Palo Alto Networks (NASDAQ:PANW) Shares Up 0.7% – Still a Buy?

Shares of Palo Alto Networks, Inc. (NASDAQ:PANW) shot up 0.7% on Tuesday . The stock traded as high as $169.84 and last traded at $168.92. 1,548,936 shares were traded during mid-day trading, a decline of 74% from the average session volume of 5,964,173 shares. The stock had previously closed at $167.82.

Analyst Ratings Changes

Several research analysts have issued reports on the stock. Hsbc Global Res cut shares of Palo Alto Networks from a “hold” rating to a “moderate sell” rating in a report on Friday, November 22nd. Scotiabank cut their price objective on shares of Palo Alto Networks from $400.00 to $200.00 and set a “sector outperform” rating on the stock in a report on Friday, January 3rd. BNP Paribas assumed coverage on Palo Alto Networks in a report on Tuesday, October 8th. They set an “outperform” rating and a $205.00 target price for the company. Piper Sandler lifted their price target on Palo Alto Networks from $165.00 to $192.50 and gave the company a “neutral” rating in a report on Thursday, November 21st. Finally, OTR Global reissued a “negative” rating on shares of Palo Alto Networks in a research report on Thursday, November 7th. Three investment analysts have rated the stock with a sell rating, twelve have given a hold rating, twenty-nine have given a buy rating and one has given a strong buy rating to the company’s stock. According to data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average target price of $200.04.

Palo Alto Networks Stock Performance

The firm has a market cap of $116.26 billion, a price-to-earnings ratio of 46.14, a PEG ratio of 4.94 and a beta of 1.14. The business’s 50 day moving average price is $190.32 and its 200 day moving average price is $178.52.

Palo Alto Networks (NASDAQ:PANW) last released its quarterly earnings results on Wednesday, November 20th. The network technology company reported $0.78 EPS for the quarter, beating the consensus estimate of $0.74 by $0.04. The company had revenue of $2.14 billion for the quarter, compared to analyst estimates of $2.12 billion. Palo Alto Networks had a net margin of 32.99% and a return on equity of 23.36%. The firm’s revenue was up 13.9% on a year-over-year basis. During the same quarter last year, the business earned $0.32 earnings per share. Sell-side analysts anticipate that Palo Alto Networks, Inc. will post 1.75 earnings per share for the current fiscal year.

Insider Buying and Selling

In other news, EVP Lee Klarich sold 120,000 shares of Palo Alto Networks stock in a transaction dated Monday, January 6th. The shares were sold at an average price of $179.70, for a total value of $21,564,000.00. Following the sale, the executive vice president now owns 365,856 shares in the company, valued at $65,744,323.20. This trade represents a 24.70 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, CEO Nikesh Arora sold 176,242 shares of the company’s stock in a transaction dated Monday, January 6th. The stock was sold at an average price of $180.04, for a total transaction of $31,730,609.68. Following the transaction, the chief executive officer now owns 1,086,404 shares of the company’s stock, valued at approximately $195,596,176.16. This trade represents a 13.96 % decrease in their position. The disclosure for this sale can be found here. In the last 90 days, insiders sold 867,734 shares of company stock valued at $161,546,523. 2.50% of the stock is owned by company insiders.

Institutional Investors Weigh In On Palo Alto Networks

Several large investors have recently bought and sold shares of the company. Capital Advisors Ltd. LLC increased its position in shares of Palo Alto Networks by 113.9% during the third quarter. Capital Advisors Ltd. LLC now owns 77 shares of the network technology company’s stock worth $26,000 after purchasing an additional 41 shares in the last quarter. Abound Wealth Management boosted its stake in Palo Alto Networks by 97.3% during the 4th quarter. Abound Wealth Management now owns 146 shares of the network technology company’s stock worth $27,000 after purchasing an additional 72 shares during the last quarter. Sound Income Strategies LLC grew its holdings in shares of Palo Alto Networks by 352.6% during the third quarter. Sound Income Strategies LLC now owns 86 shares of the network technology company’s stock worth $29,000 after buying an additional 67 shares in the last quarter. Strategic Investment Solutions Inc. IL raised its position in shares of Palo Alto Networks by 177.4% in the third quarter. Strategic Investment Solutions Inc. IL now owns 86 shares of the network technology company’s stock valued at $29,000 after buying an additional 55 shares during the last quarter. Finally, Itau Unibanco Holding S.A. purchased a new position in shares of Palo Alto Networks in the third quarter worth about $29,000. 79.82% of the stock is currently owned by hedge funds and other institutional investors.

Palo Alto Networks Company Profile

Palo Alto Networks, Inc provides cybersecurity solutions worldwide. The company offers firewall appliances and software; and Panorama, a security management solution for the global control of network security platform as a virtual or a physical appliance. It also provides subscription services covering the areas of threat prevention, malware and persistent threat, URL filtering, laptop and mobile device protection, DNS security, Internet of Things security, SaaS security API, and SaaS security inline, as well as threat intelligence, and data loss prevention.