Palo Alto Networks, Inc.

How has the stock done?

Change in closing price from the first day shown, or with Price the closing price itself. Prices: Yahoo Finance, to Nov 12, 2026. Dashed lines: the days the company released earnings (its SEC 8-K filings); EPS estimates: Yahoo Finance. The stock's move after a release runs from the last close before its day to the close the day after (or five days after), so a release before the open counts like one after the close.

Is the business growing?

In the fiscal year to Jul 2026, Subscription was 54% and Support was 26% of revenue; Subscription rose from 52% in the fiscal year to Jul 2024.

In the fiscal year to Jul 2026, United States was 62% and Europe, the Middle East, and Africa (“EMEA”) was 21% of revenue; United States fell from 64% in the fiscal year to Jul 2024.

Quarters: Palo Alto Networks, Inc.'s SEC filings, named by the month they end. Fiscal years: Palo Alto Networks, Inc.'s annual reports to the SEC.

How it makes money

Of every $100 in revenue, $2.7 ends up as net income. Net margin fell from 6.4% to 2.7% over the past 3 years.

Circled: Jan 2024 (net 88.4%, operating 2.7%), Jul 2025 (net 10.0%, operating 19.6%), Jul 2026 (net −8.3%, operating 5.0%). Net margin is usually about 1 point above operating margin; in those quarters something below operating income (a tax charge or benefit, a gain or loss on investments, a write-down) moved it, not the business itself.

Each margin is that line of the income statement divided by revenue. Fiscal year: Palo Alto Networks, Inc.'s annual reports to the SEC; quarters: SEC filings.

Growth and margins together

Rule of 40 score 70.3 (growth 34.5% + FCF margin 35.8%): strong, clears the 40 line. Stock pay is 15.5% of revenue; counted as a cost, it brings the FCF margin down to 20.3%.

Palo Alto Networks trades at 22.9× revenue on 34.5% growth. PLTR grows fastest of its peers, 95.9%, and costs 55.3×.

Growth: revenue in the quarter ended Jul 2026 against the quarter ended Jul 2025. FCF margin: operating cash flow minus capex, over revenue, for the 4 quarters ended Jul 2026. From SEC filings.

Customers and suppliers

In its latest annual report Palo Alto Networks buys from Flex, IBM, Flextronics Telecom Systems; two customers it does not name account for 15% and 15% of its revenue. It sells through the platforms of Amazon, Microsoft, Alphabet and 1 more.

Their suppliers

Celestica CLSto IBM

Show 1

Suppliers

Flex FLEX

IBM IBM

Flextronics Telecom Systems

 

PANWPalo Alto Networks

Customers

Unnamed customer 15%

Unnamed customer 15%

Palo Alto Networks's 10-K for the year to Jul 2026 gives two customers' shares of its revenue: Customer A (15%) and Customer B (15%).

From Palo Alto Networks, Inc.'s 10-Q and 10-K filings (XBRL): each customer whose share of revenue a filing tags, under the filing's own label, so “Customer A” in one filing can be another company in the next; a later filing's figures for a period replace an earlier one's.

Platforms

Amazon AMZNPalo Alto Networks sells through it · Sells virtual firewalls through cloud marketplaceMicrosoft MSFTPalo Alto Networks sells through it · Sells virtual firewalls through cloud marketplaceAlphabet GOOGLPalo Alto Networks sells through it · Sells virtual firewalls through cloud marketplaceOracle ORCLPalo Alto Networks sells through it · Sells virtual firewalls through cloud marketplace

Named in other companies’ filings

Zoom Communications ZMcalls it a partner · Software provider partnership

Only the companies Palo Alto Networks names in its 10-K filed Sep 10, 2026 (SEC). Named in other companies' filings: those whose own latest annual report or an 8-K since names Palo Alto Networks. The supply chain joins the latest annual reports of the companies on it and the 8-Ks they filed since: a link shows when either side's report names the other, so it grows as more reports are read. Platforms: an app store, a console maker or a marketplace one company sells through and pays a share or a fee; not supply, so not on the chain. Hover a name for the filing's own words. Customers it does not name are listed as the filing describes them.

Is it expensive?

EV/revenue of 22.9x, below the peer median of 41.6x.

EV/revenue below the peer median of 41.6x: cheaper than its peers.

Compared on enterprise value (market cap plus debt minus cash) per $1 of revenue: for companies that reinvest what they earn or borrow to grow (software, AI data centers), P/E can mislead.

