Latest news with #PANW
Yahoo
15-07-2025
- Business
- Yahoo
PANW Stock Trades at a Discount: Should You Buy, Sell or Hold?
Palo Alto Networks, Inc. PANW is currently trading at a discounted valuation, making it an intriguing stock for investors to consider when deciding whether to buy, hold or sell. With a forward 12-month price-to-earnings (P/E) ratio of 52.56, PANW is significantly cheaper than the Zacks Security industry average of also trades at a lower valuation compared to rivals, such as CrowdStrike CRWD, CyberArk CYBR and Zscaler ZS. Currently, CrowdStrike, CyberArk and Zscaler have P/E multiples of 117.61, 86.89 and 82.05, respectively. Palo Alto Networks' forward 12-month price-to-sales (P/S) ratio of 12.01 is also below the industry average of 14.01, further reflecting its reasonable discounted valuation of Palo Alto Networks' share price raises the question: Should investors buy, hold or sell PANW stock? Image Source: Zacks Investment Research Palo Alto Networks is well-positioned to benefit from the rising demand for advanced cybersecurity solutions. According to Fortune Business Insights, the global cybersecurity market is projected to expand from $193.73 billion in 2024 to $562.72 billion by 2032, representing a massive addressable market. As cyber threats become more sophisticated, enterprises are increasingly prioritizing multi-layered security platforms, a trend that directly contributes to PANW's strengths. The company's continued innovation in AI, automation and cloud security reinforces its competitive lead. Its strategic partnership with NVIDIA to develop AI-powered private 5G security solutions reflects its focus on next-generation technologies. This collaboration strengthens PANW's capabilities in protecting data and networks in 5G environments, a rapidly growing market Palo Alto Networks' transition to a platform-based model has been a game-changer. By bundling multiple security products into a comprehensive cybersecurity platform, the company generates recurring revenue streams, boosting financial stability and customer platformization strategy has enabled PANW to secure more than 90 net new platform deals in the third quarter of fiscal 2025 alone. On its recent earnings call, PANW also announced that its customers with multiple platformizations grew nearly 70% year over year, contributing massively to the top line. Despite a bright long-term prospect, Palo Alto Networks is experiencing a slowdown in its sales growth. Notably, the company's revenue growth rate has been in the mid-teen percentage range over the past year, a sharp contrast from the mid-20s percentage in fiscal 2023. In the recently reported financial results for the third quarter of fiscal 2025, revenues grew 15.7% year over year. Also, in the first two quarters of the fiscal year, the growth rate had been around 14%.The Zacks Consensus Estimate for fiscal 2025 and 2026 indicates revenue growth to remain in the mid-teen percentage range. Image Source: Zacks Investment Research Another concern is the slowing growth of Next-Generation Security (NGS) annual recurring revenue (ARR), a key metric for Palo Alto Networks' long-term financial health. The company has reported five consecutive quarters of decelerating NGS ARR growth, with fiscal 2025 projections suggesting a further slowdown to 31-32% growth compared to the 45%+ growth in previous years. While this is still impressive, the decelerating momentum has disappointed investors, considering the rising demand for cloud security and AI-powered solutions. Additionally, PANW is experiencing shortened contract durations and a slowdown in transition to PANW's cloud-based artificial intelligence (AI)-powered platforms from its legacy platforms. Palo Alto Networks' Cortex Cloud platform, which is a replacement for one of its key offerings, Prisma Cloud, is still in its early stages and has not yet achieved the scale necessary to optimize cost efficiencies, leading to PANW experiencing contraction in PANW's $1 million-plus deals are shifting from multi-year payments to annual payments, causing the shortening of the sales cycle and affecting top-line stability. These factors, along with the United States' stance toward China, Europe and other major economies related to tariffs, have kept the stock highly volatile in recent to date, shares of Palo Alto Networks have risen 4.8%, underperforming the industry's growth of 17.1%. The stock has also underperformed its peers, including CyberArk, CrowdStrike and Zscaler. Shares of CyberArk, CrowdStrike and Zscaler have soared 13.2%, 39.2% and 61.4%, respectively, year to date. Image Source: Zacks Investment Research Palo Alto Networks shares have dipped below their 50-day moving average, a bearish technical