Its Prisma Cloud platform provides comprehensive security for cloud-based applications and data. Palo Alto Network has also developed the Cortex XDR platform, which provides endpoint detection and response (EDR) capabilities. This platform allows businesses to detect and respond to cyber threats stopping a hacker before they reach critical infrastructure. Therefore, I believe CrowdStrike still looks reasonably valued relative to its near-term growth. It’s not cheap, but its first-mover advantage in the cloud-native cybersecurity space, rising module adoption rates, and expanding margins all justify its higher valuation. Its stock probably won’t blast off right away, but it’s still a great growth play for long-term investors.
Since the ratings issued by these analysts are more favorable than their research would support because of the vested interest of their employers, they mislead investors far more often than they guide. The vested interest of brokerage firms in a stock they cover often results in a strong positive bias of their analysts in rating it. Our research shows that for every “Strong Sell” recommendation, brokerage firms assign five “Strong Buy” recommendations. PANW, +1.02% surged 8% after the cybersecurity company’s unusual late Friday report revealed earnings and a billings outlook above Street estimates as AI-backed cyber… The current ABR compares to an ABR of 1.22 a month ago based on 36 recommendations. Palo Alto Networks’ growth strategy focuses on expanding its product offerings and increasing its market share in the cybersecurity market.
- Both of those estimates easily exceeded Wall Street’s expectations.
- The Zacks Rank, on the other hand, is a quantitative model designed to harness the power of earnings estimate revisions.
- According to 0 analysts, Palo Alto Networks’s EPS will fall by 9.16% in the next year, reaching $2.29.
- Palo Alto Networks Inc is a leading cybersecurity company that provides advanced security solutions to businesses, governments and organizations worldwide.
- The industry with the best average Zacks Rank would be considered the top industry (1 out of 265), which would place it in the top 1% of Zacks Ranked Industries.
CrowdStrike expects its adjusted EPS to rise 85% year over year in the third quarter and 82%-84% for the full year. Both of those estimates easily exceeded Wall Street’s expectations. Those expanding margins suggest CrowdStrike still has plenty of pricing power, that it can afford to rein in its own spending, and that economies of scale are kicking in. This means that this stock is suited as a new addition to your portfolio as trading bullish markets is always a lot easier. Palo Alto is the leading name, in part, because of the company’s strong management, with Cramer on Wednesday calling CEO Nikesh Arora the Tom Brady of executives.
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In this period, the Palo Alto price would rise from $447 to $560, which is +25%. Palo Alto will start 2030 at $447, then soar to $456 within the first half of the year, and finish https://bigbostrade.com/ 2030 at $466. Dividend Per Share is a financial indicator equal to the ratio of the company’s net profit available for distribution to the annual average of ordinary shares.
On the other hand, earnings estimate revisions are at the core of the Zacks Rank. And empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements. Therefore, using the ABR to validate the Zacks Rank could be an efficient way of making a profitable investment decision. Its main business is in manufacturing and marketing networking equipment. Despite offering cybersecurity services as its secondary service, Cisco’s security business is the leading rival to Palo Alto, followed by Fortinet and CheckPoint, according to Gartner. Palo Alto Networks reassured analysts with its earnings report after a brief panic over its unusual timing.
Analyst price target for PANW
42 Wall Street equities research analysts have issued “buy,” “hold,” and “sell” ratings for Palo Alto Networks in the last twelve months. There are currently 3 hold ratings and 39 buy ratings for the stock. The consensus among Wall Street equities research analysts is that investors should “moderate buy” PANW shares.
In addition to its organic growth initiatives, Palo Alto Networks is also focused on expanding its global footprint. The company has offices and infrastructure in more than 150 countries and has offices and operations in key markets worldwide. Palo Alto Networks’ global presence allows it to serve diverse customers and tap into new markets for growth.
It’s a relief for cybersecurity peers CrowdStrike and Zscaler. Palo Alto Networks issued an update on its FY 2024 earnings guidance on affiliate forex Friday, August, 18th. The company provided EPS guidance of $5.27-$5.40 for the period, compared to the consensus estimate of $4.98.
