We remain positive that PANW is one of the key beneficiaries of the Gen-AI era, as demand for security should grow steadily alongside the increasing scale of AI-related deployments. We lift our FY26-28E revenue/non-GAAP net profit estimates by 1-5%/2-6%, driven by the stronger-than-expected ramp-up in security demand. We roll over our valuation window to FY27E and lift our TP to US$299.7, based on a 16.5x EV/sales multiple (was 14.6x), in line with the stock’s two-year average EV/sales plus 2 s.d. BUY.