Palo Alto Networks steady RPO offset by slower billings, says Loop Capital

Loop Capital keeps a Hold rating and $300 price target on Palo Alto Networks after its Q3 results. The company’s “steady” remaining performance obligation, or RPO, metric was offset by decelerating Billings growth, the analyst tells investors in a research note, while its “highly strategic” next-gen security annual recurring revenue, NGS ARR, growth rates remained steady, the analyst tells investors in a research note. The firm adds that it would expect the RPO and NGS ARR growth rates to accelerate as the platformization begins to drive the adoption of products that were initially given away for free for a certain period.