Credit Suisse Raises Price Target On Palo Alto Networks

Credit Suisse raised its price target on Credit Suisse Palo Alto Networks Inc PANW Monday from $110 to $135 and maintained a Outperform rating.

“Palo Alto Networks reported fiscal Q1 results of EPS of $0.15 and $192.3 million in revenue versus consensus of EPS of $0.12 and $181.7 million in revenue...Palo Alto's results reinforce our thesis that the company is positioned to continue to gain market share given the many unique advantages of its next-generation firewall platform,” according to analyst Philip Winslow.

The company’s performance highlights “Palo Alto's ability to upsell into its installed base and sell additional services, which remains core to our positive thesis. Additionally, the company noted increasing success in larger deals, attributed to the company's increasing acceptance as a key provider in the enterprise security market,” according to the analyst report.

Winslow believed “that Palo Alto Networks' unique technology platform and long-term corporate strategy, as well as management's ability to execute its vision, position the company to continue to gain share in the network security market—driving strong, sustained revenue and earnings growth.”

Winslow concluded “that the increased adoption of software-defined networking could broaden the network security market by securing East-West traffic in the datacenter.”

Palo Alto Networks Inc traded at $114.64 in the pre-market, up 1.23 percent.