Palo Alto Networks (PANW - Free Report) closed at $166.13 in the latest trading session, marking a -0.01% move from the prior day. This change was narrower than the S&P 500's 0.88% loss on the day. Meanwhile, the Dow lost 0.73%, and the Nasdaq, a tech-heavy index, lost 4.59%.
Heading into today, shares of the security software maker had gained 21.53% over the past month, outpacing the Computer and Technology sector's gain of 14.64% and the S&P 500's gain of 5.83% in that time.
Palo Alto Networks will be looking to display strength as it nears its next earnings release, which is expected to be February 21, 2023. The company is expected to report EPS of $0.78, up 34.48% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $1.65 billion, up 25.15% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $3.42 per share and revenue of $6.89 billion, which would represent changes of +35.71% and +25.15%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for Palo Alto Networks. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 2.51% lower. Palo Alto Networks is holding a Zacks Rank of #3 (Hold) right now.
In terms of valuation, Palo Alto Networks is currently trading at a Forward P/E ratio of 48.52. This represents a premium compared to its industry's average Forward P/E of 30.83.
Meanwhile, PANW's PEG ratio is currently 1.54. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Security industry currently had an average PEG ratio of 2.3 as of yesterday's close.
The Security industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 197, putting it in the bottom 22% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow PANW in the coming trading sessions, be sure to utilize Zacks.com.
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Palo Alto Networks (PANW - Free Report) closed at $166.13 in the latest trading session, marking a -0.01% move from the prior day. This change was narrower than the S&P 500's 0.88% loss on the day. Meanwhile, the Dow lost 0.73%, and the Nasdaq, a tech-heavy index, lost 4.59%.
Heading into today, shares of the security software maker had gained 21.53% over the past month, outpacing the Computer and Technology sector's gain of 14.64% and the S&P 500's gain of 5.83% in that time.
Palo Alto Networks will be looking to display strength as it nears its next earnings release, which is expected to be February 21, 2023. The company is expected to report EPS of $0.78, up 34.48% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $1.65 billion, up 25.15% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $3.42 per share and revenue of $6.89 billion, which would represent changes of +35.71% and +25.15%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for Palo Alto Networks. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 2.51% lower. Palo Alto Networks is holding a Zacks Rank of #3 (Hold) right now.
In terms of valuation, Palo Alto Networks is currently trading at a Forward P/E ratio of 48.52. This represents a premium compared to its industry's average Forward P/E of 30.83.
Meanwhile, PANW's PEG ratio is currently 1.54. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Security industry currently had an average PEG ratio of 2.3 as of yesterday's close.
The Security industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 197, putting it in the bottom 22% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow PANW in the coming trading sessions, be sure to utilize Zacks.com.
Free Report Reveals How You Could Profit from the Growing Electric Vehicle Industry
Globally, electric car sales continue their remarkable growth even after breaking records in 2021. High gas prices have fueled his demand, but so has evolving EV comfort, features and technology. So, the fervor for EVs will be around long after gas prices normalize. Not only are manufacturers seeing record-high profits, but producers of EV-related technology are raking in the dough as well. Do you know how to cash in? If not, we have the perfect report for you – and it’s FREE! Today, don't miss your chance to download Zacks' top 5 stocks for the electric vehicle revolution at no cost and with no obligation.
>>Send me my free report on the top 5 EV stocks<<
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