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Palo Alto Networks (PANW)
NASDAQ:PANW
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Palo Alto Networks (PANW) Price & Analysis

16,437 Followers

PANW Stock Chart & Stats

$167.85
-$6.31(-3.60%)
At close: 4:00 PM EST
$167.85
-$6.31(-3.60%)

Bulls Say, Bears Say

Bulls Say
Free Cash FlowConsistently high free cash flow (~$4.07B TTM) that tracks reported earnings closely provides durable internal funding for R&D, integration of acquisitions, opportunistic buybacks, and working capital. Strong FCF supports reinvestment without relying on leverage, improving long-term financial resilience.
Balance Sheet StrengthVery low leverage and a materially strengthened equity base give the company structural flexibility to pursue M&A, absorb integration costs, or sustain investments through cycles. Conservative capital structure reduces refinancing risk and supports sustainable capital returns over multi-quarter horizons.
Platformization & RetentionHigh net retention and accelerating platformizations indicate deepening customer relationships and durable recurring revenue. Platform adoption raises average contract value, reduces churn, and creates long-term upsell/leverage across modules, reinforcing a subscription-driven revenue base and margin stability.
Bears Say
Revenue Growth DecelerationA marked slowdown in trailing revenue growth to ~3.5% is a structural concern if sustained: it pressures scale economics, complicates margin expansion assumptions, and increases reliance on acquisitions and large platform deals to maintain ARR momentum, heightening execution risk over several quarters.
Elevated Stock-Based Comp.SBC at 17% of revenue materially dilutes reported margins and EPS. While linked to M&A, elevated SBC can persist through integration windows and alter long-term profitability targets. Managing down SBC is necessary to realize sustainable operating-margin improvements and preserve free-cash-flow conversion.
Supply-Chain & Hardware Cost PressurePersistent component cost inflation and hardware scarcity threaten gross margin stability, especially given hardware's role as a gateway to higher-margin subscriptions. Price increases risk customer pushback and could slow device-led expansions, creating structural margin and demand volatility across quarters.

Palo Alto Networks News

PANW FAQ

What was Palo Alto Networks’s price range in the past 12 months?
Palo Alto Networks lowest stock price was $139.57 and its highest was $302.95 in the past 12 months.
    What is Palo Alto Networks’s market cap?
    Palo Alto Networks’s market cap is $242.50B.
      When is Palo Alto Networks’s upcoming earnings report date?
      Palo Alto Networks’s upcoming earnings report date is Aug 24, 2026 which is in 81 days.
        How were Palo Alto Networks’s earnings last quarter?
        Palo Alto Networks released its earnings results on Jun 02, 2026. The company reported $0.85 earnings per share for the quarter, beating the consensus estimate of $0.793 by $0.057.
          Is Palo Alto Networks overvalued?
          According to Wall Street analysts Palo Alto Networks’s price is currently Undervalued. Get more investment ideas with TipRanks Premium
            Does Palo Alto Networks pay dividends?
            Palo Alto Networks does not currently pay dividends.
            What is Palo Alto Networks’s EPS estimate?
            Palo Alto Networks’s EPS estimate is 0.97.
              How many shares outstanding does Palo Alto Networks have?
              Palo Alto Networks has 816,000,000 shares outstanding.
                What happened to Palo Alto Networks’s price movement after its last earnings report?
                Palo Alto Networks reported an EPS of $0.85 in its last earnings report, beating expectations of $0.793. Following the earnings report the stock price went down -5.636%.
                  Which hedge fund is a major shareholder of Palo Alto Networks?
                  Currently, no hedge funds are holding shares in PANW
                  What is the TipRanks Smart Score and how is it calculated?
                  Smart Score combines eight research factors - such as analyst recommendations, hedge fund trends, and technical indicators - to measure a stock’s outlook. These signals are unified into a single score that reflects bullish or bearish momentum. See detailed methodology

