We're increasing our stake in this cybersecurity giant following a challenging period after earnings reports.
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Nov 24 2025
0mins
Should l Buy PANW?
Source: CNBC
Investment in Palo Alto Networks: Jim Cramer's Charitable Trust is purchasing 40 shares of Palo Alto Networks (PANW) at approximately $185 each, increasing its total holdings to 450 shares and raising its portfolio weighting in the company to 2.25%.
Market Reaction to Earnings: Despite a strong earnings report, Palo Alto's stock has dropped about 8% since the announcement, attributed to high investor expectations and concerns over a $3.35 billion acquisition of Chronosphere.
Platformization Strategy: Palo Alto's strategy of "platformization," which encourages customers to consolidate their cybersecurity solutions with them, has been crucial for gaining market share and is seen as a positive move in the current cybersecurity landscape.
Broader Cybersecurity Commitment: The trust also holds shares in CrowdStrike and emphasizes the importance of investing in cybersecurity, especially given the heightened threat environment, while adhering to specific trading protocols for transparency.
Trade with 70% Backtested Accuracy
Stop guessing "Should I Buy PANW?" and start using high-conviction signals backed by rigorous historical data.
Sign up today to access powerful investing tools and make smarter, data-driven decisions.
Analyst Views on PANW
Wall Street analysts forecast PANW stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for PANW is 232.49 USD with a low forecast of 157.00 USD and a high forecast of 265.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
34 Analyst Rating
28 Buy
5 Hold
1 Sell
Strong Buy
Current: 154.770
Low
157.00
Averages
232.49
High
265.00
Current: 154.770
Low
157.00
Averages
232.49
High
265.00
About PANW
Palo Alto Networks, Inc. provides comprehensive artificial intelligence (AI)-powered security solutions across network, cloud, security operations and AI. The Company focuses on four areas: Network Security, Cloud Security, Security Operations and Threat Intelligence and Advisory Services (Unit 42). Its network security platform comprises ML-powered firewalls, AI Runtime Security, and a Secure Access Service Edge (SASE) framework, which includes Prisma Access, Prisma SD-WAN, and Prisma Access Browser to secure remote workforces and branch offices. Its Cloud security is delivered via Prisma Cloud, a Code to Cloud platform that protects applications, data, GenAI environments, and the cloud-native stack throughout the development lifecycle. Its Unit 42 division provides intelligence-led consulting, incident response, managed detection and response, and threat hunting services. Its Prisma AIRS is an AI security platform which secures applications, agents, models and data.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Investment Opportunities in Fluor, Palo Alto, and IBM
- Infrastructure Demand Surge: Fluor is expected to see a nearly 4% revenue decline in 2024, yet the urgency of infrastructure projects makes investing in FLR stock appealing, particularly as the demand for nuclear facility construction is set to triple by 2050 in the U.S.
- Cybersecurity Market Expansion: Palo Alto Networks reported a record 3,322 data breaches in 2022, a 79% increase from 2020, highlighting strong demand for its cybersecurity services, with projected revenue growth of 14% this year and 13% next year, indicating sustained market leadership.
- IBM's AI Transformation: IBM achieved a 12% year-over-year revenue growth last quarter, primarily driven by sales of AI-capable mainframes and software, particularly strong in automation and data management, showcasing its enhanced competitiveness in the artificial intelligence race.
- Investment Risks and Returns: While Fluor did not make the Motley Fool's list of top stocks, its potential in infrastructure and nuclear energy warrants consideration, especially amid increasing economic uncertainty, prompting investors to weigh risks against potential returns.
See More
Analysis of High-Risk Investment Opportunities
- Fluor's Outlook: Fluor (FLR) is expected to see a nearly 4% decline in full-year revenue for 2023, yet the urgency of infrastructure projects may drive a stock rebound, currently priced at $47.04 with a market cap of $7.6 billion, indicating potential for future growth.
- Rising Cybersecurity Demand: Palo Alto Networks (PANW) anticipates a 14% revenue growth this year and 13% next year, amidst a surge in data breaches to 3,322, highlighting strong demand for high-level cybersecurity services, with a current stock price of $159.43.
- IBM's Recovery: International Business Machines (IBM) achieved a 12% year-over-year growth last quarter, primarily driven by sales of AI-capable mainframes and software, with a current stock price of $299.04 and a market cap of $279 billion, indicating its strengthening competitiveness in the AI sector.
- Investor Confidence: Despite Fluor and Palo Alto Networks not sustaining stock price increases, analysts remain optimistic about their prospects, particularly for Palo Alto, which has a price target of $228.79, suggesting a 37% upside from its current price.
See More
JPMorgan Earnings Spark Market Optimism
- Earnings Optimism: Early earnings reports from JPMorgan show strong performance, with a 3.89% stock price increase, boosting overall market confidence in the banking sector and potentially attracting more investor interest in financial stocks.
