The information provided on EL7.AI is for educational and informational purposes only and does not constitute financial advice.
The information provided on EL7.AI is for educational and informational purposes only and does not constitute financial advice.
| Factor | Score | Distribution | Value | Avg | Verdict |
|---|---|---|---|---|---|
Valuation | 16 | 247.6x | 20.1x | Below average | |
Growth | 47 | 19.5% | 5.6% | Near average | |
Quality | 52 | 3.8% | 7.6% | Near average | |
Safety | 86 | -0.3x | 0.4x | Above average | |
Capital Return | 31 | — | 2.19% | Below average | |
Momentum | — | — | — | No data | |
Sentiment | — | — | — | No data |
This section combines price targets, revision history, analyst coverage changes, and an AI summary of what changed on the Street.
Palo Alto Networks stock has experienced a sharp positive shift in analyst estimates, with the average price target jumping 56% over 30 days to reach $324.61, reflecting significant optimism that exceeds the current price of $280.43. This collective rise in price targets occurred while the number of analysts remained steady (15 analysts), indicating a comprehensive reassessment of the stock's fair value by existing institutions rather than merely the entry of new opinions.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
Palo Alto Networks, Inc. (PANW) is a global cybersecurity leader, providing integrated security platforms to protect networks, clouds, endpoints, and digital identities. The company's business model is based on delivering software subscriptions, cloud services, and selling physical security appliances (firewalls), in addition to technical support and maintenance services. Its current strategy centers on the concept of "Platformization," which aims to consolidate fragmented cyber defense tools to enable organizations to respond to threats in real time and at ultra-high speeds.
During the second quarter of fiscal year 2026, the company achieved strong financial results; total revenue reached $2.6 billion, representing a 15% year-over-year growth (excluding the impact of the recently closed Chronosphere transaction). Gross profit for the quarter was $1.9 billion, with a net income of $432.0 million, translating to earnings per share of $0.61. The company also maintained strong operating margins exceeding the 30% threshold for the third consecutive quarter, specifically recording 30.3%, driven by 14% growth in services and subscription revenues to reach record levels.
Palo Alto Networks stock is currently trading at $300.48, placing it near the upper end of its 52-week range of $139.57 to $302.95. The current analyst consensus indicates a 'Buy' recommendation with an average price target of $243.55 (with a high estimate of $300 and a low estimate of $180), meaning the stock is currently trading above the estimated market consensus target price.
The company achieved revenue of $2.59 billion, growing 15% year-over-year, accompanied by gross profits of $1.9 billion and net income of $432.0 million. Non-GAAP diluted earnings per share rose to $1.03, beating expectations. The company maintained its operational efficiency with an operating margin of 30.3%, supported by a 28% organic growth in NGS ARR to reach $6.33 billion.
The company updated its guidance for the third quarter and full fiscal year 2026 to include contributions from CyberArk and Chronosphere. For the third quarter, the company expects NGS ARR to range between $7.94 billion and $7.96 billion (including $1.47 billion from acquisitions), and revenue between $2.941 billion and $2.945 billion. For the full fiscal year 2026, revenue is projected to range between $11.28 billion and $11.31 billion with an adjusted free cash flow margin of 37%.
The company closed the acquisition of Chronosphere in the second quarter for $2.6 billion in cash, followed by the closing of the CyberArk transaction in the third quarter for $2.3 billion in cash and the issuance of 112 million shares. This represents a total cash outlay of $4.9 billion for both projects. Chronosphere contributes $200 million in ARR, while CyberArk contributes approximately $1.2 billion in ARR (based on December 2025 data).
Automated analysis for informational purposes only — not investment advice.
Prisma AIRS is a dedicated security platform designed to protect AI models and the applications built on them throughout their lifecycle. The platform has experienced extremely rapid growth, with its customer base more than tripling between the first and second quarters to exceed 100 customers by the end of Q2 fiscal 2026. This platform helps attract massive deals, with an active pipeline valued in the hundreds of millions.
Koi is a pioneer in securing agentic artificial intelligence endpoints. Palo Alto Networks plans to integrate Koi's technologies within its Cortex XDR 2.0 platform and its comprehensive AI security platform to provide complete visibility and protection against new software threats, such as MCP servers and browser extensions that are not covered by traditional monitoring.