Palo Alto Networks Inc (PANW) FY2026Q1 Earning Prediction
Palo Alto Networks Inc (PANW) is set to release its FY2026Q1 earnings performance on 11/19 16:05:00 ET in After Hours trading. Consensus forecasts predict a revenue of 2.46B and an earnings per share (EPS) of 0.89 for the FY2026Q1. With Intellectia's exclusive AI algorithms, users can predict whether the earnings will beat or miss expectations before the report drops. Leverage this powerful tool to strategize and position your trades ahead of the earnings release!
AI Earnings Prediction
The earnings forecast predicts a Beat due to positive demand signals, strategic acquisitions, and margin expansion.
Scenario Analysis
Key Indicators Forecast
No data
Prediction Logic & Rational
Logic & Justification
Fact Data Analysis:
- Positive Demand Signals:
Platformization Success: Multiple analysts (TD Cowen, BTIG, Wedbush) highlight strong platform adoption, driving Next-Gen Security ARR growth (a key metric). Channel checks indicate sustained demand for Palo Alto’s integrated security solutions.
AI Leadership: Rapid AI ARR growth ( 2.5x YoY) is reinforced by Citigroup and Tigress Financial, noting Palo Alto’s early dominance in AI-driven security solutions.
- Strategic Acquisition Momentum:
- CyberArk Approval: Shareholder approval of the CyberArk acquisition (Nov 13) strengthens Palo Alto’s identity security portfolio, with analysts (Citizens JMP, Barclays) citing long-term synergies and market expansion.
- Margin Expansion Catalysts:
- Cost Discipline: Morgan Stanley and BTIG emphasize Palo Alto’s improved free cash flow targets (40%+ by FY28) and operating margin expansion (30%+ in FY25Q4), driven by platformization reducing siloed costs.
- Risk Factors:
Data Breach Impact: The September data breach exposed customer data, but minimal analyst focus suggests limited financial fallout.
High Expectations: The stock’s 12.55% rally since last earnings raises the bar for a Strong Beat.
Conclusion: Fact data supports outperformance on Next-Gen Security ARR, AI adoption, and margin expansion, but high expectations likely cap upside at a Beat rather than a Strong Beat.
Tactical Strategy Recommendations
Trading Strategy
- Stock: Buy ahead of earnings for short-term upside; high institutional confidence (12 analyst upgrades in 3 months).
- Options:
- Bull Call Spread: Buy Nov 22 $210 calls / sell $225 calls to capitalize on a Beat.
- Hedge: Buy Nov 22 $195 puts (15% probability of Miss).
- Post-Earnings: If Beat occurs, sell into strength (high valuation at 40x P/E). If Strong Beat, hold for AI/Cloud narrative momentum.
Earnings Surprise Analysis
PANW Transcript
The earnings call indicates strong financial performance and strategic growth plans, including AI and quantum preparedness, SASE growth, and impactful acquisitions like Chronosphere and CyberArk. Despite some lack of detailed guidance, the optimistic outlook on revenue growth, next-gen security ARR, and strategic acquisitions suggest a positive sentiment. The Q&A section supports this with management addressing key growth drivers and strategic initiatives, aligning with the positive sentiment from the earnings summary.
The earnings call reveals strong financial performance with record high revenue growth in key areas like software and services, a significant operating margin expansion, and a robust free cash flow margin. The Q&A section reinforces this with strategic insights into security consolidation, market share gains, and durable growth drivers. Despite some evasive responses, the overall sentiment is positive, driven by innovation, strategic partnerships, and optimistic guidance. The company's market cap isn't provided, but the positive indicators suggest a likely stock price increase in the 2% to 8% range.
PANW Slides
PANW Report
Frequently Asked Questions
What is the Palo Alto Networks Inc FY2026Q1 Earnings Release Date and Time?
Palo Alto Networks Inc (PANW) is scheduled to release its FY2026Q1 earnings report onNov 19, 2025, After Hours(approximately 4:00 PM ET). This timing allows investors to react during after-hours trading, with a conference call typically following shortly after.
What Are the Consensus Forecasts for Palo Alto Networks Inc FY2026Q1 Revenue and EPS?
Analysts' consensus predicts 2.46B in revenue and an EPS of 0.89 for Palo Alto Networks Inc's FY2026Q1.
What Does Intellectia's AI Predict for Palo Alto Networks Inc FY2026Q1 Earnings?
Intellectia's exclusive AI algorithms forecast a Beat forPalo Alto Networks Inc's FY2026Q1 earnings, with a prediction date of Nov 19, 2025. Palo Alto Networks Inc The earnings forecast predicts a Beat due to positive demand signals, strategic acquisitions, and margin expansion.
How Can I Use This Earnings Prediction to Trade PANW Stock?
Leverage Intellectia's AI forecast to position trades ahead of theNov 19, 2025 release—consider calls for a beat scenario or protective puts for misses. Focus on pre-market volatility, and use the scenario probabilities to build strategies around revenue and guidance updates.
How Accurate Is Intellectia's AI for Earnings Predictions Like Palo Alto Networks Inc FY2026Q1?
Intellectia's predictions are backed by rigorous backtesting, showing a high hit rate for Beat and Miss calls compared to traditional analysis. While no forecast is 100% certain, we provide probability-based scenarios (e.g., 50% chance of a *Beat*) and detailed rationales to help you make informed decisions. Combine our insights with your strategy for the best results—it's like having a co-pilot for earnings season! Empowering users to strategize trades before reports drop.
How does AI Earnings Prediction generate its forecasts?
AI Earnings Prediction uses advanced Large Language Models (LLMs) to analyze a wealth of data, including past earnings transcripts, real-time market sentiment, analyst insights, and company news from the last three months. It focuses on key indicators like revenue, EPS, and margins to predict whether a company will *Beat*, *Miss*, or remain Neutral relative to market expectations. Think of it as a super-smart analyst crunching numbers and news 24/7 to give you a trading edge!
When are the predictions available, and how often are they updated?
Predictions are generated two days before a company’s earnings release (e.g., 5:00 PM ET on Feb 13 for a Feb 15 report) to capture the latest market and company data. They’re updated in real-time if significant news breaks, ensuring you get fresh insights.
Can I use AI Earnings Prediction for all types of stocks?
Currently, AI Earnings Prediction focuses on companies with market caps above $40 billion, covering major players like SPG, AAPL, MSFT, and NVDA for the 2025-2026 earnings seasons. We prioritize high-impact stocks with robust data to ensure reliable forecasts. Stay tuned as we expand coverage to more companies based on user demand!
