Palo Alto Networks’ Near-Term Just Got Messier: What 10 Analysts Are Saying
Shares of Palo Alto Networks Inc (NASDAQ: PANW) tanked in early trading on Wednesday, even after the company reported a revenue beat for its fiscal second quarter.
The results came amid an exciting earnings season. Here are some key analyst takeaways from the release.
- Piper Sandler analyst Rob Owens downgraded the rating from Overweight to Neutral, while slashing the price target from $350 to $300.
- RBC Capital Markets analyst Matthew Hedberg maintained an Outperform rating, while reducing the price target from $420 to $365.
- Mizuho Securities analyst Gregg Moskowitz reaffirmed a Buy rating, while trimming the price target from $405 to $350.
- BMO Capital Markets analyst Keith Bachman reiterated an Outperform rating, while cutting the price target from $378 to $327.
- Oppenheimer analyst Ittai Kidron maintained a Perform rating, while reducing the price target to $305.
- Truist Securities analyst Joel Fishbein reiterated a Buy rating, while trimming the price target of $385 to $350.
- Wedbush analyst Daniel Ives reaffirmed an Outperform rating, while lowering the price target from $425 to $375.
- KeyBanc Capital Markets analyst Eric Heath maintained an Overweight rating, while reducing the price target from $390 to $380.
- Stifel analyst Adam Borg reiterated a Buy rating, while trimming the price target of $410 to $330.
- JMP Securities analyst Trevor Walsh reaffirmed a Market Outperform rating and price target of $380.
Check out other analyst stock ratings.
Piper Sandler: “PANW is offering certain solutions to customers for free as they wait-out competitor contracts to expire, in return for 3-5 year commitments,” Owens said in his downgrade note.
The analyst expects these deals to impact top-line results over the next 12 to 18 months and eliminate $600 million from billings estimates in the back half of 2024, although management expects the company to return to mid-to-high double-digit billings growth in the second half of 2025. “While much of this will clearly be on the come, it will …
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