Rheos Capital Works Inc. Lowers Stock Position in Palo Alto Networks, Inc. $PANW

Key Points

• Rheos Capital Works Inc. reduced its stake in Palo Alto Networks, Inc. by 28.1%, selling 22,500 shares during the second quarter, and now holds 57,700 shares valued at $11.8 million.
• Several institutional investors increased their holdings in Palo Alto Networks, with Duncker Streett & Co. Inc. up by 16.3% and IFG Advisors LLC raising their stake by 82.8% during the same period.
• Palo Alto Networks reported a quarterly earnings per share (EPS) of $0.95, exceeding analysts' expectations, with a 15.8% year-over-year revenue growth of $2.54 billion.

Rheos Capital Works Inc. trimmed its holdings in shares of Palo Alto Networks, Inc. (NASDAQ:PANW - Free Report) by 28.1% during the 2nd quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The firm owned 57,700 shares of the network technology company's stock after selling 22,500 shares during the quarter. Rheos Capital Works Inc.'s holdings in Palo Alto Networks were worth $11,808,000 as of its most recent SEC filing.

A number of other large investors also recently bought and sold shares of the business. Duncker Streett & Co. Inc. increased its holdings in shares of Palo Alto Networks by 16.3% in the 2nd quarter. Duncker Streett & Co. Inc. now owns 40,554 shares of the network technology company's stock valued at $8,299,000 after acquiring an additional 5,669 shares during the period. Deroy & Devereaux Private Investment Counsel Inc. raised its holdings in Palo Alto Networks by 22.2% in the second quarter. Deroy & Devereaux Private Investment Counsel Inc. now owns 4,258 shares of the network technology company's stock worth $871,000 after purchasing an additional 774 shares in the last quarter. IFG Advisors LLC raised its holdings in Palo Alto Networks by 82.8% in the second quarter. IFG Advisors LLC now owns 6,688 shares of the network technology company's stock worth $1,369,000 after purchasing an additional 3,029 shares in the last quarter. Mutual Advisors LLC boosted its holdings in shares of Palo Alto Networks by 2.5% in the 2nd quarter. Mutual Advisors LLC now owns 15,450 shares of the network technology company's stock valued at $3,141,000 after buying an additional 375 shares in the last quarter. Finally, Generali Asset Management SPA SGR grew its position in shares of Palo Alto Networks by 48.4% in the 2nd quarter. Generali Asset Management SPA SGR now owns 53,098 shares of the network technology company's stock worth $10,866,000 after buying an additional 17,325 shares during the last quarter. Institutional investors own 79.82% of the company's stock.

Insider Transactions at Palo Alto Networks

In other news, EVP Dipak Golechha sold 5,000 shares of the business's stock in a transaction dated Tuesday, September 23rd. The stock was sold at an average price of $204.19, for a total value of $1,020,950.00. Following the completion of the transaction, the executive vice president owned 96,135 shares of the company's stock, valued at $19,629,805.65. The trade was a 4.94% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, EVP Lee Klarich sold 120,774 shares of the company's stock in a transaction dated Monday, October 6th. The stock was sold at an average price of $211.92, for a total value of $25,594,426.08. Following the completion of the sale, the executive vice president owned 149,190 shares in the company, valued at $31,616,344.80. The trade was a 44.74% decrease in their position. The disclosure for this sale can be found here. Over the last three months, insiders have sold 1,315,130 shares of company stock valued at $260,687,367. 2.50% of the stock is owned by corporate insiders.

Wall Street Analyst Weigh In

PANW has been the subject of a number of analyst reports. Morgan Stanley increased their target price on shares of Palo Alto Networks from $210.00 to $216.00 and gave the company an "overweight" rating in a research report on Tuesday, September 2nd. Cantor Fitzgerald reiterated an "overweight" rating and set a $223.00 price objective on shares of Palo Alto Networks in a report on Friday, August 15th. Scotiabank raised their price objective on Palo Alto Networks from $225.00 to $228.00 and gave the stock a "sector outperform" rating in a research report on Tuesday, August 19th. Sanford C. Bernstein set a $207.00 target price on Palo Alto Networks and gave the company an "outperform" rating in a research report on Tuesday, August 19th. Finally, KeyCorp downgraded Palo Alto Networks from an "overweight" rating to a "sector weight" rating in a report on Thursday, July 31st. Twenty-nine investment analysts have rated the stock with a Buy rating, eleven have given a Hold rating and two have given a Sell rating to the company's stock. According to data from MarketBeat.com, Palo Alto Networks has a consensus rating of "Moderate Buy" and an average price target of $216.00.

Palo Alto Networks Stock Performance

Shares of PANW stock opened at $207.56 on Wednesday. Palo Alto Networks, Inc. has a fifty-two week low of $144.15 and a fifty-two week high of $217.94. The firm has a market capitalization of $138.84 billion, a PE ratio of 129.32, a P/E/G ratio of 5.07 and a beta of 0.98. The stock's 50-day simple moving average is $194.56 and its 200-day simple moving average is $189.68.

Palo Alto Networks (NASDAQ:PANW - Get Free Report) last issued its earnings results on Monday, August 18th. The network technology company reported $0.95 EPS for the quarter, beating analysts' consensus estimates of $0.89 by $0.06. Palo Alto Networks had a return on equity of 17.66% and a net margin of 12.30%.The firm had revenue of $2.54 billion for the quarter, compared to analyst estimates of $2.50 billion. During the same quarter in the prior year, the firm earned $0.75 earnings per share. Palo Alto Networks's revenue for the quarter was up 15.8% on a year-over-year basis. Palo Alto Networks has set its FY 2026 guidance at 3.750-3.850 EPS. Q1 2026 guidance at 0.880-0.900 EPS. Sell-side analysts forecast that Palo Alto Networks, Inc. will post 1.76 earnings per share for the current year.

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.

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