Core Viewpoint - Qualys, Inc. (QLYS) shows potential as a stock pick due to a recent "golden cross" event, indicating a bullish trend reversal [1][4]. Technical Analysis - A "golden cross" occurs when a short-term moving average (50-day) crosses above a long-term moving average (200-day), suggesting a potential bullish breakout [2]. - The successful golden cross event consists of three stages: a price decline bottoming out, the shorter moving average crossing above the longer moving average, and the stock maintaining upward momentum [3]. Performance Metrics - Over the past four weeks, QLYS has gained 7.8%, indicating positive price movement [4]. - The stock currently holds a 1 (Strong Buy) rating on the Zacks Rank, suggesting it may be poised for further breakout [4]. - Earnings expectations for QLYS have improved, with 8 upward revisions and no downward changes in the last 60 days, leading to an increase in the Zacks Consensus Estimate [4]. Investment Consideration - Given the significant technical indicator and positive earnings estimate movement, QLYS should be considered for the watchlist [6].

Group 1: DraftKings and Flutter Entertainment - Wells Fargo initiated coverage of DraftKings (DKNG) with an Equal Weight rating and a price target of $31, expressing a bullish outlook on domestic online sports betting growth but indicating a wait for a better entry point due to near-term pressures and competition [1] - Flutter Entertainment (FLUT) was also initiated with an Overweight rating by Wells Fargo [1] Group 2: Carnival and Cruise Line Industry - Carnival (CCL) received an Overweight rating and a price target of $37 from Wells Fargo, which views the cruise sector as the most compelling within its gaming, leisure, and lodging coverage [1] - Norwegian Cruise Line (NCLH) and Royal Caribbean (RCL) were similarly initiated with Overweight ratings by Wells Fargo [1] Group 3: Cybersecurity Companies - Berenberg initiated coverage of Okta (OKTA) with a Buy rating and a price target of $145, considering both Okta and SentinelOne (S) as misunderstood stories with potential for re-rating [1] - CrowdStrike (CRWD) was initiated with a Hold rating and a price target of $600, with Berenberg noting that the market has already priced in its position at the top of the revenue duration curve [1] - Berenberg also started coverage of Rapid7 (RPD) and Qualys (QLYS) with Hold ratings [1] Group 4: Optical Communications - Mizuho initiated coverage of Lumentum (LITE) with an Outperform rating and a price target of $290, highlighting its role as a leading supplier in optical communications and lasers, benefiting from surging demand in artificial intelligence [1]

Core Insights - Qualys Inc (NASDAQ:QLYS) is recognized as one of the best AI stocks to buy, particularly noted for its Agentic AI solutions in cybersecurity [1] - The company recently experienced a stock price increase following positive financial results and raised guidance, leading to multiple upgrades from Wall Street analysts [2] Company Overview - Qualys provides cybersecurity and compliance solutions that help clients identify, prioritize, and remediate IT infrastructure risks [3] - The company operates on a software-as-a-service model with renewable annual subscriptions, which supports sustainable growth in the cybersecurity sector [3] Financial Performance - Qualys has demonstrated high operating margins and growing cash flow generation, alongside a strong balance sheet [3] - The Managed Risk Operation Center is reportedly seeing faster commercial deployments than previously anticipated by management [2] Market Position - Qualys is considered well-managed within the industry, with strategic decisions that have enhanced product quality, margins, and competitive advantages [3] - The company's products are viewed as critical yet low-cost relative to overall security budgets, contributing to high retention rates and resilience during economic downturns [3]

Core Insights - Donovan Jones is an IPO research specialist with 15 years of experience in identifying high-quality IPO opportunities [1] - He leads the investing group IPO Edge, which provides actionable information on growth stocks, including first-look IPO filings and an IPO calendar [1] Company and Industry Summary - IPO Edge offers a comprehensive guide to IPO investing, covering the entire lifecycle from filing to listing and lockup expiration dates [1]

Core Insights - Donovan Jones is an IPO research specialist with 15 years of experience in identifying high-quality IPO opportunities [1] - He leads the investing group IPO Edge, which provides actionable information on growth stocks, including first-look IPO filings and an IPO calendar [1] Company and Industry Summary - IPO Edge offers a comprehensive guide to IPO investing, covering the entire lifecycle from filing to listing and lockup expiration dates [1]

Core Insights - Qualys reported a 10% year-over-year revenue growth to $169.9 million and non-GAAP EPS of $1.86, exceeding analyst expectations [1] - The stock rose approximately 20.2% following the earnings report [1] Financial Performance - Adjusted gross margin improved to 85% from 83% year-over-year, while adjusted operating margin increased to 47% from 43% [4] - The company raised its full-year revenue outlook to a range of $665.8 million to $667.8 million, indicating a growth of about 10% compared to 2024 [5] - Non-GAAP EPS outlook was also increased to a range of $6.93 to $7.00 [5] Strategic Developments - The Risk Operations Center offering is gaining traction, contributing to solid results and faster-than-expected deployments [3][6] - Qualys secured significant wins with federal and state agencies, enhancing its government business prospects [4][6] - The GovCloud Platform received FedRAMP High Authorization, further opening opportunities in government contracts [4] Market Position - Qualys stock trades at around 21 times the average analyst estimate for full-year adjusted earnings, reflecting an improved growth trajectory [6]

