Contrasting WaveDancer (NASDAQ:WAVD) & Tenable (NASDAQ:TENB)

Tenable (NASDAQ:TENB) and WaveDancer (NASDAQ:WAVD) are both computer and technology companies, but which is the superior stock? We will contrast the two companies based on the strength of their institutional ownership, dividends, analyst recommendations, profitability, risk, valuation and earnings.

Risk & Volatility

Tenable has a beta of 0.83, indicating that its stock price is 17% less volatile than the S&P 500. Comparatively, WaveDancer has a beta of 3.15, indicating that its stock price is 215% more volatile than the S&P 500.

Valuation and Earnings

This table compares Tenable and WaveDancer”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Tenable	$798.71 million	6.09	-$78.28 million	($0.58)	-70.38
WaveDancer	$7.74 million	0.82	-$2.03 million	N/A	N/A

WaveDancer has lower revenue, but higher earnings than Tenable.

Institutional and Insider Ownership

89.1% of Tenable shares are owned by institutional investors. Comparatively, 5.0% of WaveDancer shares are owned by institutional investors. 4.3% of Tenable shares are owned by company insiders. Comparatively, 22.7% of WaveDancer shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Analyst Ratings

This is a breakdown of current ratings and target prices for Tenable and WaveDancer, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Tenable	0	4	11	1	2.81
WaveDancer	0	0	0	0	N/A

Tenable presently has a consensus price target of $52.67, indicating a potential upside of 29.02%. Given Tenable’s higher possible upside, equities research analysts plainly believe Tenable is more favorable than WaveDancer.

Profitability

This table compares Tenable and WaveDancer’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Tenable	-7.77%	-7.63%	-1.72%
WaveDancer	-17.55%	-57.30%	-27.44%

Summary

Tenable beats WaveDancer on 9 of the 12 factors compared between the two stocks.

About Tenable

Tenable Holdings, Inc. provides cyber exposure solutions for in the Americas, Europe, the Middle East, Africa, the Asia Pacific, and Japan. Its platforms include Tenable Vulnerability Management, a cloud-delivered software as a service that provides organizations with a risk-based view of traditional and modern attack surfaces; Tenable Cloud Security, a cloud-native cloud security solutions for security teams to continuously assess the security posture; Tenable Identity Exposure, a solution to secure Active Directory environments; Tenable Web App Scanning, which provides scanning for modern web applications; Tenable Lumin Exposure View, a measurement tool; Tenable Attack Surface Management, an external attack surface management solution; Tenable Security Center, an on-premises solution that provides a risk-based view of an organization’s IT, security and compliance posture; and Tenable OT Security, an operational technology security solution which provides threat detection, asset tracking, vulnerability management, and configuration control capabilities. The company also offers Nessus, a vulnerability assessment solution for cybersecurity industry and enterprise platform; and Nessus Expert, that enables users to programmatically detect cloud infrastructure misconfigurations and vulnerabilities in the design and build phase. Tenable Holdings, Inc. was founded in 2002 and is headquartered in Columbia, Maryland.

About WaveDancer

WaveDancer, Inc. develops and maintains information technology systems in the United States. The company also modernizes client information systems; and offers other IT-related professional services to government and commercial organizations. In addition, it offers IT consulting, development, training, migration, and on-site project support; and software development, system modernizations, cloud services, and cybersecurity services. The company was formerly known as Information Analysis Incorporated and changed its name to WaveDancer, Inc. in December 2021. WaveDancer, Inc. was incorporated in 1979 and is headquartered in Fairfax, Virginia.