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Palo Alto Networks (PANW) Outpaces Stock Market Gains: What You Should Know
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In the latest trading session, Palo Alto Networks (PANW - Free Report) closed at $214.06, marking a +0.28% move from the previous day. This change outpaced the S&P 500's 0.03% gain on the day. Elsewhere, the Dow gained 0.15%, while the tech-heavy Nasdaq added 0.12%.
Prior to today's trading, shares of the security software maker had lost 8.24% over the past month. This has lagged the Computer and Technology sector's gain of 0.11% and the S&P 500's gain of 1.66% in that time.
Investors will be hoping for strength from Palo Alto Networks as it approaches its next earnings release, which is expected to be August 18, 2023. The company is expected to report EPS of $1.28, up 60% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $1.96 billion, up 26.09% from the year-ago period.
Investors might also notice recent changes to analyst estimates for Palo Alto Networks. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 2.1% lower within the past month. Palo Alto Networks is currently a Zacks Rank #3 (Hold).
In terms of valuation, Palo Alto Networks is currently trading at a Forward P/E ratio of 43.1. This represents a premium compared to its industry's average Forward P/E of 38.26.
Investors should also note that PANW has a PEG ratio of 1.37 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Internet - Software stocks are, on average, holding a PEG ratio of 1.62 based on yesterday's closing prices.
The Internet - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 87, putting it in the top 35% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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Palo Alto Networks (PANW) Outpaces Stock Market Gains: What You Should Know
In the latest trading session, Palo Alto Networks (PANW - Free Report) closed at $214.06, marking a +0.28% move from the previous day. This change outpaced the S&P 500's 0.03% gain on the day. Elsewhere, the Dow gained 0.15%, while the tech-heavy Nasdaq added 0.12%.
Prior to today's trading, shares of the security software maker had lost 8.24% over the past month. This has lagged the Computer and Technology sector's gain of 0.11% and the S&P 500's gain of 1.66% in that time.
Investors will be hoping for strength from Palo Alto Networks as it approaches its next earnings release, which is expected to be August 18, 2023. The company is expected to report EPS of $1.28, up 60% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $1.96 billion, up 26.09% from the year-ago period.
Investors might also notice recent changes to analyst estimates for Palo Alto Networks. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 2.1% lower within the past month. Palo Alto Networks is currently a Zacks Rank #3 (Hold).
In terms of valuation, Palo Alto Networks is currently trading at a Forward P/E ratio of 43.1. This represents a premium compared to its industry's average Forward P/E of 38.26.
Investors should also note that PANW has a PEG ratio of 1.37 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Internet - Software stocks are, on average, holding a PEG ratio of 1.62 based on yesterday's closing prices.
The Internet - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 87, putting it in the top 35% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.