- Policy Shift Impact: As Federal Reserve policies shift, market participants must closely monitor interest rate trends, which will directly affect banks' profitability and loan demand, potentially leading to increased market volatility.
- Cybersecurity Risks: Cybersecurity firms like Palo Alto Networks saw a 3.01% stock price increase, but the potential risks they face may undermine investor confidence, especially amid rising incidents of data breaches and cyberattacks.
- Market Dynamics Reshaping: As earnings season progresses, investors should pay attention to performance across sectors, particularly in banking and cybersecurity, as these could reshape market dynamics in the coming weeks.
See More
Tech Stocks Rebound, Broadcom Rating Upgraded
- Market Rebound: After a tough week, tech stocks rebounded on Friday, although Amazon pulled back post-earnings, with the S&P 500 and Nasdaq still lower for the week, indicating ongoing volatility and investor focus on the tech sector.
- Surge in Capital Expenditures: Meta's capital expenditures reached $72.22 billion for the full year 2025, with plans to invest up to $135 billion in 2026, reflecting strong demand for AI infrastructure that is expected to boost earnings and backlogs for various companies.
- Broadcom Rating Upgrade: Given the capital expenditure plans from Alphabet and Meta, Broadcom's rating has been upgraded to buy, with expectations that it will exceed earnings estimates, and the current stock pullback presents an attractive entry point, showcasing confidence in the semiconductor sector.
- Economic Data Focus: Important economic data will be released next week, including the January employment report, with economists expecting nonfarm job gains of about 70,000 and an unchanged unemployment rate of 4.4%, as the market remains sensitive to changes in the employment landscape.
See More
US Stocks Plunge as Tech Sector Leads Decline
- Tech Sector Decline: Qualcomm's (QCOM) forecast of weaker-than-expected Q2 revenue led to an over 8% drop in its stock, triggering a sell-off across the tech sector, with the Nasdaq 100 index hitting a 2.5-month low, indicating waning investor confidence in technology stocks.
- Weak Labor Market Signals: Challenger's report revealed a staggering 117.8% year-over-year increase in job cuts for January, totaling 108,435, the highest for January since 2009, while initial jobless claims rose by 22,000 to 231,000, highlighting vulnerabilities in the US labor market that could hinder economic recovery.
- Bitcoin Plunge: Bitcoin (^BTCUSD) plummeted over 12% to a 1.25-year low, reflecting deepening negative momentum in the cryptocurrency market, with approximately $2 billion flowing out of Bitcoin ETFs in the past month, signaling a decline in investor confidence.
- Earnings Season Impact: Despite 150 S&P 500 companies set to report earnings this week, market focus on economic data intensifies, with S&P 500 earnings expected to grow by 8.4% in Q4, yet overall market sentiment remains suppressed by recent economic weakness.
See More
Testing the AI Threat to Software Companies
- AI Tool Threat: CNBC tested the threat of AI to software companies using Anthropic's AI coding tool Claude Code, which demonstrated the ability to generate functional prototypes in a short time, posing a challenge to traditional software like Monday.com, valued at $5 billion.
- Market Reaction: Recent sell-offs in software, legal services, and video game stocks stem from fears of AI's new features, with investors particularly concerned about tools like Atlassian, Adobe, and HubSpot that are seen as more vulnerable to disruption.
- System Security Analysis: While record systems like Salesforce are relatively secure due to their core enterprise data, they are not immune; analysts suggest that the rapid advancement of AI could impact these systems' market positions, especially in a fast-evolving tech landscape.
- Investment Opportunities: The wholesale sell-off in the software sector presents investors with the chance to differentiate between 'need-to-haves' and 'nice-to-haves', allowing them to identify companies that maintain competitive advantages amid the AI wave for long-term returns.
See More
Investment Opportunities in Fluor, Palo Alto, and IBM
- Infrastructure Demand Surge: Fluor is expected to see a nearly 4% revenue decline in 2024, yet the urgency of infrastructure projects makes investing in FLR stock appealing, particularly as the demand for nuclear facility construction is set to triple by 2050 in the U.S.
- Cybersecurity Market Expansion: Palo Alto Networks reported a record 3,322 data breaches in 2022, a 79% increase from 2020, highlighting strong demand for its cybersecurity services, with projected revenue growth of 14% this year and 13% next year, indicating sustained market leadership.
- IBM's AI Transformation: IBM achieved a 12% year-over-year revenue growth last quarter, primarily driven by sales of AI-capable mainframes and software, particularly strong in automation and data management, showcasing its enhanced competitiveness in the artificial intelligence race.
- Investment Risks and Returns: While Fluor did not make the Motley Fool's list of top stocks, its potential in infrastructure and nuclear energy warrants consideration, especially amid increasing economic uncertainty, prompting investors to weigh risks against potential returns.
