The stock market has been volatile during the last few months. The new quarter started with declines, and the last one ended with significant losses. However, experts hope that the situation will change in the coming months. China already seems to recover. While the U.S. and Europe are still fighting the coronavirus, the authorities employ different measures to help sinking economics.
While markets are trying to recover, experts recommend some stocks with a low point of entry and high upside which have a good gaining potential. Goldman Sachs analysts think that Tenable Holdings is such a company.
Why is Tenable Holdings a strong buy?
Tenable is a cyber-security company, which offers tech expertise and SaaS platforms to assess and manage data vulnerability. Its subsidiaries provide cloud solutions for businesses worldwide, in the energy, education, healthcare, finance, and retail sectors. Like many small-cap tech companies, Tenable operates at a net loss.
The company beat the forecast by 4 cents in the last quarter, reporting only a 24 cents loss per share. Furthermore, Tenable has beaten the estimates for the previous six quarters. The company’s revenues are soaring. They reached $97 million in the fourth quarter, representing 29% year-over-year growth.
Goldman Sachs tech sector expert, Brian Essex, thinks that Tenable is a good choice. He set his price target at $29 for this stock, indicating a 29% upside potential.
Essex stated that Tenable has been growing rapidly during the last several years. Furthermore, the company can leverage its best-of-breed reputation in vulnerability assessment to get further traction among enterprises looking to evaluate their risk exposure.
The company hasn’t brought significant gains to the shareholders so far, buy it has made big progress and experts are positive, that it will turn more profitable soon. Wall Street analysts agree about Tenable’s bullish stance. The stock’s average price target is set at $33 per share, and it suggests a 47% upside from the current share price.