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Valued at a market cap of $120.2 billion, Palo Alto Networks, Inc. (PANW) is a leading global cybersecurity company headquartered in Santa Clara, California. Founded in 2005, the company specializes in providing advanced security solutions to protect enterprise networks, cloud environments, and endpoints against cyber threats. The tech giant is all geared to unveil its fiscal 2025 Q3 earnings results on Monday, May 19.
Ahead of this event, analysts expect the cybersecurity company to report a profit of $0.41 per share, down 6.8% from $0.44 per share in the year-ago quarter. The company has a solid track record of consistently beating or meeting Wall Street's bottom-line estimates in the last four quarters.
For the current year ending in July 2025, analysts expect PANW to report an EPS of $1.76, up 17.3% from a profit of $1.50 per share in fiscal 2024.
Shares of PANW have gained 24.6% over the past 52 weeks, outpacing both the S&P 500 Index's ($SPX) 8.4% rise and the Technology Select Sector SPDR Fund’s (XLK) 4.2% return over the same time frame.
Palo Alto Networks has outperformed the broader market over the past year due to strong demand for cybersecurity, consistent double-digit revenue growth, and a strategic shift toward high-margin, recurring subscription and cloud services. The company’s integration of AI and automation into its security platforms has enhanced threat detection and attracted large enterprise customers.
Palo Alto Networks' stock gained 6% for the week as of Apr. 11, benefiting from both macro and company-specific factors. A broad market rally was triggered by the U.S. announcing a 90-day pause on new tariffs, which boosted investor sentiment. Additionally, Wedbush Securities named Palo Alto a "defensive" play amid trade policy uncertainty, and HSBC Holdings plc (HSBC) upgraded the stock from "Sell" to "Hold."
Wall Street analysts are moderately optimistic about Palo Alto’s stock, with a "Moderate Buy" rating overall. Among 47 analysts covering the stock, 33 recommend "Strong Buy," two suggest “Moderate Buy,” 11 recommend “Hold,” and one indicates a “Strong Sell” rating.
The average price target for PANW is $212.41, which indicates a modest 17% potential upside from the current levels.
On the date of publication, Kritika Sarmah did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
