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Qualys (QLYS) Stock Fundamentals, Analysis & Risk Signals

Health score, competitive moat, risk signals, and key metrics at a glance.

NasdaqGS•Technology•Software - Infrastructure
A
ExcellentMetricSide Score: 87/100
ProfitabilityProfit30/30
GrowthGrowth25/25
Balance SheetBalance17/25
Cash QualityCash15/20
Price & Volume

Qualys, Inc. provides cloud-based platform delivering information technology (IT), security, and compliance solutions in the United States and internationally. The company provides Qualys Cloud Apps, which include cybersecurity asset management; enterprise TruRisk management; vulnerability management, detection, and response; total application security; patch management; custom assessment and remediation; multi-vector endpoint detection and response; policy audit; and file integrity monitoring. It offers TotalCloud, a cloud-native application protection platform, which include cloud workload protection, cloud detection and response, cloud security posture management, infrastructure as code, SaaS security posture management, cloud infrastructure and entitlement management, and Kubernetes and container security. In addition, the company markets and sells IT, security, and compliance solutions; offers Qualys' Enterprise TruRisk platform that enables customers to identify and manage IT and operational technology assets; collect and analyze IT security data; discover and prioritize vulnerabilities; quantify cyber risk exposure; recommend and implement remediation actions; and verify the implementation of such actions. Further, it offers asset tagging and management; reporting and dashboards; questionnaires and collaboration; remediation and workflow; big data correlation and analytics engine; and alerts and notifications. The company offers its solutions to enterprises, government entities, and small and medium-sized businesses in various industries, including education, financial services, government, healthcare, insurance, manufacturing, media, retail, technology, and utilities through its sales teams, as well as through security consulting organizations, managed service providers, resellers, cloud providers, and consulting firms. Qualys, Inc. was incorporated in 1999 and is headquartered in Foster City, California.

Moat Signals

Competitive analysis based on 63 quarters of fundamental data

Pricing Power

Strong Moat

Operating margins are expanding at ~32.6%, suggesting durable pricing power and cost discipline.

Competitive Advantage

Strong Moat

Consistently high ROE averaging 36.7% suggests a durable competitive advantage and efficient capital allocation.

Risk Signals

Data-driven red flags and warnings across 63 quarters

Low Risk

Margin Pressure

Healthy

Margins are stable or improving at ~34.0% — no sign of cost or pricing stress.

Earnings Quality

Healthy

FCF covers net income by 1.4x on average — earnings are well-supported by cash generation.

Leverage Risk

Healthy

Limited debt-to-equity data available.

Revenue Decline

Healthy

Revenue is stable or growing over recent quarters — demand appears durable.

Cash Burn

Healthy

Free cash flow is consistently positive — the business self-funds without external capital reliance.

Share Dilution

Healthy

Shares decreased 4.8% — net buybacks are reducing shares outstanding and boosting per-share value.

Metrics at a Glance

as of March 2026

Revenue & Profit

Revenue, EBITDA, operating income, net income, EPS, and shares

TTM Revenue
$685.87M
10.3%
Q. Revenue
$176.65M
TTM EBITDA
$266.87M
13.0%
TTM Op. Income
N/A
Q. Op. Income
$62.92M
TTM Net Income
$201.43M
11.0%
Q. Net Income
$50.64M
EPS
N/A
Shares Out.
$35.68M
3.0%
$685.87M in TTM revenue grew 10.3% YoY, reaching $176.65M last quarter. TTM EBITDA of $266.87M and TTM operating income of N/A shows growth is flowing through. Net income of $201.43M TTM confirms the company is converting revenue into profit. Revenue is growing at a healthy pace — a signal to hold.

Margins

Gross, EBITDA, operating, and net margin trends

EBITDA Margin
38.5%
Op. Margin
35.6%
10.1%
Net Margin
28.7%
3.6%
Op. margin of 35.6% is up 3.3% YoY — cost efficiency is improving. Net margin at 28.7%.

Price Ratios

P/E, P/S, P/B, EV/EBITDA, FCF yield, and earnings yield

P/E Ratio
15.6x
P/S Ratio
4.6x
P/B Ratio
5.5x
At 15.6x P/E, the stock trades in line with market averages — fairly valued. P/S of 4.6x and P/B of 5.5x provide additional context. Assess whether the current multiple is justified by the company's growth and profitability trajectory.

Assets & Liabilities

Total assets, cash, debt, book value, and leverage

Total Assets
$1.09B
Cash
$279.47M
Long-Term Debt
N/A
Book Value
$569.87M
D/E Ratio
N/A
Debt/EBITDA
0.0

Cash Flow

Operating cash flow, free cash flow, FCF margin, and earnings quality

TTM Free Cash Flow
N/A
FCF Margin
NaN%
FCF / Net Income
NaN
TTM FCF of N/A. The FCF / Net Income ratio of NaNx shows cash consumption — the business is not yet self-funding.

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Cash Generation

Strong Moat

Free cash flow is consistently positive and growing — a hallmark of a capital-light business that can self-fund growth.

Demand Durability

Strong Moat

TTM revenue has grown consistently (7 of 7 quarters up), with ~18.0% growth over the period. Strong demand durability.