UPDATE: Jefferies Initiates Palo Alto Networks at Hold; Growth with Matching Competition

Jefferies initiated coverage on Palo Alto Networks, Inc.

with a Hold rating and a $59.00 price target. Jefferies commented, "Palo Alto has emerged as a franchise security name due to its differentiated product approach—annual revenue growth of 167% over the last three years produced the fastest share gains in the $6bn-plus market. Sustained above market growth will be further dependent on outright competitive displacements against incumbents that have responded to Palo Alto's innovation lead, narrowing the margin for error." Palo Alto Networks closed at $52.81 on Monday.