New York, Feb 23, 2026, 10:10 EST — Regular session
- Tenable dropped roughly 9% in the morning session, slipping below an already turbulent software sector.
- Fresh AI-powered security tools grab investors’ attention, while tariff jitters inject a broader risk-off mood.
- Attention now turns to what Tenable’s management says in their next public update, expected in early March.
Tenable Holdings Inc shares tumbled roughly 9% to $18.10 Monday morning, with investors skittish around cybersecurity stocks as AI-fueled competition rattled nerves again.
This shift is significant: Tenable operates in vulnerability management, a slice of security software investors now worry might be undercut as large AI model providers automate more tasks. The selloff has grown jumpy—traders have been fast to slash positions at even a suggestion that “good enough” security is migrating to general AI tools.
Things weren’t looking up to start with. Wall Street slipped out of the gate, risk appetite hampered by confusion over tariffs. President Donald Trump’s latest move: a 15% duty imposed after the Supreme Court knocked down his earlier, broader tariffs. (Reuters)
Cyber stocks have felt some heat after Anthropic announced its Claude Code Security tool on Feb. 20. The new feature, rolling out as a limited research preview, scans codebases for weak spots and suggests human-reviewed fixes. (Anthropic)
Jefferies, in a Feb. 21 note picked up by Investing.com, pointed to AI-powered products as a lingering competitive threat across vulnerability management, code scanning, and SIEM—the security log analysis segment. According to Jefferies, Qualys stands out as relatively shielded in vulnerability management, with Tenable next in line. Rapid7, though, could take the hardest hit if IT budgets move around. (Investing)
Some market players aren’t buying into the selloff. “There’s a steady sell-off in software, and today the security sector is hit with a mini-flash crash on a headline,” Dennis Dick, head trader at Triple D Trading, told Bloomberg, as reported by heise online. Jefferies analyst Joseph Gallo, also cited in the report, still sees cybersecurity as likely to gain from AI in the long run, despite the current drag from headlines. (heise online)
Tenable last saw a major catalyst back on Feb. 4, when it posted its results for the quarter and full year ended Dec. 31 and bumped up its share buyback authorization by another $150 million, per a filing and its official statement. “We are very pleased with the execution,” co-CEO Steve Vintz said. Co-CEO Mark Thurmond added that customers were treating Tenable One as a long-term platform investment. (SEC)
The risk here isn’t complicated. Should buyers decide AI vendors are capable of genuine, low-cost vulnerability discovery and remediation, security spending might move away from niche players. Multiples could shrink ahead of any revenue declines, and that sets the stage for a prolonged, grinding slump.
Right now, traders are eyeing if the stock finds a footing while the market processes fresh tariffs and new AI-security headlines. They’re also paying close attention to cybersecurity peers for any hint of early demand shifts.
Looking ahead, Tenable has its eyes on March 3. That’s when CEO Vintz and CFO Matt Brown are set to take the stage at the Morgan Stanley Technology, Media & Telecom Conference in San Francisco, according to a company notice dated Feb. 17. (Nasdaq)
