Palo Alto Networks’ (PANW) Outperform Rating Reiterated at Royal Bank Of Canada

Palo Alto Networks (NASDAQ:PANW)‘s stock had its “outperform” rating restated by Royal Bank Of Canada in a note issued to investors on Wednesday,Benzinga reports. They presently have a $220.00 price target on the network technology company’s stock. Royal Bank Of Canada’s target price suggests a potential upside of 43.72% from the company’s current price.

Other research analysts have also issued research reports about the company. Guggenheim reissued a “neutral” rating on shares of Palo Alto Networks in a report on Wednesday. HSBC lowered shares of Palo Alto Networks from a “hold” rating to a “reduce” rating and set a $157.00 price objective on the stock. in a research report on Thursday, November 20th. Evercore raised their target price on shares of Palo Alto Networks from $220.00 to $250.00 and gave the stock an “outperform” rating in a research note on Thursday, November 13th. Deutsche Bank Aktiengesellschaft dropped their price target on shares of Palo Alto Networks from $240.00 to $220.00 and set a “buy” rating on the stock in a research note on Wednesday. Finally, Rosenblatt Securities restated a “buy” rating and issued a $225.00 price objective on shares of Palo Alto Networks in a research report on Wednesday. Thirty-three equities research analysts have rated the stock with a Buy rating and nine have assigned a Hold rating to the company’s stock. According to MarketBeat.com, the company presently has an average rating of “Moderate Buy” and an average target price of $215.68.

Palo Alto Networks Stock Performance

Palo Alto Networks stock traded down $10.42 during midday trading on Wednesday, hitting $153.08. 14,522,564 shares of the company’s stock were exchanged, compared to its average volume of 10,449,373. Palo Alto Networks has a 12-month low of $144.15 and a 12-month high of $223.61. The stock has a market cap of $106.69 billion, a price-to-earnings ratio of 96.77, a price-to-earnings-growth ratio of 3.99 and a beta of 0.75. The firm’s 50 day simple moving average is $181.06 and its 200 day simple moving average is $192.21.

Palo Alto Networks (NASDAQ:PANW) last announced its earnings results on Tuesday, February 17th. The network technology company reported $1.03 EPS for the quarter, beating analysts’ consensus estimates of $0.94 by $0.09. Palo Alto Networks had a net margin of 11.69% and a return on equity of 17.05%. The business had revenue of $2.59 billion during the quarter, compared to analysts’ expectations of $2.58 billion. During the same period in the prior year, the company earned $0.81 earnings per share. The business’s revenue was up 14.9% compared to the same quarter last year. Palo Alto Networks has set its FY 2026 guidance at 3.650-3.700 EPS and its Q3 2026 guidance at 0.780-0.800 EPS. On average, equities research analysts forecast that Palo Alto Networks will post 1.76 EPS for the current fiscal year.

Insider Transactions at Palo Alto Networks

In other news, CAO Josh D. Paul sold 800 shares of the firm’s stock in a transaction on Friday, January 2nd. The stock was sold at an average price of $184.81, for a total value of $147,848.00. Following the completion of the transaction, the chief accounting officer owned 46,005 shares in the company, valued at $8,502,184.05. This trade represents a 1.71% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, Director James J. Goetz sold 12,500 shares of the business’s stock in a transaction dated Monday, December 8th. The stock was sold at an average price of $195.33, for a total transaction of $2,441,625.00. Following the completion of the sale, the director owned 75,184 shares in the company, valued at $14,685,690.72. This represents a 14.26% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders have sold 260,542 shares of company stock worth $49,910,995. 1.40% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Palo Alto Networks

Several hedge funds have recently added to or reduced their stakes in the business. Hyposwiss Advisors SA purchased a new position in shares of Palo Alto Networks during the 4th quarter worth approximately $55,000. IHT Wealth Management LLC grew its holdings in Palo Alto Networks by 2.0% during the 4th quarter. IHT Wealth Management LLC now owns 31,221 shares of the network technology company’s stock valued at $5,751,000 after buying an additional 607 shares during the last quarter. Insight Holdings Group LLC increased its position in Palo Alto Networks by 98.9% during the fourth quarter. Insight Holdings Group LLC now owns 51,705 shares of the network technology company’s stock worth $9,524,000 after buying an additional 25,705 shares in the last quarter. Interval Partners LP acquired a new position in shares of Palo Alto Networks in the fourth quarter worth $10,954,000. Finally, Investment Management Corp of Ontario lifted its position in shares of Palo Alto Networks by 21.3% in the fourth quarter. Investment Management Corp of Ontario now owns 82,919 shares of the network technology company’s stock valued at $15,274,000 after acquiring an additional 14,571 shares in the last quarter. 79.82% of the stock is currently owned by hedge funds and other institutional investors.

Palo Alto Networks News Roundup

Here are the key news stories impacting Palo Alto Networks this week:

• Positive Sentiment: Q2 beat and ARR growth: Palo Alto reported better‑than‑expected Q2 results (EPS and revenue) and Next‑Generation Security ARR grew ~33% year‑over‑year — evidence of platform demand. PR Newswire: Q2 Results
• Positive Sentiment: Some analysts still bullish: Several firms reaffirmed Buy/Outperform ratings with high price targets (e.g., Citizens JMP $250, Wedbush/Rosenblatt $225), signaling continued long‑term support from parts of the sell‑side. Benzinga: Analyst Reactions
• Neutral Sentiment: Product and research updates: Palo Alto launched MSIAM 2.0 and released its Unit 42 AI security report — moves that reinforce its product roadmap around AI security but won’t offset near‑term cost concerns. PR Newswire: MSIAM 2.0
• Neutral Sentiment: Acquisition activity: Management announced intent to buy Koi (agentic endpoint) to bolster AI‑era endpoint coverage — strategic for product positioning but adds integration work/costs. PR Newswire: Koi Acquisition
• Negative Sentiment: Profit/guidance disappointment and integration costs: Management trimmed or lowered near‑term profit expectations and cited higher integration costs from recent deals (including large acquisitions), which led to the initial selloff. Reuters: Deal Costs & Share Reaction
• Negative Sentiment: Widespread price‑target cuts: Multiple brokers cut their targets (Deutsche Bank to $220, Goldman to $224, Scotiabank, Needham, BMO, Mizuho, Loop Capital, Stifel and others lowered PTs), signaling reduced near‑term upside in analyst models tied to margin risk. MarketScreener: PT Changes

Palo Alto Networks Company Profile

Palo Alto Networks (NASDAQ: PANW) is a cybersecurity company founded in 2005 and headquartered in Santa Clara, California. The firm develops a broad suite of security products and services designed to prevent successful cyberattacks and protect enterprise networks, clouds, and endpoints. Built around a platform strategy, its offerings target threat prevention, detection, response and governance across hybrid and multi-cloud environments.

The company’s product portfolio includes next‑generation firewalls as a core on‑premises capability, alongside cloud‑delivered security services and software for securing public and private clouds.