See More
Analysis of High-Risk Investment Opportunities
- Fluor's Outlook: Fluor (FLR) is expected to see a nearly 4% decline in full-year revenue for 2023, yet the urgency of infrastructure projects may drive a stock rebound, currently priced at $47.04 with a market cap of $7.6 billion, indicating potential for future growth.
- Rising Cybersecurity Demand: Palo Alto Networks (PANW) anticipates a 14% revenue growth this year and 13% next year, amidst a surge in data breaches to 3,322, highlighting strong demand for high-level cybersecurity services, with a current stock price of $159.43.
- IBM's Recovery: International Business Machines (IBM) achieved a 12% year-over-year growth last quarter, primarily driven by sales of AI-capable mainframes and software, with a current stock price of $299.04 and a market cap of $279 billion, indicating its strengthening competitiveness in the AI sector.
- Investor Confidence: Despite Fluor and Palo Alto Networks not sustaining stock price increases, analysts remain optimistic about their prospects, particularly for Palo Alto, which has a price target of $228.79, suggesting a 37% upside from its current price.
See More
JPMorgan Earnings Spark Market Optimism
- Earnings Optimism: Early earnings reports from JPMorgan show strong performance, with a 3.89% stock price increase, boosting overall market confidence in the banking sector and potentially attracting more investor interest in financial stocks.
- Policy Shift Impact: As Federal Reserve policies shift, market participants must closely monitor interest rate trends, which will directly affect banks' profitability and loan demand, potentially leading to increased market volatility.
- Cybersecurity Risks: Cybersecurity firms like Palo Alto Networks saw a 3.01% stock price increase, but the potential risks they face may undermine investor confidence, especially amid rising incidents of data breaches and cyberattacks.
- Market Dynamics Reshaping: As earnings season progresses, investors should pay attention to performance across sectors, particularly in banking and cybersecurity, as these could reshape market dynamics in the coming weeks.
See More
Tech Stocks Rebound, Broadcom Rating Upgraded
- Market Rebound: After a tough week, tech stocks rebounded on Friday, although Amazon pulled back post-earnings, with the S&P 500 and Nasdaq still lower for the week, indicating ongoing volatility and investor focus on the tech sector.
- Surge in Capital Expenditures: Meta's capital expenditures reached $72.22 billion for the full year 2025, with plans to invest up to $135 billion in 2026, reflecting strong demand for AI infrastructure that is expected to boost earnings and backlogs for various companies.
- Broadcom Rating Upgrade: Given the capital expenditure plans from Alphabet and Meta, Broadcom's rating has been upgraded to buy, with expectations that it will exceed earnings estimates, and the current stock pullback presents an attractive entry point, showcasing confidence in the semiconductor sector.
- Economic Data Focus: Important economic data will be released next week, including the January employment report, with economists expecting nonfarm job gains of about 70,000 and an unchanged unemployment rate of 4.4%, as the market remains sensitive to changes in the employment landscape.
See More
US Stocks Plunge as Tech Sector Leads Decline
- Tech Sector Decline: Qualcomm's (QCOM) forecast of weaker-than-expected Q2 revenue led to an over 8% drop in its stock, triggering a sell-off across the tech sector, with the Nasdaq 100 index hitting a 2.5-month low, indicating waning investor confidence in technology stocks.
- Weak Labor Market Signals: Challenger's report revealed a staggering 117.8% year-over-year increase in job cuts for January, totaling 108,435, the highest for January since 2009, while initial jobless claims rose by 22,000 to 231,000, highlighting vulnerabilities in the US labor market that could hinder economic recovery.
- Bitcoin Plunge: Bitcoin (^BTCUSD) plummeted over 12% to a 1.25-year low, reflecting deepening negative momentum in the cryptocurrency market, with approximately $2 billion flowing out of Bitcoin ETFs in the past month, signaling a decline in investor confidence.
- Earnings Season Impact: Despite 150 S&P 500 companies set to report earnings this week, market focus on economic data intensifies, with S&P 500 earnings expected to grow by 8.4% in Q4, yet overall market sentiment remains suppressed by recent economic weakness.
See More
Testing the AI Threat to Software Companies
- AI Tool Threat: CNBC tested the threat of AI to software companies using Anthropic's AI coding tool Claude Code, which demonstrated the ability to generate functional prototypes in a short time, posing a challenge to traditional software like Monday.com, valued at $5 billion.
- Market Reaction: Recent sell-offs in software, legal services, and video game stocks stem from fears of AI's new features, with investors particularly concerned about tools like Atlassian, Adobe, and HubSpot that are seen as more vulnerable to disruption.
- System Security Analysis: While record systems like Salesforce are relatively secure due to their core enterprise data, they are not immune; analysts suggest that the rapid advancement of AI could impact these systems' market positions, especially in a fast-evolving tech landscape.
- Investment Opportunities: The wholesale sell-off in the software sector presents investors with the chance to differentiate between 'need-to-haves' and 'nice-to-haves', allowing them to identify companies that maintain competitive advantages amid the AI wave for long-term returns.
See More
