Palo Alto Networks (NASDAQ:PANW) Issues Q1 2026 Earnings Guidance

Key Points

• Palo Alto Networks has updated its Q1 2026 earnings guidance, expecting EPS of $0.880-$0.900 compared to the consensus estimate of $0.851, and revenue guidance of $2.5 billion which exceeds the consensus estimate of $2.4 billion.
• Several brokerages have adjusted their price targets for PALW shares, with Barclays reducing its target from $213.00 to $210.00, while Cantor Fitzgerald reaffirmed an "overweight" rating with a $223.00 price target.
• Insider trading reports indicate significant stock sales, with Palo Alto Networks executives having sold over 669,000 shares worth approximately $126 million over the last ninety days.

Palo Alto Networks (NASDAQ:PANW - Get Free Report) updated its first quarter 2026 earnings guidance on Monday. The company provided EPS guidance of 0.880-0.900 for the period, compared to the consensus EPS estimate of 0.851. The company issued revenue guidance of $2.5 billion-$2.5 billion, compared to the consensus revenue estimate of $2.4 billion. Palo Alto Networks also updated its FY 2026 guidance to 3.750-3.850 EPS.

Analysts Set New Price Targets

Several brokerages have issued reports on PANW. Barclays cut their target price on shares of Palo Alto Networks from $213.00 to $210.00 and set an "overweight" rating on the stock in a research note on Wednesday, May 21st. KeyCorp downgraded shares of Palo Alto Networks from an "overweight" rating to a "sector weight" rating in a research note on Thursday, July 31st. Cantor Fitzgerald reaffirmed an "overweight" rating and issued a $223.00 price target on shares of Palo Alto Networks in a research note on Friday. Guggenheim reaffirmed a "sell" rating and issued a $130.00 price target on shares of Palo Alto Networks in a research note on Wednesday, May 21st. Finally, DA Davidson dropped their price target on shares of Palo Alto Networks from $225.00 to $215.00 and set a "buy" rating on the stock in a research note on Thursday, July 31st. Two investment analysts have rated the stock with a sell rating, thirteen have given a hold rating and twenty-six have issued a buy rating to the company. According to MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus price target of $217.79.

Palo Alto Networks Stock Performance

PANW traded down $0.92 during trading on Monday, reaching $176.17. 14,152,827 shares of the company's stock were exchanged, compared to its average volume of 6,231,758. The company's fifty day moving average price is $192.00 and its 200-day moving average price is $186.41. Palo Alto Networks has a fifty-two week low of $144.15 and a fifty-two week high of $210.39. The firm has a market capitalization of $117.47 billion, a PE ratio of 100.67, a P/E/G ratio of 4.35 and a beta of 0.94.

Palo Alto Networks (NASDAQ:PANW - Get Free Report) last announced its quarterly earnings results on Tuesday, May 20th. The network technology company reported $0.80 earnings per share for the quarter, topping analysts' consensus estimates of $0.77 by $0.03. The company had revenue of $2.29 billion for the quarter, compared to analysts' expectations of $2.28 billion. Palo Alto Networks had a net margin of 13.95% and a return on equity of 19.48%. The business's quarterly revenue was up 15.3% compared to the same quarter last year. During the same period last year, the firm posted $0.66 earnings per share. Research analysts forecast that Palo Alto Networks will post 1.76 earnings per share for the current fiscal year.

Insider Activity

In other Palo Alto Networks news, CAO Josh D. Paul sold 600 shares of the business's stock in a transaction dated Tuesday, July 1st. The shares were sold at an average price of $204.00, for a total transaction of $122,400.00. Following the sale, the chief accounting officer directly owned 41,433 shares of the company's stock, valued at $8,452,332. The trade was a 1.43% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through this link. Also, EVP Nir Zuk sold 100,000 shares of the business's stock in a transaction dated Friday, August 1st. The stock was sold at an average price of $172.80, for a total transaction of $17,280,000.00. Following the transaction, the executive vice president owned 3,143,516 shares in the company, valued at $543,199,564.80. This represents a 3.08% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 669,248 shares of company stock worth $126,423,337. 2.50% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently bought and sold shares of the stock. Bison Wealth LLC grew its stake in Palo Alto Networks by 169.1% in the 4th quarter. Bison Wealth LLC now owns 5,212 shares of the network technology company's stock valued at $948,000 after buying an additional 3,275 shares during the last quarter. Tandem Wealth Advisors LLC grew its stake in Palo Alto Networks by 84.3% in the 2nd quarter. Tandem Wealth Advisors LLC now owns 2,258 shares of the network technology company's stock valued at $462,000 after buying an additional 1,033 shares during the last quarter. MUFG Securities EMEA plc acquired a new position in Palo Alto Networks in the 2nd quarter valued at about $399,000. Teza Capital Management LLC acquired a new position in Palo Alto Networks in the 2nd quarter valued at about $399,000. Finally, Two Sigma Securities LLC acquired a new position in Palo Alto Networks in the 2nd quarter valued at about $394,000. Institutional investors and hedge funds own 79.82% of the company's stock.

Palo Alto Networks Company Profile

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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