Stock of the week: “Palo Alto Networks"
24.01.2023
Palo Alto Networks, Inc. is an American multinational cybersecurity company that engages in the provision of network security solutions to enterprises, service providers, and government entities. Its core products enable customers to secure their networks, remote and hybrid workforces, branch locations, and public and private clouds, as well as to advance their security operations centers (SOC). Its solutions are focused on five areas, which includes Network Security, Secure Access Service Edge (SASE), Cloud Security, Security Analytics and Automation, as well as Threat Intelligence and Security Consulting.
The company holds promises in fast-growing tech sectors, such as Internet of Things and cloud-native security using Machine Learning and AI, and envisions to offer a best-in-class security, SASE solution, customer advice and recommendation throughout a comprehensive product portfolio and a consolidated platform approach (1). As one of the rare tech stocks that managed to remain relatively unharmed during the course of 2022, the Californian cybersecurity expert succeeded lately in reintegrating its relatively weak-declining 16 months range up to the levels of January 2022. Last year, financials were reported very healthy with earnings per share exceeding expectations in the last two quarters. This year, EPS are expected to keep their pace for Q1 and Q2 and even more than double going from 0.15 to 0.38 in the third quarter (2).
While being “neutral” for the NASDAQ and the Tech, the financial social media sentiment is very “positive” for the company itself, highlighting the company’s differentiation in that regard from its index and its sector.
Analysts' consensus rating is a strong "buy" - out of the 43 bank analysts covering the company, 38 recommend buying the stock, while 5 recommend holding it. The upside potential of the stock price expected by the analysts on average over the next 6-12 months is currently 38.94%.
Attention buzz is currently “Average”.
reference close of business 25/01/2023, (3)
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