The latest trading session saw Palo Alto Networks (PANW - Free Report) ending at $281.04, denoting a +0.68% adjustment from its last day's close. The stock exceeded the S&P 500, which registered a loss of 0.95% for the day. On the other hand, the Dow registered a loss of 1.09%, and the technology-centric Nasdaq decreased by 0.84%.
The security software maker's shares have seen a decrease of 1.97% over the last month, not keeping up with the Computer and Technology sector's gain of 1.67% and the S&P 500's gain of 1.78%.
The investment community will be closely monitoring the performance of Palo Alto Networks in its forthcoming earnings report. The company is expected to report EPS of $1.26, up 14.55% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $1.97 billion, up 14.3% from the prior-year quarter.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $5.49 per share and a revenue of $8 billion, signifying shifts of +23.65% and +16.07%, respectively, from the last year.
Investors should also pay attention to any latest changes in analyst estimates for Palo Alto Networks. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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. The Zacks Consensus EPS estimate has moved 0.23% lower within the past month. Palo Alto Networks currently has a Zacks Rank of #3 (Hold).
Looking at valuation, Palo Alto Networks is presently trading at a Forward P/E ratio of 50.81. For comparison, its industry has an average Forward P/E of 29.79, which means Palo Alto Networks is trading at a premium to the group.
Meanwhile, PANW's PEG ratio is currently 1.91. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. By the end of yesterday's trading, the Internet - Software industry had an average PEG ratio of 1.9.
The Internet - Software industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 37, this industry ranks in the top 15% of all industries, numbering over 250.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
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The latest trading session saw Palo Alto Networks (PANW - Free Report) ending at $281.04, denoting a +0.68% adjustment from its last day's close. The stock exceeded the S&P 500, which registered a loss of 0.95% for the day. On the other hand, the Dow registered a loss of 1.09%, and the technology-centric Nasdaq decreased by 0.84%.
The security software maker's shares have seen a decrease of 1.97% over the last month, not keeping up with the Computer and Technology sector's gain of 1.67% and the S&P 500's gain of 1.78%.
The investment community will be closely monitoring the performance of Palo Alto Networks in its forthcoming earnings report. The company is expected to report EPS of $1.26, up 14.55% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $1.97 billion, up 14.3% from the prior-year quarter.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $5.49 per share and a revenue of $8 billion, signifying shifts of +23.65% and +16.07%, respectively, from the last year.
Investors should also pay attention to any latest changes in analyst estimates for Palo Alto Networks. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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. The Zacks Consensus EPS estimate has moved 0.23% lower within the past month. Palo Alto Networks currently has a Zacks Rank of #3 (Hold).
Looking at valuation, Palo Alto Networks is presently trading at a Forward P/E ratio of 50.81. For comparison, its industry has an average Forward P/E of 29.79, which means Palo Alto Networks is trading at a premium to the group.
Meanwhile, PANW's PEG ratio is currently 1.91. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. By the end of yesterday's trading, the Internet - Software industry had an average PEG ratio of 1.9.
The Internet - Software industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 37, this industry ranks in the top 15% of all industries, numbering over 250.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
Free Report – The Bitcoin Profit Phenomenon
Zacks Investment Research has released a Special Report to help you pursue massive profits from the world’s first and largest decentralized form of money.
No guarantees for the future, but in the past three presidential election years, Bitcoin’s returns were as follows: 2012 +272.4%, 2016 +161.1%, and 2020 +302.8%.
Zacks predicts another significant surge. Click below for Bitcoin: A Tumultuous Yet Resilient History.
Download Now – Today It’s FREE >>
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