UPDATE: Citigroup Initiates Palo Alto Networks at Neutral with $65 PT on Visibility Lack
Citigroup initiated coverage on Palo Alto Networks (NYSE: PANL) with a Neutral rating and a price target of $65 per share.
Citigroup noted, "Network security is a $9B opportunity, growing 8% and Palo Alto Networks (PAN) has brought to market differentiated technology that improves security efficacy. Competitors are scrambling to catch up. … The company has less revenue visibility than SaaS peers with just ~20% recurring, and our modeling sensitivity suggests product shipments, not recurring revenue attach to product is the major growth lever here."
Palo Alto Networks closed at $62.72 on Monday.
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