Palo Alto Networks (NASDAQ:PANW) Given New $425.00 Price Target at Needham & Company LLC

Key Points

• Needham & Company raised Palo Alto Networks’ price target from $350 to $425 and kept a buy rating, implying about 18.9% upside from the prior close.
• The company reported better-than-expected quarterly results, with EPS of $0.85 versus $0.79 expected and revenue of $3.0 billion versus $2.94 billion estimated; revenue rose 31.1% year over year.
• Shares were up 2.7% to $357.53, while multiple other analysts also recently lifted price targets, and the consensus rating remains Moderate Buy with an average target of $317.78.

Palo Alto Networks (NASDAQ:PANW - Get Free Report) had its price target lifted by analysts at Needham & Company LLC from $350.00 to $425.00 in a report issued on Tuesday,Benzinga reports. The brokerage presently has a "buy" rating on the network technology company's stock. Needham & Company LLC's price target would indicate a potential upside of 18.87% from the stock's previous close.

PANW has been the topic of a number of other research reports. Truist Financial boosted their target price on shares of Palo Alto Networks from $275.00 to $375.00 and gave the stock a "buy" rating in a research note on Wednesday, June 3rd. Mizuho increased their price target on Palo Alto Networks from $265.00 to $305.00 and gave the company an "outperform" rating in a research note on Wednesday, June 3rd. Robert W. Baird set a $320.00 price objective on Palo Alto Networks in a report on Wednesday, June 3rd. Cantor Fitzgerald set a $340.00 price objective on Palo Alto Networks and gave the stock an "overweight" rating in a research report on Wednesday, June 3rd. Finally, Morgan Stanley upped their target price on Palo Alto Networks from $253.00 to $320.00 and gave the stock an "overweight" rating in a report on Wednesday, June 3rd. One analyst has rated the stock with a Strong Buy rating, thirty-nine have issued a Buy rating, eight have issued a Hold rating and one has issued a Sell rating to the company's stock. According to MarketBeat, the company presently has an average rating of "Moderate Buy" and a consensus price target of $317.78.

Palo Alto Networks Stock Up 2.7%

PANW stock opened at $357.53 on Tuesday. The stock has a market capitalization of $291.39 billion, a P/E ratio of 293.06, a price-to-earnings-growth ratio of 12.92 and a beta of 0.91. The company has a current ratio of 0.86, a quick ratio of 0.86 and a debt-to-equity ratio of 0.04. Palo Alto Networks has a 12 month low of $139.57 and a 12 month high of $368.17. The firm has a 50-day moving average price of $258.43 and a 200-day moving average price of $201.50.

Palo Alto Networks (NASDAQ:PANW - Get Free Report) last announced its quarterly earnings results on Tuesday, June 2nd. The network technology company reported $0.85 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.79 by $0.06. The company had revenue of $3 billion for the quarter, compared to analyst estimates of $2.94 billion. Palo Alto Networks had a net margin of 7.95% and a return on equity of 10.53%. The firm's revenue was up 31.1% on a year-over-year basis. During the same period in the previous year, the firm posted $0.37 EPS. Palo Alto Networks has set its FY 2026 guidance at 3.770-3.790 EPS and its Q4 2026 guidance at 0.960-0.980 EPS. As a group, equities research analysts anticipate that Palo Alto Networks will post 2.03 EPS for the current fiscal year.

Insider Buying and Selling

In related news, Director John P. Key sold 7,500 shares of the firm's stock in a transaction on Friday, June 12th. The stock was sold at an average price of $279.24, for a total transaction of $2,094,300.00. Following the completion of the transaction, the director directly owned 12,500 shares of the company's stock, valued at $3,490,500. This trade represents a 37.50% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director James J. Goetz sold 20,000 shares of Palo Alto Networks stock in a transaction dated Friday, June 12th. The stock was sold at an average price of $279.90, for a total value of $5,598,000.00. Following the transaction, the director directly owned 20,000 shares in the company, valued at $5,598,000. The trade was a 50.00% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold a total of 102,111 shares of company stock valued at $27,204,024 over the last quarter. 1.40% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Palo Alto Networks

A number of hedge funds have recently made changes to their positions in the stock. Trilogy Capital Inc. boosted its holdings in Palo Alto Networks by 1.8% in the second quarter. Trilogy Capital Inc. now owns 2,127 shares of the network technology company's stock valued at $725,000 after acquiring an additional 37 shares during the last quarter. South Plains Financial Inc. raised its holdings in Palo Alto Networks by 1.0% during the 3rd quarter. South Plains Financial Inc. now owns 4,823 shares of the network technology company's stock worth $982,000 after purchasing an additional 50 shares during the last quarter. Fayez Sarofim & Co raised its holdings in Palo Alto Networks by 1.2% during the 3rd quarter. Fayez Sarofim & Co now owns 4,310 shares of the network technology company's stock worth $878,000 after purchasing an additional 50 shares during the last quarter. GSG Advisors LLC lifted its position in shares of Palo Alto Networks by 0.4% in the 1st quarter. GSG Advisors LLC now owns 12,536 shares of the network technology company's stock worth $2,010,000 after purchasing an additional 51 shares during the period. Finally, Cooper Financial Group lifted its position in shares of Palo Alto Networks by 1.3% in the 4th quarter. Cooper Financial Group now owns 4,227 shares of the network technology company's stock worth $779,000 after purchasing an additional 53 shares during the period. 79.82% of the stock is currently owned by institutional investors.

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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