Qualys Inc (QLYS, Financial), a leading provider of cloud security and compliance solutions, has seen a significant surge in its stock price over the past three months. The company's stock price has risen by 15.91% over the past quarter, from a price of $144.15 to its current price of $166.95. This impressive performance has been accompanied by a market capitalization of $6.13 billion, reflecting the company's robust financial health and investor confidence.
Stock Performance Analysis
Over the past week, Qualys Inc's stock price has seen a gain of 5.12%, further solidifying its strong performance. The company's GF Value, a measure of a stock's intrinsic value as defined by GuruFocus.com, currently stands at $167.58. This suggests that the stock is fairly valued, providing a balanced investment opportunity for value investors. Three months ago, the GF Value was $164.05, indicating that the stock was modestly undervalued at that time. This recent surge in the stock price aligns with the increase in the GF Value, reflecting the company's consistent growth and strong financial performance.
Introduction to Qualys Inc
Founded in 1999 and publicly listed in 2012, Qualys Inc is a California-based company that provides cloud security and compliance solutions. The company serves over 10,000 customers worldwide, primarily small- and medium-sized businesses. As a key player in the software industry, Qualys Inc has established a strong reputation for its innovative solutions and robust business model.
Profitability Analysis
Qualys Inc boasts a Profitability Rank of 10/10, indicating a high level of profitability. The company's Operating Margin of 27.09% is better than 93.71% of companies in the same industry. Furthermore, the company's ROE, ROA, and ROIC, which are calculated as Net Income divided by its average Total Stockholders Equity, Total Assets, and capital invested in its business respectively, are all higher than the majority of companies in the industry. This consistent profitability over the past 10 years further underscores the company's strong financial performance.
Growth Analysis
Qualys Inc's Growth Rank of 10/10 indicates strong growth in terms of revenue and profitability. The company's 3-year and 5-year revenue growth rates per share are better than the majority of companies in the industry. Furthermore, the company's future revenue growth rate estimate of 12.78% is better than 56.52% of companies in the industry. The company's 3-year and 5-year EPS without NRI growth rates are also better than the majority of companies in the industry, indicating a promising future for the company.
Top Holders of the Stock
The top three holders of Qualys Inc's stock are Ron Baron (Trades, Portfolio), Jim Simons (Trades, Portfolio), and Joel Greenblatt (Trades, Portfolio). Ron Baron (Trades, Portfolio) holds 146,008 shares, accounting for 0.4% of the total shares. Jim Simons (Trades, Portfolio) holds 137,600 shares, representing 0.37% of the total shares. Joel Greenblatt (Trades, Portfolio) holds 76,243 shares, accounting for 0.21% of the total shares. These significant holdings reflect the confidence of these renowned investors in the company's future prospects.
Competitor Analysis
Qualys Inc operates in a competitive market, with key competitors including Informatica Inc (INFA, Financial) with a market cap of $6.64 billion, SPS Commerce Inc (SPSC, Financial) with a market cap of $6.07 billion, and Affirm Holdings Inc (AFRM, Financial) with a market cap of $6.86 billion. Despite the intense competition, Qualys Inc's strong financial performance and robust growth prospects position it well in the industry.
Conclusion
In conclusion, Qualys Inc's impressive stock performance, high profitability, and strong growth prospects make it a compelling investment opportunity. The company's robust financial health, as reflected in its high profitability rank and strong growth rank, coupled with its fair valuation, provide a solid foundation for future growth. Despite facing stiff competition, Qualys Inc's innovative solutions and strong customer base position it well for continued success in the market.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