Core Insights - Qualys reported Q3 2025 earnings of $1.86 per share, exceeding the Zacks Consensus Estimate of $1.56 by 19.2% and up from $1.56 in the same quarter last year [1][10] - Revenues for Q3 2025 reached $169.88 million, surpassing the Zacks Consensus Estimate by 2.49% and reflecting a 10% year-over-year growth from $153.87 million [2][10] Revenue Breakdown - Sales from channel partners increased by 17%, contributing 50% to total revenues, while direct sales grew by 5% [3] - U.S. sales grew by 7%, accounting for approximately 56% of total revenues, while international sales rose by 15%, making up 44% [3] Profitability Metrics - Non-GAAP gross profit increased by 13% year over year to $144.9 million, with gross margin expanding to 85% from 83% [5] - Non-GAAP operating income rose by 21% to $80 million, with a margin improvement to 47% from 43% [5] - Adjusted EBITDA grew by 19% year over year to $82.6 million, with the adjusted EBITDA margin improving to 49% from 45% [6] Cash Flow and Share Repurchase - Qualys ended the quarter with $663.6 million in cash and equivalents, up from $621 million in the previous quarter [7] - Operating cash flow increased by 48% year over year to $90.4 million, while free cash flow reached $89.5 million, representing a 53% margin compared to 37% in the prior year [7][8] - The company repurchased 366,000 shares worth $49.4 million during Q3, with a cumulative total of 10.4 million shares repurchased valued at $1.2 billion [8] Guidance Update - Following a strong Q3 performance, Qualys raised its full-year 2025 revenue guidance to between $665.8 million and $667.8 million, up from the previous range of $656 million to $662 million, indicating a 10% year-over-year improvement [9] - Non-GAAP earnings guidance for 2025 was also raised to a range of $6.93 to $7.00 per share, up from $6.20 to $6.50 [10] - For Q4, Qualys expects revenues between $172.0 million and $174.0 million, indicating year-over-year growth of 8-9% [10]

Group 1 - The article does not provide any relevant content regarding the company or industry [1]

Core Insights - Qualys reported stronger-than-expected third-quarter earnings and revenue, with adjusted earnings rising 19% year-over-year to $1.86 per share and revenue increasing 10% to $169.9 million, surpassing analyst expectations of $1.56 per share and $166.3 million in sales [2][4]. Financial Performance - The company's billings climbed 11% to $186.4 million, exceeding estimates of 6% growth [3]. - For the fourth quarter, Qualys provided guidance of $173 million in revenue at the midpoint, which is above analyst projections of $169.5 million [4]. Market Reaction - Following the earnings report, Qualys stock surged over 15% to nearly $140, recovering from a 12% decline in 2025 prior to the report [4]. Industry Context - Qualys operates in the cybersecurity sector, which has underperformed the broader market since the June/July quarter results. However, it has shown improvement in technical performance, with a Composite Rating of 78 out of a best-possible 99 [5][10].

Core Insights - Qualys reported quarterly earnings of $1.86 per share, exceeding the Zacks Consensus Estimate of $1.56 per share, and showing an increase from $1.56 per share a year ago, resulting in an earnings surprise of +19.23% [1] - The company achieved revenues of $169.88 million for the quarter ended September 2025, surpassing the Zacks Consensus Estimate by 2.49% and increasing from $153.87 million year-over-year [2] - Qualys has consistently surpassed consensus EPS and revenue estimates over the last four quarters [2] Earnings Performance - The earnings surprise for the previous quarter was +14.29%, with actual earnings of $1.68 per share compared to an expected $1.47 per share [1] - The current consensus EPS estimate for the upcoming quarter is $1.49, with expected revenues of $168.85 million, and for the current fiscal year, the EPS estimate is $6.40 on revenues of $658.56 million [7] Stock Performance and Outlook - Qualys shares have declined approximately 10.8% since the beginning of the year, contrasting with the S&P 500's gain of 16.5% [3] - The company's Zacks Rank is currently 3 (Hold), indicating expected performance in line with the market in the near future [6] - The outlook for the stock's price movement will largely depend on management's commentary during the earnings call and future earnings expectations [3][4] Industry Context - The Security industry, to which Qualys belongs, is currently ranked in the bottom 35% of over 250 Zacks industries, suggesting potential challenges ahead [8] - The performance of Qualys may also be influenced by the overall industry outlook, as empirical research indicates a strong correlation between stock movements and earnings estimate revisions [5][8]