as high for some smaller businesses
- Reliance on subscription-based revenue model
- Limited presence in some emerging markets
Opportunities
- Expansion into new market segments (e.g., OT/ICS security)
- Increased adoption of cloud security solutions
- Growing demand for vulnerability management
- Partnerships with managed security service providers (MSSPs)
- Artificial Intelligence (AI) and Machine Learning (ML) in product offerings
Threats
- Increased competition from larger cybersecurity vendors
- Evolving cyber threats and attack techniques
- Economic downturns affecting IT spending
- Data breaches or security incidents compromising customer trust
- Changes in regulatory compliance requirements
Competitors and Market Share
Key Competitors
- TENB
- RAP
- CRWD
- PANW
Competitive Landscape
Qualys advantages include its integrated platform and vulnerability database. Disadvantages may be its size compared to larger competitors and perceived higher price. Tenable and Rapid7 are close competitors. Crowdstrike and Palo Alto Networks compete within cloud offerings.
Major Acquisitions
Layered Insight
- Year: 2018
- Acquisition Price (USD millions):
- Strategic Rationale: Enhanced container security capabilities
Growth Trajectory and Initiatives
Historical Growth: Historically, Qualys has demonstrated consistent revenue growth driven by increasing demand for its cloud-based security solutions.
Future Projections: Future growth projections are based on analyst estimates, which need to be consulted and would include estimated revenue growth and profit margin expansion.
Recent Initiatives: Recent initiatives include product enhancements focused on cloud security, endpoint detection and response (EDR) integration, and artificial intelligence (AI) driven threat intelligence.
Summary
Qualys is a strong player in the cloud security and vulnerability management market with a well-established platform and a solid reputation. Its integrated platform and comprehensive vulnerability database are key strengths. However, it faces increasing competition from larger players and needs to continue to innovate and expand its product offerings to maintain its competitive edge. Qualys must remain aware of economic fluctuations.
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PANW

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TENB

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Sources and Disclaimers
Data Sources:
- Qualys Inc. SEC Filings
- Industry Reports (Gartner, Forrester)
- Analyst Reports
- Company Press Releases
- Company Website
Disclaimers:
The information provided is for informational purposes only and should not be considered financial advice. Market share data is approximate and based on available industry reports and estimates. Investment decisions should be based on thorough research and consultation with a qualified financial advisor.
AI Summarization is directionally correct and might not be accurate.
Summarized information shown could be a few years old and not current.
Fundamental Rating based on AI could be based on old data.
AI-generated summaries may have inaccuracies (hallucinations). Please verify the information before taking action.
About Qualys Inc
Exchange NASDAQ | Headquaters Foster City, CA, United States | ||
IPO Launch date 2012-09-28 | President, CEO & Director Mr. Sumedh S. Thakar | ||
Sector Technology | Industry Software - Infrastructure | Full time employees 2400 | Website https://www.qualys.com |
Full time employees 2400 | Website https://www.qualys.com |
Qualys, Inc. provides cloud-based platform delivering information technology (IT), security, and compliance solutions in the United States and internationally. It offers Qualys Cloud Apps, which include Cybersecurity Asset Management and External Attack Surface Management; Vulnerability Management, Detection and Response; Web Application Scanning; Patch Management; Custom Assessment and Remediation; Multi-Vector Endpoint Detection and Response; Policy Compliance; File Integrity Monitoring; and Qualys TotalCloud, as well as Cloud Workload Protection, Cloud Detection and Response, Cloud Security Posture Management, Infrastructure as Code, SaaS Security Posture Management, Kubernetes, and Container Security. The company's integrated suite of IT, security, and compliance solutions delivered on its Qualys' Enterprise TruRisk Platform that enables customers to identify and manage IT and operational technology assets; collect and analyze IT security data; discover and prioritize vulnerabilities; quantify cyber risk exposure; recommend and implement remediation actions; and verify the implementation of such actions. It also provides asset tagging and management, reporting and dashboards, questionnaires and collaboration, remediation and workflow, big data correlation and analytics engine, and alerts and notifications that enable clients to detect vulnerabilities, and measure and remediate cyber risk. The company offers its solutions to enterprises, government entities, and small and medium-sized businesses in various industries, including education, financial services, government, healthcare, insurance, manufacturing, media, retail, technology, and utilities through its sales teams, as well as through its network of channel partners, such as security consulting organizations, managed service providers, resellers, cloud providers, and consulting firms. Qualys, Inc. was incorporated in 1999 and is headquartered in Foster City, California.
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