Employees Retirement System of Texas Sells 208,989 Shares of Palo Alto Networks, Inc. $PANW

Key Points

• Employees Retirement System of Texas cut its Palo Alto Networks stake by 28.1%, selling 208,989 shares in Q3 and now holds 534,256 shares (~0.08% of the company) worth about $108.8 million, making PANW its 22nd largest position.
• Insiders have been selling as well — 149,252 shares were sold over the past 90 days (around $27.9M) and insiders currently own about 1.4% of the stock.
• Palo Alto Networks recently beat quarterly estimates (EPS $1.03 vs. $0.94; revenue $2.59B, +14.9% YoY) but trades at a high valuation (PE ~92.85) and carries a MarketBeat consensus of Moderate Buy with an average price target near $210.19.

Employees Retirement System of Texas decreased its holdings in Palo Alto Networks, Inc. (NASDAQ:PANW - Free Report) by 28.1% in the third quarter, according to the company in its most recent 13F filing with the SEC. The fund owned 534,256 shares of the network technology company's stock after selling 208,989 shares during the quarter. Palo Alto Networks accounts for approximately 0.9% of Employees Retirement System of Texas' holdings, making the stock its 22nd biggest position. Employees Retirement System of Texas owned approximately 0.08% of Palo Alto Networks worth $108,785,000 as of its most recent SEC filing.

Other institutional investors have also recently made changes to their positions in the company. Exchange Traded Concepts LLC boosted its holdings in Palo Alto Networks by 29.4% in the third quarter. Exchange Traded Concepts LLC now owns 32,155 shares of the network technology company's stock worth $6,547,000 after purchasing an additional 7,301 shares during the last quarter. Westfield Capital Management Co. LP purchased a new stake in Palo Alto Networks during the 3rd quarter valued at $75,412,000. American Century Companies Inc. raised its stake in Palo Alto Networks by 134.1% during the 3rd quarter. American Century Companies Inc. now owns 672,129 shares of the network technology company's stock valued at $136,859,000 after buying an additional 384,985 shares during the last quarter. US Bancorp DE lifted its holdings in shares of Palo Alto Networks by 0.6% during the 3rd quarter. US Bancorp DE now owns 1,364,442 shares of the network technology company's stock valued at $277,828,000 after buying an additional 8,344 shares during the period. Finally, Silver Oak Securities Incorporated boosted its stake in shares of Palo Alto Networks by 240.1% in the 3rd quarter. Silver Oak Securities Incorporated now owns 11,732 shares of the network technology company's stock worth $2,389,000 after buying an additional 8,282 shares during the last quarter. Hedge funds and other institutional investors own 79.82% of the company's stock.

Insider Activity

In other Palo Alto Networks news, CAO Josh D. Paul sold 800 shares of the firm's stock in a transaction that occurred on Friday, January 2nd. The shares were sold at an average price of $184.81, for a total transaction of $147,848.00. Following the sale, the chief accounting officer owned 46,005 shares in the company, valued at approximately $8,502,184.05. This trade represents a 1.71% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, EVP Dipak Golechha sold 5,000 shares of Palo Alto Networks stock in a transaction that occurred on Tuesday, December 23rd. The shares were sold at an average price of $188.18, for a total transaction of $940,900.00. Following the transaction, the executive vice president directly owned 155,119 shares in the company, valued at $29,190,293.42. This represents a 3.12% decrease in their position. The SEC filing for this sale provides additional information. Over the last 90 days, insiders sold 149,252 shares of company stock valued at $27,888,535. 1.40% of the stock is owned by insiders.

Palo Alto Networks Stock Performance

NASDAQ PANW opened at $168.06 on Friday. The business's fifty day moving average is $170.09 and its 200 day moving average is $189.59. Palo Alto Networks, Inc. has a fifty-two week low of $139.57 and a fifty-two week high of $223.61. The company has a market capitalization of $137.14 billion, a PE ratio of 92.85, a price-to-earnings-growth ratio of 5.96 and a beta of 0.78.

Palo Alto Networks (NASDAQ:PANW - Get Free Report) last issued its quarterly earnings results on Wednesday, February 18th. The network technology company reported $1.03 EPS for the quarter, topping analysts' consensus estimates of $0.94 by $0.09. Palo Alto Networks had a return on equity of 17.60% and a net margin of 12.96%.The business had revenue of $2.59 billion during the quarter, compared to analysts' expectations of $2.58 billion. During the same quarter in the prior year, the business posted $0.81 earnings per share. The business's quarterly revenue was up 14.9% on a year-over-year basis. On average, sell-side analysts forecast that Palo Alto Networks, Inc. will post 1.76 EPS for the current year.

Wall Street Analyst Weigh In

Several analysts recently commented on PANW shares. Wells Fargo & Company assumed coverage on Palo Alto Networks in a report on Tuesday, March 3rd. They issued an "overweight" rating and a $200.00 price objective for the company. The Goldman Sachs Group dropped their target price on Palo Alto Networks from $240.00 to $224.00 and set a "buy" rating on the stock in a research report on Wednesday, February 18th. New Street Research cut their price target on Palo Alto Networks from $240.00 to $220.00 and set a "buy" rating for the company in a research note on Thursday, February 19th. JPMorgan Chase & Co. reduced their price target on shares of Palo Alto Networks from $225.00 to $200.00 and set an "overweight" rating for the company in a research report on Thursday, February 19th. Finally, Westpark Capital reiterated a "hold" rating on shares of Palo Alto Networks in a research note on Thursday, November 20th. Two analysts have rated the stock with a Strong Buy rating, thirty-four have issued a Buy rating and nine have assigned a Hold rating to the company. According to MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and an average price target of $210.19.

About Palo Alto Networks

Palo Alto Networks NASDAQ: PANW is a cybersecurity company founded in 2005 and headquartered in Santa Clara, California. The firm develops a broad suite of security products and services designed to prevent successful cyberattacks and protect enterprise networks, clouds, and endpoints. Built around a platform strategy, its offerings target threat prevention, detection, response and governance across hybrid and multi-cloud environments.

The company's product portfolio includes next‑generation firewalls as a core on‑premises capability, alongside cloud‑delivered security services and software for securing public and private clouds.

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