Palo Alto Networks (NASDAQ:PANW) Releases Q1 2027 Earnings Guidance

Palo Alto Networks (NASDAQ:PANW) issued an update on its first quarter 2027 earnings guidance on Tuesday morning. The company provided earnings per share (EPS) guidance of 0.960-0.980 for the period, compared to the consensus estimate of 0.450. The company issued revenue guidance of $3.3 billion-$3.3 billion, compared to the consensus revenue estimate of $3.2 billion. Palo Alto Networks also updated its FY 2027 guidance to 4.160-4.190 EPS.

Palo Alto Networks Stock Performance

PANW stock traded down $20.04 on Tuesday, hitting $362.09. The company’s stock had a trading volume of 8,363,757 shares, compared to its average volume of 8,557,258. The firm has a 50 day moving average of $346.54 and a two-hundred day moving average of $250.56. Palo Alto Networks has a 1 year low of $139.57 and a 1 year high of $398.88. The company has a current ratio of 0.86, a quick ratio of 0.86 and a debt-to-equity ratio of 0.04. The stock has a market cap of $295.10 billion, a price-to-earnings ratio of 296.80, a price-to-earnings-growth ratio of 11.74 and a beta of 0.91.

Palo Alto Networks (NASDAQ:PANW) last issued its quarterly earnings results on Tuesday, September 1st. The network technology company reported $0.53 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.98 by ($0.45). Palo Alto Networks had a net margin of 7.95% and a return on equity of 10.53%. Palo Alto Networks has set its FY 2027 guidance at 4.160-4.190 EPS and its Q1 2027 guidance at 0.960-0.980 EPS. Equities analysts predict that Palo Alto Networks will post 2.01 EPS for the current fiscal year.

Analyst Upgrades and Downgrades

PANW has been the topic of several recent analyst reports. Arete Research boosted their target price on Palo Alto Networks from $185.00 to $433.00 and gave the stock a “buy” rating in a research report on Monday, June 29th. Sanford C. Bernstein lifted their target price on shares of Palo Alto Networks from $209.00 to $253.00 and gave the stock an “outperform” rating in a research report on Wednesday, June 3rd. Susquehanna reaffirmed a “positive” rating and issued a $350.00 price target (up from $200.00) on shares of Palo Alto Networks in a report on Wednesday, June 3rd. FBN Securities reiterated an “outperform” rating on shares of Palo Alto Networks in a research report on Wednesday, July 1st. Finally, TD Cowen raised their price objective on shares of Palo Alto Networks from $360.00 to $400.00 and gave the stock a “buy” rating in a research note on Monday, August 17th. One research analyst has rated the stock with a Strong Buy rating, forty have assigned a Buy rating, six have issued a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average price target of $370.87.

Insider Buying and Selling at Palo Alto Networks

In other news, Director John P. Key sold 7,500 shares of Palo Alto Networks stock in a transaction that occurred on Friday, June 12th. The shares were sold at an average price of $279.24, for a total transaction of $2,094,300.00. Following the sale, the director owned 12,500 shares in the company, valued at $3,490,500. This trade represents a 37.50% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, CAO Josh D. Paul sold 900 shares of the firm’s stock in a transaction dated Wednesday, July 1st. The shares were sold at an average price of $345.00, for a total value of $310,500.00. Following the sale, the chief accounting officer owned 79,644 shares of the company’s stock, valued at $27,477,180. This represents a 1.12% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last three months, insiders have sold 37,735 shares of company stock worth $10,814,266. Corporate insiders own 1.40% of the company’s stock.

Trending Headlines about Palo Alto Networks

Here are the key news stories impacting Palo Alto Networks this week:

• Positive Sentiment: Jefferies expects Palo Alto Networks to exceed consensus forecasts for remaining performance obligations, annual recurring revenue and total revenue, with product growth potentially reaching 18% year over year. Palo Alto Networks set to beat fiscal Q4 metrics, guide above consensus
• Positive Sentiment: Scotiabank raised its price target to $430 from $320 and maintained a “sector outperform” rating, implying continued upside based on its outlook for the cybersecurity provider.
• Positive Sentiment: Longer term, rising cyber threats and increasing adoption of artificial intelligence support demand for Palo Alto Networks’ AI-enabled security platforms. Top AI-Powered Security Stocks Worth Buying Amid Rising Cyber Threats
• Neutral Sentiment: PANW has climbed about 30% since its prior quarterly results, substantially outperforming the broader software sector. That momentum reflects optimism but also sets a high bar for the upcoming report. Big Software Names Bounced Back in August
• Negative Sentiment: A broad software-stock selloff is pressuring Palo Alto Networks despite favorable company-specific developments, suggesting investors are focusing on high valuation multiples and macroeconomic risks rather than fundamentals. CrowdStrike Falls Despite Optiv Milestone, Palo Alto Drops
• Negative Sentiment: Investors are also contending with higher oil prices, inflation concerns and rising Treasury yields, all of which can weigh on growth-stock valuations. The company’s results and guidance after the close may therefore determine whether the recent rally can continue. Market Open: Inflation and Treasury Yields

Institutional Trading of Palo Alto Networks

Several hedge funds have recently made changes to their positions in the stock. Darwin Wealth Management LLC acquired a new position in Palo Alto Networks during the 2nd quarter valued at about $25,000. Palisade Asset Management LLC bought a new stake in Palo Alto Networks in the third quarter worth about $33,000. JPL Wealth Management LLC bought a new stake in Palo Alto Networks during the third quarter worth approximately $35,000. J.Safra Asset Management Corp acquired a new stake in shares of Palo Alto Networks during the fourth quarter worth $40,000. Finally, Ankerstar Wealth LLC purchased a new position in shares of Palo Alto Networks in the fourth quarter worth approximately $42,000. Institutional investors own 79.82% of the company’s stock.

Palo Alto Networks Company Profile

Palo Alto Networks (NASDAQ: PANW) is a cybersecurity company founded in 2005 and headquartered in Santa Clara, California. The firm develops a broad suite of security products and services designed to prevent successful cyberattacks and protect enterprise networks, clouds, and endpoints. Built around a platform strategy, its offerings target threat prevention, detection, response and governance across hybrid and multi-cloud environments.

The company’s product portfolio includes next‑generation firewalls as a core on‑premises capability, alongside cloud‑delivered security services and software for securing public and private clouds.