Qualys (QLYS): Interesting Player in the Cybersecurity SpaceKey Rationale:
Significantly undervalued tech company with uncorrelated returns that's been on my watchlist.
Company Profile:
Qualys is a cloud security and compliance solutions provider that helps businesses identify and manage their security risks and compliance requirements. The California-based company has more than 10,000 customers worldwide, the majority of which are small- and medium-size businesses. Qualys was founded in 1999 and went public in 2012.
Competitors:
SPSC, PANW, CRWD, FTNT
Risks:
The industry moves at a rapid pace. Small cap middle market player may be competing against larger Cybersecurity players. Long-term restraints.
QLYS
Ideal Bullish SetupQLYS has one of my favorite re-accumulation patterns that is setting up for a 40% rally over the next few months.
Breakout level = 172.49 (it should complete the breakout on 3/12 -3/13)
*Initial Target = 175 by 3/14/2024
** Target 1 = 184 by 3/22
Target 2 = 192
~Initial Target and Target 1 will hit on the first leg up following this breakout, Target 2 might not hit until the second leg up after a pullback to form higher low.
Expected path/forecast is the black arrow, summary:
- run to 184-192 by end of March 2024 (as early as 3/22), sign of strength
- Pullback to test 172-175 for support, backup/retest
- If that holds it will begin markup to 245 (this could take until August-November of 2024)
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Options Play:
QLYS Apr 19 2024 185.00 calls for around 3.35
Not financial advice
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QLYS trades similar to the rest of the cybersecurity names, so this will be a great supplement play to my main cyber longs PANW and CRWD. QLYS just has more affordable call premiums and can buy more time. Its setup is also more stable to support a more sustained run.
QLYS bouncing off previous resistance as support?I am using IBD system of buying here, the cloud security sector has been hot, and I like CYBR also, but QLYS is in proper buy zone right now. I also considered CNC and would like to find a way into NHTC, CBM.
99 Composite
99 EPS
98 Relative Strength
A SMR
B+ Acc / Distribution
Current Earnings
EPS Due Date N/A
EPS Rating 99
EPS % Chg (Last Qtr) 200%
Last 3 Qtrs Avg EPS Growth 123%
# Qtrs of EPS Acceleration 2
EPS Est % Chg (Current Qtr) N/A N/A
Estimate Revisions N/A
Last Quarter % Earnings Surprise 66.7%
Annual Earnings
3 Yr EPS Growth Rate 108%
Consecutive Yrs of Annual EPS Growth 1
EPS Est % Chg for Current Year 15%
Sales, Margin, ROE
SMR Rating A
Sales % Chg (Last Qtr) 26%
3 Yr Sales Growth Rate 20%
Annual Pre-Tax Margin 14.3%
Annual ROE 13.4%
Debt/Equity Ratio 0%
TECHNICAL PERFORMANCE (QLYS)
Price And Volume
Price $51.16
RS Rating 98
% Off 52 Week High -5.42%
Price vs. 50-Day Moving Average 10.88%
50-Day Average Volume 452,800
Supply And Demand
Market Capitalization $1.8 B
Accumulation/Distribution Rating B+
Up/Down Volume 1.3
% Change In Funds Owning Stock 9%
Qtrs Of Increasing Fund Ownership 8
PANW- For Those Who Like To Use Support To Go Long Off Of?3-10 For those who like to buy stocks in uptrends
pulling back to support? You need only ask one question.
Where is it? Look no further than the green trend lines.
Should this issue tag those zones that is where you want to
see the stock stabilize. Keep in mind the 50 day simple moving average is also at 130.00 so you see we have three technical piece of information to tell us to pay attention to that 130.00 zone.
Remember, the rule of thumb is old resistance once
broken tends to become new support. In this chart it looks to be around 130 on multiple fronts.
As always, trade at your own risk, this is strictly for informational
and educational purposes only,
these are not buy recommendations.
CYBR- 38.2%, 50% Fib Zones are the buy the dips levels to watch3-4 Well what do you know. A stock that 9 days ago every
momo person on the planet just had to have out of fear of
being left behind AFTER they have already been left behind
(what else is new) is now finally pulling back and building a bull channel.
The big question is how long will it build out and how deep will the
pullback be if it indeed continues. Nobody knows, BUT we have clues
though to guide us and those are Fibonacci retracement zones where
stabilization can occur, that's what one wants to be watching for.
Notice we have small zones where support can occur in tandem with
the 38.2% and 50% fib zones?
As always, trade at your own risk all information is for educational
informational and educational purposes only.