                    Company Description

                    Palo Alto Networks

                    Palo Alto Networks, Inc. provides cybersecurity solutions worldwide. The company offers firewall appliances and software; Panorama, a security management solution for the control of firewall appliances and software deployed on an end-customer's network and instances in public or private cloud environments, as a virtual or a physical appliance; and virtual system upgrades, which are available as extensions to the virtual system capacity that ships with physical appliances. It also provides subscription services covering the areas of threat prevention, malware and persistent threat, uniform resource locator filtering, laptop and mobile device protection, and firewall; and DNS security, Internet of Things security, SaaS security API, and SaaS security inline, as well as threat intelligence, and data loss prevention. In addition, the company offers cloud security, secure access, security analytics and automation, and threat intelligence and cyber security consulting; professional services, including architecture design and planning, implementation, configuration, and firewall migration; education services, such as certifications, as well as online and in-classroom training; and support services. Palo Alto Networks, Inc. sells its products and services through its channel partners, as well as directly to medium to large enterprises, service providers, and government entities operating in various industries, including education, energy, financial services, government entities, healthcare, Internet and media, manufacturing, public sector, and telecommunications. The company was incorporated in 2005 and is headquartered in Santa Clara, California.

                    Palo Alto Networks (PANW) Earnings & Revenues

                    PANW Company Deck

                    PANW Earnings Call

                    Q3 2026
                    0:00 / 0:00
                    Earnings Call Sentiment|Positive
                    The earnings call was strongly positive overall. The company reported a record quarter with broad-based revenue, ARR and RPO growth, exceptional free cash flow expansion, rapid adoption of new AI security products (Prisma AIRS, XSIAM, Chronosphere), robust platformization metrics, and early acquisition integration success (CyberArk, Chronosphere). Near-term challenges include acquisition-related GAAP charges and elevated stock-based compensation, supply-chain and component cost pressure, and ongoing integration/migration tasks (e.g., Prisma Cloud to Cortex Cloud). These lowlights are largely transitional or industry-wide and management provided mitigation plans and timelines. Given the scale and magnitude of the growth metrics and cash flow improvements versus the manageable and largely one-time or solvable challenges, the overall tone is constructive and confident.View all PANW earnings summaries

                    PANW Revenue Breakdown

                    19.54%19.54%80.46%
                    19.54% Product
                    80.46% Subscription and support
                    tipranks

                    PANW Stock 12 Month Forecast

                    Average Price Target

                    $328.31
                    ▲(95.60% Upside)
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style=\"color:#912767\">Sell 0</span>\n      ","marker":{"lineColor":"#199ca5","enabled":true,"symbol":"circle"}},{"y":150.15,"date":1772323200000,"info":" <span style=\"color:#199ca5\" class=\"mb3 mt2 fonth8_semibold\"> Strong Buy</span>\n            <div class=\"flexrcb px3 displayflex fonth9_semibold\"><span  style=\"color:#199ca5\">Buy 61,\t&nbsp; </span>\n              <span  style=\"color:#828080\">Hold 5, \t&nbsp;</span>\n              <span  style=\"color:#912767\">Sell 0</span>\n      ","marker":{"lineColor":"#199ca5","enabled":true,"symbol":"circle"}},{"y":160.67,"date":1775001600000,"info":" <span style=\"color:#199ca5\" class=\"mb3 mt2 fonth8_semibold\"> Strong Buy</span>\n            <div class=\"flexrcb px3 displayflex fonth9_semibold\"><span  style=\"color:#199ca5\">Buy 58,\t&nbsp; </span>\n              <span  style=\"color:#828080\">Hold 3, \t&nbsp;</span>\n              <span  style=\"color:#912767\">Sell 0</span>\n      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                    Ownership Overview

                    0.74%14.97%14.00%42.49%
                    14.00% Other Institutional Investors
                    42.49% Public Companies and Individual Investors
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