Palo Alto Networks TodayPANWPalo Alto Networks$376.10 -2.31 (-0.61%) (As of 10/22/2024 ET)52-Week Vary$233.81▼$384.00P/E Ratio51.88Price Goal$375.79
Shares of Palo Alto Networks NASDAQ: PANW have had a stellar 12 months, with shares persevering with to construct on a 180% rally that began in early 2023. Now simply $5 shy of its all-time excessive from February, pleasure is rising for what’s subsequent. 
With a market cap of $122 billion, the outlook for this California-based cybersecurity chief continues to enhance, pushed by sturdy demand for its product providing and its aggressive positioning.Get Palo Alto Networks alerts:Signal Up
As we head into the ultimate few weeks of the 12 months, there are a number of causes for buyers to be enthusiastic about Palo Alto Networks’ inventory. Let’s bounce in and have a look.
Palo Alto’s Constant Efficiency
To begin with, there’s the corporate’s elementary efficiency. Palo Alto Networks has been constantly crushing analyst expectations, and final August’s report was no totally different. As CFO Dipak Golechha summed up on the time, “We efficiently balanced worthwhile progress, as our non-GAAP working margins elevated by greater than 300 foundation factors for the 12 months with sturdy money era, marking among the finest years for Palo Alto Networks.”
This type of optimism and momentum places stress, in a great way, on Palo Alto Networks to ship once more in subsequent month’s earnings report. Evidently, the truth that its shares look set to proceed rallying into the discharge bodes effectively for it. 
There’s additionally the broader market backdrop to contemplate, and it is secure to say it’s extremely a lot working in Palo Alto Community’s favor. The benchmark S&P 500 index is hitting contemporary all-time highs, which, in tandem with a dovish-leaning Fed, helps to gas a risk-on sentiment throughout shares typically. 
Bullish Updates for PANW Inventory
Palo Alto Networks Inventory Forecast Today12-Month Inventory Value Forecast:$376.820.19% UpsideModerate BuyBased on 41 Analyst RatingsHigh Forecast$450.00Average Forecast$376.82Low Forecast$260.00Palo Alto Networks Inventory Forecast Particulars
Past the sturdy elementary efficiency, it is value noting that a number of analysts are bullish on Palo Alto Community’s outlook. This month alone, the groups at KeyCorp, Barclays, Morgan Stanley, and BNP Paribas have all rated the inventory a Purchase. This builds on an analogous stance from Susquehanna in late September. 
A lot of the optimism facilities on Palo Alto’s platformization technique and its sturdy positioning within the ever-growing demand for cybersecurity options. Every replace has steered the inventory has extra room to run, with KeyCorp’s worth goal aiming notably excessive. Contemplating Palo Alto Community shares closed out final week just below $375, KeyCorp’s worth goal of $435 is pointing to a further upside of round 16%. Evidently, have been Palo Alto Networks’ shares to pattern up in the direction of that degree within the coming weeks, they’d be at contemporary all-time highs. 
Potential Considerations: Palo Alto Networks’ Excessive P/E Ratio of 52
For these of us contemplating getting concerned, there are a number of issues value noting. First, Palo Alto Community’s price-to-earnings (P/E) ratio stands at 52, which is comparatively excessive in comparison with broader market averages. A inventory’s P/E ratio is a well-liked technique of rapidly ascertaining how costly or low cost a inventory is to its friends and the broader market. 
Nevertheless, whereas Palo Alto Community’s ratio could possibly be referred to as somewhat excessive, it is nonetheless a lot decrease than their competitor CrowdStrike Holdings Inc’s NASDAQ: CRWD P/E ratio of 453.
Getting Concerned: Palo Alto Networks’ RSI Alerts Sturdy Demand
The inventory’s Relative Power Index (RSI) studying of 66 can be value noting. Whereas somewhat heat, it alerts sturdy underlying demand whereas falling wanting the overbought degree of 70. In truth, it has an extended historical past of being round this degree, if not a bit larger, whereas the inventory continues to be logging constant beneficial properties.
Palo Alto Networks, Inc. (PANW) Value Chart for Tuesday, October, 22, 2024

Buyers ought to search for the inventory to hit a brand new all-time excessive within the coming weeks, with little resistance forward of it till it is effectively above $400. Earlier than you contemplate Palo Alto Networks, you may need to hear this.MarketBeat retains monitor of Wall Avenue’s top-rated and finest performing analysis analysts and the shares they advocate to their shoppers every day. MarketBeat has recognized the 5 shares that high analysts are quietly whispering to their shoppers to purchase now earlier than the broader market catches on… and Palo Alto Networks wasn’t on the listing.Whereas Palo Alto Networks at the moment has a “Average Purchase” score amongst analysts, top-rated analysts consider these 5 shares are higher buys.View The 5 Shares Right here Virtually everybody loves sturdy dividend-paying shares, however excessive yields can sign hazard. Uncover 20 high-yield dividend shares paying an unsustainably massive share of their earnings. Enter your e mail to get this report and keep away from a high-yield dividend lure.Get This Free Report

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