Palo Alto Networks (NASDAQ:PANW) Announces Earnings Results

Palo Alto Networks (NASDAQ:PANW) issued its earnings results on Wednesday. The network technology company reported $0.93 EPS for the quarter, topping the consensus estimate of $0.89 by $0.04, FiscalAI reports. Palo Alto Networks had a return on equity of 17.66% and a net margin of 12.30%.The company had revenue of $2.47 billion during the quarter, compared to analyst estimates of $2.46 billion. Palo Alto Networks updated its FY 2026 guidance to 3.800-3.900 EPS and its Q2 2026 guidance to 0.930-0.950 EPS.

Palo Alto Networks Trading Down 0.5%

PANW traded down $1.10 on Wednesday, reaching $199.90. The company had a trading volume of 6,748,954 shares, compared to its average volume of 6,134,173. The company has a market capitalization of $136.73 billion, a P/E ratio of 124.55, a PEG ratio of 4.82 and a beta of 0.95. The company has a fifty day moving average of $209.25 and a 200-day moving average of $197.42. Palo Alto Networks has a one year low of $144.15 and a one year high of $223.61.

Insider Activity at Palo Alto Networks

In other news, CEO Nikesh Arora sold 846,408 shares of Palo Alto Networks stock in a transaction that occurred on Tuesday, September 23rd. The shares were sold at an average price of $204.06, for a total value of $172,718,016.48. Following the transaction, the chief executive officer owned 275,013 shares of the company’s stock, valued at $56,119,152.78. The trade was a 75.48% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this link. Also, EVP Dipak Golechha sold 5,000 shares of the company’s stock in a transaction on Tuesday, September 23rd. The shares were sold at an average price of $204.19, for a total value of $1,020,950.00. Following the sale, the executive vice president directly owned 96,135 shares of the company’s stock, valued at approximately $19,629,805.65. This represents a 4.94% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders sold 1,215,830 shares of company stock valued at $249,160,428. 1.40% of the stock is currently owned by insiders.

Institutional Trading of Palo Alto Networks

Hedge funds have recently bought and sold shares of the company. Darwin Wealth Management LLC purchased a new position in shares of Palo Alto Networks in the second quarter worth approximately $25,000. Palisade Asset Management LLC purchased a new stake in shares of Palo Alto Networks in the 3rd quarter valued at approximately $33,000. JPL Wealth Management LLC acquired a new position in Palo Alto Networks in the 3rd quarter worth approximately $35,000. McIlrath & Eck LLC boosted its stake in Palo Alto Networks by 127.7% in the 2nd quarter. McIlrath & Eck LLC now owns 214 shares of the network technology company’s stock worth $44,000 after purchasing an additional 120 shares during the period. Finally, Front Row Advisors LLC purchased a new position in Palo Alto Networks during the 3rd quarter worth approximately $86,000. 79.82% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analyst Weigh In

PANW has been the subject of a number of research reports. Morgan Stanley lifted their target price on Palo Alto Networks from $216.00 to $228.00 and gave the company an “overweight” rating in a research note on Thursday, November 13th. Guggenheim boosted their price objective on Palo Alto Networks from $130.00 to $135.00 and gave the company a “sell” rating in a research report on Tuesday, August 19th. KeyCorp downgraded Palo Alto Networks from an “overweight” rating to a “sector weight” rating in a research note on Thursday, July 31st. Citigroup reaffirmed an “outperform” rating on shares of Palo Alto Networks in a research report on Monday, October 27th. Finally, Evercore ISI boosted their price target on shares of Palo Alto Networks from $220.00 to $250.00 and gave the company an “outperform” rating in a report on Thursday, November 13th. Twenty-nine analysts have rated the stock with a Buy rating, eleven have issued a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average target price of $224.14.

About Palo Alto Networks

Palo Alto Networks, Inc provides cybersecurity solutions worldwide. The company offers firewall appliances and software; and Panorama, a security management solution for the global control of network security platform as a virtual or a physical appliance. It also provides subscription services covering the areas of threat prevention, malware and persistent threat, URL filtering, laptop and mobile device protection, DNS security, Internet of Things security, SaaS security API, and SaaS security inline, as well as threat intelligence, and data loss prevention.