Palo Alto (PANW, $478.68) beats Zacks Consensus Estimates
Palo Alto Networks posted its third-quarter fiscal 2022 results, where earnings grew year-over-year and also surpassed Zacks Consensus Estimates. Revenues, too, topped expectations.
The cybersecurity company’s non-GAAP earnings rose +29.7% from the year-ago quarter to $1.79 per share, well above the Zacks Consensus Estimate of $1.67.
Palo Alto’s fiscal third-quarter revenues of $1.39 billion also surpassed the Zacks Consensus Estimate of $1.36 billion. The top line is +29% higher from the year-ago quarter.
Revenues from the company’s Product segment surged +22% year over year to $351.5 million (25.3% of total revenues). Subscription and support revenues grew +31.9% year over year to $1035.2 million (74.7% of total revenues).
Billings grew +40% to $1.80 billion.
Looking ahead, the company now projects fiscal 2022 revenues of $5.481-$5.501 billion, thereby implying growth of around 29% from the fiscal 2021. In its prior forecast, the expectation was $5.425 billion - $5.475 billion, which indicated year-over-year growth of 27-29%.
Total billings projection is now $7.106-$7.136 billion for fiscal 2022, indicating year-over-year increase of 30-31%. Prior estimates from the company was in the range of $6.80-$6.85 billion, implying a 25-26% increase from the year-ago quarter.
The company boosted its non-GAAP earnings forecast range to $7.43-$7.46 per share, vs. prior forecast of $7.23-$7.30 per share
It reaffirmed non-GAAP adjusted free cash flow margin forecast of 32-33%.
PANW in +6.64% Uptrend, rising for three consecutive days on June 26, 2026
Moving higher for three straight days is viewed as a bullish sign. Keep an eye on this stock for future growth. Considering data from situations where PANW advanced for three days, in of 360 cases, the price rose further within the following month. The odds of a continued upward trend are .
Technical Analysis (Indicators)
Bullish Trend Analysis
The Momentum Indicator moved above the 0 level on June 17, 2026. You may want to consider a long position or call options on PANW as a result. In of 79 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .
The Moving Average Convergence Divergence (MACD) for PANW just turned positive on June 29, 2026. Looking at past instances where PANW's MACD turned positive, the stock continued to rise in of 45 cases over the following month. The odds of a continued upward trend are .
The Aroon Indicator entered an Uptrend today. In of 267 cases where PANW Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
Bearish Trend Analysis
The 10-day RSI Indicator for PANW moved out of overbought territory on July 07, 2026. This could be a bearish sign for the stock. Traders may want to consider selling the stock or buying put options. Tickeron's A.I.dvisor looked at 40 similar instances where the indicator moved out of overbought territory. In of the 40 cases, the stock moved lower in the following days. This puts the odds of a move lower at .
The Stochastic Oscillator demonstrated that the ticker has stayed in the overbought zone for 13 days. The longer the ticker stays in the overbought zone, the sooner a price pull-back is expected.
PANW broke above its upper Bollinger Band on June 29, 2026. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
Fundamental Analysis (Ratings)
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating outstanding price growth. PANW’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 92, placing this stock better than average.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating weak sales and an unprofitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (9.970) is normal, around the industry mean (14.279). PANW has a moderately high P/E Ratio (294.183) as compared to the industry average of (71.237). PANW's Projected Growth (PEG Ratio) (5.521) is slightly higher than the industry average of (1.890). PANW has a moderately low Dividend Yield (0.000) as compared to the industry average of (0.022). P/S Ratio (23.474) is also within normal values, averaging (135.479).
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General Information
a provider of network security solutions
Industry ComputerCommunications
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