Merely in-line expectations for cybersecurity company's fiscal year drags on the stock.
Palo Alto stock fell amid fiscal Q1 earnings that topped estimates while revenue met views while guidance underwhelmed investors. The post Palo Alto Networks Guidance Underwhelms Investors, Shares Fall appeared first on Investor's Business Daily.
Palo Alto Networks Inc (NYSE:PANW, ETR:5AP) reported better-than-expected first-quarter adjusted earnings on Wednesday, though revenue narrowly missed estimates, prompting its stock to drop during after-hours trading. The cybersecurity company posted adjusted earnings per share (EPS) of $1.56, exceeding Wall Street's consensus estimate of $1.48.
In non-Nvidia (NVDA) A.I. stocks earnings coverage, Oliver Renick, Caroline Woods and Kevin Green break down what's behind Palo Alto Networks' (PANW) slip to the downside.
Palo Alto Networks Inc PANW will report its first-quarter earnings on Wednesday. Wall Street expects $1.48 in EPS and $2.12 billion in revenues as the company reports after market hours.
Palo Alto Networks Inc (NYSE:PANW, ETR:5AP) is set to report a solid quarter when it hands down its fiscal first quarter 2025 financial results on Wednesday, November 20, Bank of America analysts believe. Wall Street analysts, on average, expect the cybersecurity firm to report revenue to grow almost 13% year-over-year to $2.12 billion while earnings per share (EPS) are expected to grow to $1.48 from $1.38 in the year-ago quarter.
Heightened demand for cybersecurity solutions, increased software mix and better cost management are likely to aid PANW's Q1 results.
Get a deeper insight into the potential performance of Palo Alto (PANW) for the quarter ended October 2024 by going beyond Wall Street's top -and-bottom-line estimates and examining the estimates for some of its key metrics.
Since Nikesh Arora became CEO in 2018, Palo Alto Networks transformed from a hardware firewall company to a comprehensive cybersecurity platform. Arora's platformization strategy consolidates 30-40 cybersecurity tools, enhancing security through better integration between tools. Although platformization hurts the company's short-term results, its long-term revenue growth and profitability potential have risen. PANW remains a buy.
Nikesh Arora, Palo Alto Networks CEO, joins 'Money Movers' to discuss how Trump's reelection will impact the cybersecurity industry, which kinds of investment is coming, and much more.
Recently, Zacks.com users have been paying close attention to Palo Alto (PANW). This makes it worthwhile to examine what the stock has in store.
Management delivered more margin expansion than expected in their FY24 year and guided for robust margin expansion in FY25, which sets the company for strong growth ahead. The cybersecurity sector faced disruptions in 2024, including CrowdStrike's outage and Palo Alto Networks' caution on "spending fatigue." PANW forecasts slower revenue growth (13-14%) but focuses on expanding its platform within its client base to drive efficiency.