Qualys (NASDAQ:QLYS) Reaches New 1-Year High on Strong Earnings

Qualys, Inc. (NASDAQ:QLYS) shares hit a new 52-week high on Wednesday following a stronger than expected earnings report. The company traded as high as $183.16 and last traded at $198.9250, with a volume of 4106 shares changing hands. The stock had previously closed at $161.06.

The software maker reported $1.98 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.78 by $0.20. Qualys had a net margin of 29.41% and a return on equity of 37.15%. The business had revenue of $182.18 million during the quarter, compared to the consensus estimate of $178.57 million. During the same period in the prior year, the firm earned $1.68 EPS. Qualys’s quarterly revenue was up 11.1% compared to the same quarter last year. Qualys has set its FY 2026 guidance at 7.740-7.880 EPS and its Q3 2026 guidance at 1.910-1.980 EPS.

Qualys News Roundup

Here are the key news stories impacting Qualys this week:

• Positive Sentiment: Q2 results exceeded expectations. Qualys reported adjusted EPS of $1.98, surpassing the $1.78 consensus estimate and rising from $1.68 a year earlier. Revenue increased 11.1% year over year to $182.18 million, ahead of the $178.57 million forecast. Qualys Announces Second Quarter 2026 Financial Results
• Positive Sentiment: Full-year guidance was raised above analyst expectations. Management now projects 2026 revenue of $732 million to $738 million, compared with prior guidance of $721 million to $727 million, and EPS of $7.74 to $7.88 versus the $7.16 consensus. Third-quarter revenue guidance of $185.5 million to $187.5 million and EPS guidance of $1.91 to $1.98 also exceed estimates.
• Positive Sentiment: Profitability and growth initiatives supported the bullish reaction. Adjusted EBITDA reached $83.8 million. Qualys highlighted demand for AI-related security products, Risk Operations Center adoption, federal business, partner execution and early QFlex customer engagement as growth drivers. Qualys Strong Q2 Results and Raised Guidance
• Positive Sentiment: InstaScan expands Qualys’ AI-enabled security offering. The new capability uses existing asset telemetry and AI-driven correlation to identify newly disclosed vulnerabilities without waiting for traditional scan windows, potentially improving the platform’s value to enterprise customers. Qualys Launches InstaScan
• Neutral Sentiment: Management will attend Canaccord Genuity’s 46th Annual Growth Conference for a fireside chat and one-on-one investor meetings. The event could provide additional detail on demand and the raised outlook but does not itself change financial guidance. Qualys Investor Conference Announcement
• Negative Sentiment: CFO Joo Mi Kim sold 1,627 shares worth approximately $249,000 under a pre-arranged Rule 10b5-1 plan. The sale is relatively small compared with her remaining ownership and appears scheduled, limiting its significance, but continued insider selling may weigh modestly on sentiment.

Wall Street Analyst Weigh In

Several equities research analysts have recently issued reports on the company. Piper Sandler reaffirmed a “neutral” rating on shares of Qualys in a research report on Wednesday. Royal Bank Of Canada restated a “sector perform” rating and set a $145.00 target price on shares of Qualys in a research note on Thursday, July 16th. Canaccord Genuity Group decreased their target price on Qualys from $150.00 to $125.00 and set a “buy” rating for the company in a research note on Wednesday, May 6th. Morgan Stanley reaffirmed an “underweight” rating on shares of Qualys in a report on Wednesday. Finally, TD Cowen reaffirmed a “hold” rating on shares of Qualys in a research report on Wednesday. One analyst has rated the stock with a Strong Buy rating, three have issued a Buy rating, twelve have issued a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, Qualys currently has an average rating of “Hold” and an average target price of $144.87.

Insider Activity at Qualys

In other news, insider Bruce K. Posey sold 882 shares of the company’s stock in a transaction dated Monday, July 20th. The shares were sold at an average price of $158.17, for a total transaction of $139,505.94. Following the completion of the transaction, the insider owned 62,689 shares of the company’s stock, valued at approximately $9,915,519.13. This represents a 1.39% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Sumedh S. Thakar sold 30,000 shares of the stock in a transaction dated Tuesday, June 30th. The shares were sold at an average price of $135.00, for a total transaction of $4,050,000.00. Following the completion of the sale, the chief executive officer owned 196,686 shares of the company’s stock, valued at approximately $26,552,610. The trade was a 13.23% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 76,855 shares of company stock valued at $9,706,670 in the last quarter. Company insiders own 0.72% of the company’s stock.

Hedge Funds Weigh In On Qualys

Several institutional investors and hedge funds have recently added to or reduced their stakes in QLYS. First Trust Advisors LP lifted its position in shares of Qualys by 24.1% in the 4th quarter. First Trust Advisors LP now owns 1,372,587 shares of the software maker’s stock worth $182,417,000 after acquiring an additional 266,924 shares during the period. Geode Capital Management LLC increased its position in shares of Qualys by 4.0% during the fourth quarter. Geode Capital Management LLC now owns 1,256,002 shares of the software maker’s stock valued at $168,380,000 after purchasing an additional 48,877 shares during the period. Legal & General Group Plc increased its position in shares of Qualys by 7.0% during the fourth quarter. Legal & General Group Plc now owns 1,156,412 shares of the software maker’s stock valued at $153,687,000 after purchasing an additional 75,397 shares during the period. AQR Capital Management LLC raised its stake in shares of Qualys by 46.9% in the second quarter. AQR Capital Management LLC now owns 1,012,100 shares of the software maker’s stock valued at $144,133,000 after purchasing an additional 323,324 shares in the last quarter. Finally, Arrowstreet Capital Limited Partnership raised its stake in shares of Qualys by 127.0% in the first quarter. Arrowstreet Capital Limited Partnership now owns 832,796 shares of the software maker’s stock valued at $73,161,000 after purchasing an additional 465,952 shares in the last quarter. 99.31% of the stock is currently owned by institutional investors.

Qualys Stock Up 23.5%

The stock has a market capitalization of $7.01 billion, a P/E ratio of 35.71 and a beta of 0.60. The firm has a 50-day moving average of $131.16 and a 200 day moving average of $110.99.

About Qualys

Qualys, Inc (NASDAQ: QLYS) is a leading provider of cloud-based security and compliance solutions designed to help organizations streamline their IT security programs. Operating on a unified, modular platform, Qualys offers continuous visibility into global IT assets through a combination of lightweight cloud agents and on-premises scanner appliances. The platform supports an array of security and compliance use cases, enabling real-time detection of vulnerabilities, policy violations and misconfigurations across on-premises, cloud and hybrid environments.

The company’s flagship Qualys Cloud Platform delivers a suite of integrated applications, including vulnerability management, detection and response (VMDR), policy compliance, web application scanning, file integrity monitoring, asset inventory and container security.