Palo Alto Networks (PANW) stock drops 9% as billings outlook disappoints

Palo Alto Networks (PANW) PT Raised to $285 at Macquarie

Macquarie analyst Sarah Hindlian-Bowler raised the price target on Palo Alto Networks (NASDAQ: PANW) to $285.00 (from $270.00) while maintaining a Neutral rating.

The analyst comments "Palo reported a generally in-line FQ3'24, with total revenue of $1.98bn vs. consensus of $1.97bn and billings of $2.33bn vs. consensus of $2.34bn. EPS of $1.32 beat vs. consensus of $1.25. RPO... More

Palo Alto Networks (PANW) PT Raised to $350 at FBN Securities

FBN Securities analyst Shebly Seyrafi raised the price target on Palo Alto Networks (NASDAQ: PANW) to $350.00 (from $310.00) while maintaining a Outperform rating.

The analyst comments "We retain our Outperform rating on PANW and raise our PT from $310 to $350 following its FQ3 report in which revenue grew by 15% Y/Y (and came in 1% above consensus), billings grew by 3% Y/Y (in line with consensus), and NG EPS of $1.32 came in seven cents above consensus of $1.25. Shares are looking to exhibit weakness today as billings of $2.33B just met consensus and... More

Palo Alto Networks (PANW) PT Raised to $345 at Citi, 'We Said It’d Be Bumpy'

Citi analyst Fatima Boolani raised the price target on Palo Alto Networks (NASDAQ: PANW) to $345.00 (from $335.00) while maintaining a Buy rating.

The analyst comments "Expectations ran-up significantly into results (>10% MTD), but the easy setup on the back of large deal upswing (well-telegraphed 9-fig... More

Rosenblatt Reiterates Neutral Rating on Palo Alto Networks (PANW)

Rosenblatt analyst Catherine Trebnick reiterated a Neutral rating and $300.00 price target on Palo Alto Networks (NASDAQ: PANW).

The analyst comments "Despite positive momentum in Q3 results, including a 40% Q/Q increase in platformization deals, 50% Y/Y NGS ARR growth, 23%... More

Wedbush Reiterates Outperform Rating on Palo Alto Networks (PANW)

Wedbush analyst Daniel Ives reiterated an Outperform rating and $375.00 price target on Palo Alto Networks (NASDAQ: PANW)

The analyst comments "Total revenues came in at $1.98 billion, coming in just above the Streets $1.97 billion estimate with RPO growing 23% y/y to $11.3 billion as... More

Goldman Sachs Reiterates Buy Rating on Palo Alto Networks (PANW)

Goldman Sachs analyst Gabriela Borges reiterated a Buy rating and $310.00 price target on Palo Alto Networks (NASDAQ: PANW).

The analyst comments "PANW is indicated down 8%. 3QFY billings was in line, while revenue and EPS was 1%/5% ahead of the Street (FactSet). 4QFY... More

Deutsche Bank Reiterates Buy Rating on Palo Alto Networks (PANW)

Deutsche Bank analyst Brad Zelnick reiterated a Buy rating and $330.00 price target on Palo Alto Networks (NASDAQ: PANW).

The analyst comments "We maintain our Buy rating post F3Q results that were largely in line with consensus expectations, though shy on... More

JPMorgan Reiterates Overweight Rating on Palo Alto Networks (PANW)

JPMorgan analyst Brian Essex reiterated an Overweight rating and $340.00 price target on Palo Alto Networks (NASDAQ: PANW)

The analyst comments "Training investors to look past billings weakness could take a bit of time. PANW stock traded off over 8% after hours as billings was relatively in-line with sellside expectations but fell below investor expectations. In our view, the magnitude of last quarters $600mm cut to billings guidance likely gave investors the impression the company was setting expectations at more conservative levels, leading to anticipation of a healthy billings beat in the quarter. The... More

Cantor Fitzgerald Reiterates Overweight Rating on Palo Alto Networks (PANW)

Cantor Fitzgerald analyst Jonathan Ruykhaver reiterated an Overweight rating and $350.00 price target on Palo Alto Networks (NASDAQ: PANW).