Palo Alto Networks Revenue Forecast for 2023 – 2025 – 2030
But over the past year, its growth in ARR, net new ARR added each quarter, and total revenue cooled off. The company expects total revenue to grow between 5% and 7% in the second quarter. Furthermore, Oracle anticipates second-quarter earnings per share to be between $1.27 and $1.31 versus the $1.25 estimate.
‘Mad Money’ host Jim Cramer talk the day’s market action, how to play the current market and more. The industry with the best average Zacks Rank would be considered the top industry (1 out of 265), which would place it in the top 1% of Zacks Ranked Industries. The industry with the worst average Zacks Rank (265 out of 265) would place in the bottom 1%. An industry with a larger percentage of Zacks Rank #1’s and #2’s will have a better average Zacks Rank than one with a larger percentage of Zacks Rank #4’s and #5’s. Click the link below and we’ll send you MarketBeat’s guide to investing in 5G and which 5G stocks show the most promise.
- Therefore, I believe CrowdStrike still looks reasonably valued relative to its near-term growth.
- The company has developed a reputation for delivering innovative and effective security solutions and it has been recognized by industry analysts for its leadership in the cybersecurity market.
- For the following year, the 0 analysts predict that Palo Alto Networks’s Free Cash Flow will drop by 16.95%, reaching $1.49B.
- Palo Alto Networks incurred losses in the fiscal year ended 31 July 2021 and the first quarter of the fiscal year 2022, which ended on 31 October 2021.
- Palo Alto Networks’ flagship product is its Next-Generation Firewall (NGFW) which provides advanced security features such as intrusion prevention, application control and threat prevention.
The NGFW is designed to provide real-time visibility and control over network traffic, enabling businesses to detect and prevent cyber attacks before they cause harm. According to the latest long-term forecast, Palo Alto price will hit $250 by the middle of 2023 and then $300 by the middle of 2026. Palo Alto will rise to $400 within the year of 2027, $450 in 2030 and $500 in 2032.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities. Move your mouse over a quarter or year to see how estimates have changed over time. The company is scheduled to release its next quarterly earnings announcement on Thursday, November 16th 2023. Palo Alto Networks’ flagship product is its Next-Generation Firewall (NGFW) which provides advanced security features such as intrusion prevention, application control and threat prevention.
(Delayed Data from NSDQ)
In this period, the Palo Alto price would rise from $450 to $565, which is +26%. Palo Alto will start 2030 at $450, then soar to $459 within the first half of the year, and finish 2030 at $469. In this period, the Palo Alto price would rise from $458 to $573, which is +25%. Palo Alto will start 2030 at $458, then soar to $467 within the first half of the year, and finish 2030 at $477. In this period, the Palo Alto price would rise from $456 to $571, which is +25%. Palo Alto will start 2030 at $456, then soar to $465 within the first half of the year, and finish 2030 at $475.
The company has made a number of strategic acquisitions in recent years, including Demisto, a security orchestration and automation company and Twistlock, a container security company. These acquisitions have allowed Palo Alto Networks to broaden its product portfolio and enter new markets. In addition to its NGFW product line, Palo Alto Networks offers a range of cloud-based security solutions.
This dedication to giving investors a trading advantage led to the creation of our proven Zacks Rank stock-rating system. Since 1988 it has more than doubled the S&P 500 with an average gain of +24.32% per year. These returns cover a period from January 1, 1988 through July 31, 2023. Zacks Rank stock-rating system returns are computed monthly based on the beginning of the month and end of the month Zacks Rank stock prices plus any dividends received during that particular month. A simple, equally-weighted average return of all Zacks Rank stocks is calculated to determine the monthly return.
MarketRank is calculated as an average of available category scores, with extra weight given to analysis and valuation. CrowdStrike is also still driving its existing customers to adopt more of its cloud-based modules. About 41% of its subscription customers adopted at least six of its modules, compared to just 36% of its customers a year ago. Its percentage of customers using at least seven modules rose from 20% to 24%. On a generally accepted accounting principles (GAAP) basis, CrowdStrike squeezed out a net profit of $8.5 million, compared to a net loss of $49 million a year earlier.
Palo Alto Networks forecast for this year