QLYS Stock Analysis — Qualys
Sector: Cybersecurity Software
AI Verdict
QLYS is cheap for the growth you're getting, but the moat's value depends on customers sticking with its integrated platform as cybersecurity budgets tighten.
Competitive Moat
Qualys provides cloud-based security and compliance solutions with a platform approach that integrates vulnerability management, asset discovery, and compliance in a single dashboard. Its defensibility comes from high switching costs—customers embed Qualys deeply into IT workflows, making migration disruptive and costly.
Summary
A 38% jump in expected earnings and an 11.7x forward P/E make QLYS stand out among cybersecurity peers.
Where It Stands
QLYS trades at 11.7x next year's earnings with analysts forecasting 38% EPS growth, a rare combination in software where the sector median P/E is 35x.
Key Metrics
- Trailing P/E: 16.1x
- Forward P/E: 11.7x
- PEG Ratio: 0.42
- Earnings Growth: +0.4%
- Revenue Growth: +0.1%
- 52-Week High: $155.47
- 52-Week Low: $74.51
Analyst Consensus
10 Buy · 18 Hold · 2 Sell (30 analysts)
Bull Case
A forward P/E of 11.7x with 38% earnings growth expected means you're getting growth at a steep discount to the software sector's 35x median.
Bear Case
If the P/E reverts even halfway to the software sector median (from 11.7x to 20x), the stock could see a sharp re-rating if growth disappoints.
Catalyst to Watch
Watch for quarterly earnings—if EPS growth lands near the 38% target, the valuation gap could close fast.