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Palo Alto Networks (PANW) Stock Slides as Market Rises: Facts to Know Before You Trade
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In the latest close session, Palo Alto Networks (PANW - Free Report) was down 3.89% at $374.74. The stock's performance was behind the S&P 500's daily gain of 0.51%. Meanwhile, the Dow gained 0.93%, and the Nasdaq, a tech-heavy index, added 0.48%.
Shares of the security software maker witnessed a gain of 1.85% over the previous month, trailing the performance of the Computer and Technology sector with its gain of 6.54%, and outperforming the S&P 500's gain of 0.74%.
The investment community will be paying close attention to the earnings performance of Palo Alto Networks in its upcoming release. On that day, Palo Alto Networks is projected to report earnings of $0.97 per share, which would represent year-over-year growth of 4.3%. Meanwhile, the latest consensus estimate predicts the revenue to be $3.31 billion, indicating a 33.62% increase compared to the same quarter of the previous year.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $4.18 per share and a revenue of $14.17 billion, signifying shifts of +8.85% and +23.43%, respectively, from the last year.
It is also important to note the recent changes to analyst estimates for Palo Alto Networks. These revisions typically reflect the latest short-term business trends, which can change frequently. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 2.72% higher. Palo Alto Networks is holding a Zacks Rank of #3 (Hold) right now.
Looking at valuation, Palo Alto Networks is presently trading at a Forward P/E ratio of 93.32. This signifies a premium in comparison to the average Forward P/E of 52.62 for its industry.
We can additionally observe that PANW currently boasts a PEG ratio of 6.2. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. As of the close of trade yesterday, the Security industry held an average PEG ratio of 3.16.
The Security industry is part of the Computer and Technology sector. Currently, this industry holds a Zacks Industry Rank of 55, positioning it in the top 23% 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.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
View the Zacks #1 Rank List
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Palo Alto Networks (PANW) Stock Slides as Market Rises: Facts to Know Before You Trade
In the latest close session, Palo Alto Networks (PANW - Free Report) was down 3.89% at $374.74. The stock's performance was behind the S&P 500's daily gain of 0.51%. Meanwhile, the Dow gained 0.93%, and the Nasdaq, a tech-heavy index, added 0.48%.
Shares of the security software maker witnessed a gain of 1.85% over the previous month, trailing the performance of the Computer and Technology sector with its gain of 6.54%, and outperforming the S&P 500's gain of 0.74%.
The investment community will be paying close attention to the earnings performance of Palo Alto Networks in its upcoming release. On that day, Palo Alto Networks is projected to report earnings of $0.97 per share, which would represent year-over-year growth of 4.3%. Meanwhile, the latest consensus estimate predicts the revenue to be $3.31 billion, indicating a 33.62% increase compared to the same quarter of the previous year.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $4.18 per share and a revenue of $14.17 billion, signifying shifts of +8.85% and +23.43%, respectively, from the last year.
It is also important to note the recent changes to analyst estimates for Palo Alto Networks. These revisions typically reflect the latest short-term business trends, which can change frequently. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 2.72% higher. Palo Alto Networks is holding a Zacks Rank of #3 (Hold) right now.
Looking at valuation, Palo Alto Networks is presently trading at a Forward P/E ratio of 93.32. This signifies a premium in comparison to the average Forward P/E of 52.62 for its industry.
We can additionally observe that PANW currently boasts a PEG ratio of 6.2. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. As of the close of trade yesterday, the Security industry held an average PEG ratio of 3.16.
The Security industry is part of the Computer and Technology sector. Currently, this industry holds a Zacks Industry Rank of 55, positioning it in the top 23% 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.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.