signal that indicates the potential for continued downward pressure in the short term. Image Source: Zacks Investment Research Palo Alto Networks remains a leader in cybersecurity, with a strong long-term growth trajectory, continued AI-driven innovation and a shift toward a more predictable recurring revenue model. However, slowing revenue and NGS ARR growth rates suggest that near-term upside may be these headwinds, Palo Alto Networks' discounted valuation offers some downside protection. This discounted pricing makes PANW an attractive long-term hold, particularly for investors seeking exposure to cybersecurity growth at a fair price. Currently, Palo Alto Networks carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Palo Alto Networks, Inc. (PANW) : Free Stock Analysis Report CyberArk Software Ltd. (CYBR) : Free Stock Analysis Report Zscaler, Inc. (ZS) : Free Stock Analysis Report CrowdStrike (CRWD) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research
Yahoo
15-07-2025
- Business
- Yahoo
Why Palo Alto Networks (PANW) Outpaced the Stock Market Today
Palo Alto Networks (PANW) closed at $190.72 in the latest trading session, marking a +1.78% move from the prior day. The stock's change was more than the S&P 500's daily gain of 0.14%. Elsewhere, the Dow saw an upswing of 0.2%, while the tech-heavy Nasdaq appreciated by 0.27%. The stock of security software maker has fallen by 4.52% in the past month, lagging the Computer and Technology sector's gain of 5.36% and the S&P 500's gain of 3.97%. The investment community will be paying close attention to the earnings performance of Palo Alto Networks in its upcoming release. The company is expected to report EPS of $0.88, up 17.33% from the prior-year quarter. In the meantime, our current consensus estimate forecasts the revenue to be $2.5 billion, indicating a 14.17% growth compared to the corresponding quarter of the prior year. For the annual period, the Zacks Consensus Estimates anticipate earnings of $3.27 per share and a revenue of $9.19 billion, signifying shifts of +15.14% and +14.42%, respectively, from the last year. It is also important to note the recent changes to analyst estimates for Palo Alto Networks. Such recent modifications usually signify the changing landscape of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook. Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system. The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has remained unchanged. Palo Alto Networks is holding a Zacks Rank of #3 (Hold) right now. Digging into valuation, Palo Alto Networks currently has a Forward P/E ratio of 57.24. Its industry sports an average Forward P/E of 71.99, so one might conclude that Palo Alto Networks is trading at a discount comparatively. Meanwhile, PANW's PEG ratio is currently 2.81. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Security stocks are, on average, holding a PEG ratio of 2.98 based on yesterday's closing prices. The Security industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 73, this industry ranks in the top 30% of all industries, numbering over 250. The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1. Don't forget to use to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Palo Alto Networks, Inc. (PANW) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
09-07-2025
- Business
- Yahoo
Why the Market Dipped But Palo Alto Networks (PANW) Gained Today
Palo Alto Networks (PANW) closed the most recent trading day at $203.99, moving +1.28% from the previous trading session. The stock exceeded the S&P 500, which registered a loss of 0.07% for the day. Elsewhere, the Dow saw a downswing of 0.37%, while the tech-heavy Nasdaq appreciated by 0.03%. Shares of the security software maker witnessed a gain of 2.59% over the previous month, trailing the performance of the Computer and Technology sector with its gain of 5.58%, and the S&P 500's gain of 3.94%. Analysts and investors alike will be keeping a close eye on the performance of Palo Alto Networks in its upcoming earnings disclosure. The company is forecasted to report an EPS of $0.88, showcasing a 17.33% upward movement from the corresponding quarter of the prior year. Simultaneously, our latest consensus estimate expects the revenue to be $2.5 billion, showing a 14.17% escalation compared to the year-ago quarter. For the full year, the Zacks Consensus Estimates project earnings of $3.27 per share and a revenue of $9.19 billion, demonstrating changes of +15.14% and +14.42%, respectively, from the preceding year. Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Palo Alto Networks. Recent revisions tend to reflect the latest near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability. Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model. The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has remained unchanged. Palo Alto Networks is currently a Zacks Rank #3 (Hold). Digging into valuation, Palo Alto Networks currently has a Forward P/E ratio of 61.52. This represents a discount compared to its industry average Forward P/E of 76.41. One should further note that PANW currently holds a PEG ratio of 3.02. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. As the market closed yesterday, the Security industry was having an average PEG ratio of 3.2. The Security industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 52, finds itself in the top 22% echelons of all 250+ industries. The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1. Don't forget to use to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Palo Alto Networks, Inc. (PANW) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research
Yahoo
07-07-2025
- Business
- Yahoo
Zacks Market Edge Highlights: PANW, PLTR and AVGO
Chicago, IL – July 7, 2025 – Zacks Market Edge is a podcast hosted weekly by Zacks Stock Strategist Tracey Ryniec. Every week, Tracey will be joined by guests to discuss the hottest investing topics in stocks, bonds and ETFs and how it impacts your life. To listen to the podcast, click here: Welcome to Episode #451 of the Zacks Market Edge Podcast. PANW, PLTR and AVGO are breaking out to new highs in 2025. Each of these technology companies are expected to see double digit earnings growth in 2025. Investors should put PANW, PLTR and AVGO on their short lists. Every week, host and Zacks stock strategist, Tracey Ryniec, will be joined by guests to discuss the hottest investing topics in stocks, bonds, and ETFs and how it impacts your life. This week, Tracey is going solo to profile 3 red-hot growth stocks investors should keep on their short lists for the second half of 2025. There is nothing cheap about these stocks. Investors are buying the massive earnings and sales growth for this year and next. These 3 stocks are breaking out to new highs but have momentum. The growth stock bulls are charging. 1. Palo Alto Networks, Inc. PANW Palo Alto Networks is a global cybersecurity company. It's a large cap company with a market cap of $133.7 billion. Earnings rose 27.9% in fiscal 2024 and are expected to jump another 15.1% in fiscal 2025. Shares of Palo Alto Networks are trading near their all-time highs as cybersecurity demand remains elevated. Year-to-date, it's up 8.2%. Palo Alto Networks has a PEG ratio, which measures the price-to-earnings divided by the growth, of 3.0. A PEG ratio under 1.0 indicates value. A PEG ratio over 5 means a company is expensive. Palo Alto Networks is in the middle. Not too expensive but not a value either. Should a cybersecurity company like Palo Alto Networks be on your watch list in the second half? 2. Palantir Technologies PLTR Palantir is an AI-driven software company with a market cap of $308 billion. It has been one of the hottest stocks of 2025, gaining 75% year-to-date. Palantir grew earnings by 64% in 2024 and is expected to grow them another 41.5% in 2025. However, even with the growth, Palantir is an expensive stock. Palantir trades with a PEG ratio of 7. It also has a price-to-sales (P/S) ratio of 99. A P/S ratio over 10 is considered expensive. But the shares keep soaring to new highs. Should investors ride the Palantir momentum in the second half of the year? 3. Broadcom Inc. AVGO Broadcom is a $1.2 trillion dollar semiconductor company. In 2024, it grew earnings by 15.4%. But in 2025, analysts believe it will step it up a notch, with earnings expected to jump 36.3%. Shares of Broadcom are up 16.3% year-to-date and it is hitting new all-time highs. Compared to other red-hot technology companies, Broadcom has an attractive PEG ratio of just 1.6. That's almost cheap. Is Broadcom a cheaper way to play the AI Revolution? What Else Should You Know About Palo Alto Networks, Palantir and Broadcom? Tune into this week's podcast to find out. Why Haven't You Looked at Zacks' Top Stocks? Since 2000, our top stock-picking strategies have blown away the S&P's +7.7% average gain per year. Amazingly, they soared with average gains of +48.4%, +50.2% and +56.7% per year. Today you can access their live picks without cost or obligation. See Stocks Free >> Media Contact Zacks Investment Research 800-767-3771 ext. 9339 support@ Past performance is no guarantee of future results. Inherent in any investment is the potential for material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit for information about the performance numbers displayed in this press release. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Broadcom Inc. (AVGO) : Free Stock Analysis Report Palo Alto Networks, Inc. (PANW) : Free Stock Analysis Report Palantir Technologies Inc. (PLTR) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research
