Bank of America has upgraded the stock to ‘Buy’, maintaining a $215 price target and citing strong all-around quarterly performance as well as promising guidance.
Palo Alto Networks Inc.(PANW) has received a slew of bullish analyst updates following strong fourth-quarter (Q4) earnings, highlighting the cybersecurity firm’s execution, strategy, and future growth potential.
Bank of America (BofA) has upgraded the stock to ‘Buy’, maintaining a $215 price target and citing strong all-around quarterly performance as well as promising guidance, as per TheFly.
The company’s Q4 revenue of $2.54 billion and earnings per share (EPS) of $0.95 beat the analysts’ consensus estimate of $2.50 billion and $0.89, respectively, as per FiscalAI data. For FY 2026, Palo Alto sees revenue in the range of $10.475 billion to $10.525 billion and adjusted EPS in the range of $3.75 to $3.85.
Palo Alto Networks’ stock traded over 3% higher on Tuesday afternoon. On Stocktwits, retail sentiment around the stock improved to ‘extremely bullish’ from ‘bullish’ territory the previous day. Message volume shifted to ‘extremely high’ from ‘high’ levels in 24 hours.
The stock saw a 3,846% explosion in user message count as of Tuesday morning. A Stocktwits user commended the earnings.
The firm believes Palo Alto’s strategic approach is delivering results and that the shares, down roughly 15% since CyberArk Software (CYBR) acquisition plans, present a buying opportunity with 22% potential upside.
Truist Securities analyst Joel Fishbein raised the price target for the stock to $220 from $205 while reiterating a ‘Buy’ rating. He noted that the company’s Q4 was driven by momentum in key segments such as SASE (secure access service edge), XSIAM (extended security intelligence and automation), and its virtual firewall offerings.
Fishbein added that Palo Alto remains on track to meet its $15 billion annual recurring revenue (ARR) target by fiscal 2030.
BMO Capital Markets also lifted its price target to $225 from $217, while keeping an ‘Outperform’ rating. The firm cited a better-than-expected update on the company’s outlook, including a projected ARR increase of 26% to 27% by fiscal 2026 and anticipated free cash flow margins of 40% by fiscal 2028, even with the integration of CyberArk.
Palo Alto Networks’ stock has lost 0.2% in 2025 and has gained over 5% in the last 12 months.
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