What analysts expect

The average analyst price target is $400, 24% above the current price; 76% of 55 analysts rate it a buy; earnings beat estimates in all of the last 4 quarters.

Buy or Strong Buy: 42 analysts (76%). Sell or Strong Sell: 1.

Over the past year the average of the analysts' latest price targets went from $224.79 to $399.56 (+78%), while PANW went from $204.77 to $322.66 (+58%). In the past three months targets were raised 30 times and never cut. 1 upgrade and 2 downgrades over the year; the latest: Bernstein moved it to Market Perform from Outperform on Sep 17, 2026.

The day after each of these reports the stock moved −7.9% (Oct 2025, beat); −8.7% (Jan 2026, beat); −6.7% (Apr 2026, beat); −14.0% (Jul 2026, beat).

For the quarter ending Oct 2026 (Palo Alto Networks reports on Nov 18, 2026), analysts expect adjusted earnings of $0.97 a share, 4% more than the $0.93 of a year earlier, and revenue of $3.3B, up 34% on a year earlier. For the fiscal year ending Jul 2027, they expect adjusted earnings of $4.18 a share, 9% more than the $3.83 of the year before, and revenue of $14.2B, up 23% on the year before.

Targets, ratings and earnings estimates: Yahoo Finance. Rating and target changes: Yahoo Finance's list of upgrades and downgrades. The average target on each day is the average of every listed firm's latest target set in the 180 days before it, so it counts fewer analysts than the average target above, and the band is the middle half of those targets (a quarter of the firms are above it, a quarter below); a target set before a stock split is divided by the split. Expected figures: the average of the analysts' estimates (Yahoo Finance). Their EPS is adjusted, as analysts estimate it, so it is set against the adjusted EPS Yahoo reports for the same quarters, not the GAAP EPS of the growth and valuation sections; revenue against the SEC filings. No change is given against a quarter whose reported EPS was more than 50% off its own estimate (often a one-off gain or charge), nor against a year that counts one. Each estimate is pinned to its fiscal period by the report date or the period's end, and one that cannot be is left out.

Where the cash goes

Generated $4.1B in free cash flow over the year, with no dividends and no buybacks. All of the cash stays in the company.

Free cash flow: operating cash flow minus capital spending on property, plant and equipment, from SEC filings, for the last 4 quarters and by quarter.

Financial health

Current ratio 0.9, short-term debt coverage is tight; debt-to-equity 0.1, debt is very low and the balance sheet is solid.

Latest fiscal year balance sheet. Source: Yahoo Finance.

Who holds it

In the filings of 4 members of Congress and 10 funds whose copy leaves PANW out (on the exchange, not in the app yet): Stony Point Capital, Jia Investment Alliance, Nancy Pelosi, Fisher Asset Management, UNICOM Systems, Swiss National Bank and 8 more.

What did the funds Hunch tracks do?

Of the 83 funds whose 13F filings Hunch reads, 14 held PANW at the end of their latest quarter (for most, Q2 2026). Over that quarter 6 added shares, 3 cut, 2 bought new, 3 sold all and 3 held the same. The largest of them is Norges Bank, 9.75M shares worth $3.3B at Jun 30, 2026, 26.9% more than at Dec 31, 2025.

From the 13F filings of the 83 funds Hunch tracks, not of every institution: each fund's shares of PANW at its latest quarter end against the quarter before, as filed (long positions only, options left out), the quarter before put on the latest quarter's share count across a split. A fund files 45 days after its quarter ends, so some have a newer quarter than others. Value is at the quarter end. Norges Bank filed its 13F for Q1 2026 confidentially, with no holdings made public, so its row compares Q2 2026 with Q4 2025.

Are insiders buying or selling?

Officers and directors bought $10.0M and sold $127M of PANW on the open market in the 12 months to Nov 12, 2026. 79% of the sales were made under 10b5-1 plans, set up in advance. The largest was Lee Klarich (EVP Chief Product & Tech Ofcr; director), who sold $62.5M in 24 sales.

From the Form 4s filed with the SEC about Palo Alto Networks, Inc. (67 in the 12 months): purchases (code P) and sales (code S) on the open market by its officers and directors, at the price each filing gives (often an average of the day's trades). A sale is a 10b5-1 sale when its filing says it was made under such a plan, set up in advance. Not counted: 35 other transactions (grants, option exercises, shares withheld for tax and gifts).

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