The analyst comments "We reiterate our Overweight rating and maintain our price target at $350 post the F3Q24 results update. Palo Alto Networks delivered a "met expectations" quarter on revenue in line with FactSet consensus (+90 bps vs. consensus), billings (inline), and free cash flow (FCF) (+19.3% vs. consensus). The results were in line with our expectations coming into the quarter, see our... More

Jefferies Reiterates Buy Rating on Palo Alto Networks (PANW)

Jefferies analyst Joseph Gallo reiterated a Buy rating and $365.00 price target on Palo Alto Networks (NASDAQ: PANW).

The analyst comments "F3Q billings grew 3% yoy in-line with guidance but below elevated expectations. Normalized results were worse when considering fed traction & one large deal... More

Palo Alto Networks (PANW) PT Lowered to $360 at RBC Capital

RBC Capital analyst Matthew Hedberg lowered the price target on Palo Alto Networks (NASDAQ: PANW) to $360.00 (from $365.00) while maintaining a Outperform rating.

The analyst comments "While not a clean quarter relative to expectations, we thought underlying momentum was better than first blush.... More

Evercore ISI Reiterates Outperform Rating on Palo Alto Networks (PANW)

Evercore ISI analyst Peter Levine reiterated an Outperform rating and $385.00 price target on Palo Alto Networks (NASDAQ: PANW).

The analyst comments "PANW put up a solid quarter, but the post-market response to a weaker billings quarter and lack luster guide is unsurprising. The core of our Tactical Underperform (here) was the lack of conviction heading into the print, given the numerous moving parts of the billings metric. There was little debate about whether F3Q billing was sufficiently de-risked; instead, the focus was on how significant a beat and raise needed to be... More

Stifel Reiterates Buy Rating on Palo Alto Networks (PANW)

Stifel analyst Adam Borg reiterated a Buy rating and $330.00 price target on Palo Alto Networks (NASDAQ: PANW).

The analyst comments "Palo delivered a generally in-line print, with most metrics above consensus estimates (including NGS ARR +47%-Y/Y; RPO +23%-Y/Y) although billings grew... More

Wolfe Research Reiterates Outperform Rating on Palo Alto Networks (PANW)

Wolfe Research analyst Strecker Backe reiterated an Outperform rating and $315.00 price target on Palo Alto Networks (NASDAQ: PANW)

The analyst comments "The stock currently trades at ~30x EV/FCF FY +2 which is above its one, three and five-year historical average FCF FY +2 multiple of ~27x, 23x, and 21x, respectively. Compared to our Heavyweight Efficiency comp group... More

Morgan Stanley on Palo Alto Networks (PANW): 'Playing the Long Game'

Morgan Stanley analyst Hamza Fodderwala reiterated an Overweight rating and $360.00 price target on Palo Alto Networks (NASDAQ: PANW)

The analyst comments "FQ3 results were largely in line, but below higher buyside expectations. cRPO bookings accelerated as PANW's platformization strategy is driving larger... More

Palo Alto Networks (PANW) PT Raised to $334 at BMO Capital, 'The Journey Remains'

BMO Capital analyst Keith Bachman raised the price target on Palo Alto Networks (NASDAQ: PANW) to $334.00 (from $327.00) while maintaining a Outperform rating.

The analyst comments "While we believe investors were expecting a billings beat and raise, our take is that PANW is... More

Palo Alto Networks (PANW) Tops Q3 EPS by 7c, Offers Guidance

(Updated - May 20, 2024 4:20 PM EDT)

Palo Alto Networks (NASDAQ: PANW) reported Q3 EPS of $1.32, $0.07 better than the analyst estimate of $1.25. Revenue for the quarter came in at $2 billion versus the consensus estimate of $1.97 billion.

GUIDANCE:

Palo Alto... More