Globe and Mail
07-07-2025
- Business
- Globe and Mail
Zacks Market Edge Highlights: PANW, PLTR and AVGO
For Immediate Release Chicago, IL – July 7, 2025 – Zacks Market Edge is a podcast hosted weekly by Zacks Stock Strategist Tracey Ryniec. Every week, Tracey will be joined by guests to discuss the hottest investing topics in stocks, bonds and ETFs and how it impacts your life. To listen to the podcast, click here: 3 Red-Hot Stocks for the 2nd Half of 2025 Welcome to Episode #451 of the Zacks Market Edge Podcast. 3 Takeaways PANW, PLTR and AVGO are breaking out to new highs in 2025. Each of these technology companies are expected to see double digit earnings growth in 2025. Investors should put PANW, PLTR and AVGO on their short lists. Every week, host and Zacks stock strategist, Tracey Ryniec, will be joined by guests to discuss the hottest investing topics in stocks, bonds, and ETFs and how it impacts your life. This week, Tracey is going solo to profile 3 red-hot growth stocks investors should keep on their short lists for the second half of 2025. There is nothing cheap about these stocks. Investors are buying the massive earnings and sales growth for this year and next. These 3 stocks are breaking out to new highs but have momentum. The growth stock bulls are charging. 3 Red Hot Growth Stocks for the Second Half 1. Palo Alto Networks, Inc. PANW Palo Alto Networks is a global cybersecurity company. It's a large cap company with a market cap of $133.7 billion. Earnings rose 27.9% in fiscal 2024 and are expected to jump another 15.1% in fiscal 2025. Shares of Palo Alto Networks are trading near their all-time highs as cybersecurity demand remains elevated. Year-to-date, it's up 8.2%. Palo Alto Networks has a PEG ratio, which measures the price-to-earnings divided by the growth, of 3.0. A PEG ratio under 1.0 indicates value. A PEG ratio over 5 means a company is expensive. Palo Alto Networks is in the middle. Not too expensive but not a value either. Should a cybersecurity company like Palo Alto Networks be on your watch list in the second half? 2. Palantir Technologies PLTR Palantir is an AI-driven software company with a market cap of $308 billion. It has been one of the hottest stocks of 2025, gaining 75% year-to-date. Palantir grew earnings by 64% in 2024 and is expected to grow them another 41.5% in 2025. However, even with the growth, Palantir is an expensive stock. Palantir trades with a PEG ratio of 7. It also has a price-to-sales (P/S) ratio of 99. A P/S ratio over 10 is considered expensive. But the shares keep soaring to new highs. Should investors ride the Palantir momentum in the second half of the year? 3. Broadcom Inc. AVGO Broadcom is a $1.2 trillion dollar semiconductor company. In 2024, it grew earnings by 15.4%. But in 2025, analysts believe it will step it up a notch, with earnings expected to jump 36.3%. Shares of Broadcom are up 16.3% year-to-date and it is hitting new all-time highs. Compared to other red-hot technology companies, Broadcom has an attractive PEG ratio of just 1.6. That's almost cheap. Is Broadcom a cheaper way to play the AI Revolution? What Else Should You Know About Palo Alto Networks, Palantir and Broadcom? Tune into this week's podcast to find out. Why Haven't You Looked at Zacks' Top Stocks? Since 2000, our top stock-picking strategies have blown away the S&P's +7.7% average gain per year. Amazingly, they soared with average gains of +48.4%, +50.2% and +56.7% per year. Today you can access their live picks without cost or obligation. See Stocks Free >> Media Contact Zacks Investment Research 800-767-3771 ext. 9339 support@ Past performance is no guarantee of future results. Inherent in any investment is the potential for material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit for information about the performance numbers displayed in this press release. Only $1 to See All Zacks' Buys and Sells We're not kidding. Several years ago, we shocked our members by offering them 30-day access to all our picks for the total sum of only $1. No obligation to spend another cent. Thousands have taken advantage of this opportunity. Thousands did not - they thought there must be a catch. Yes, we do have a reason. We want you to get acquainted with our portfolio services like Surprise Trader, Stocks Under $10, Technology Innovators, and more, that closed 256 positions with double- and triple-digit gains in 2024 alone. See Stocks Now >> Broadcom Inc. (AVGO): Free Stock Analysis Report Palo Alto Networks, Inc. (PANW): Free Stock Analysis Report Palantir Technologies Inc. (PLTR): Free Stock Analysis Report
