UPDATE: Bank of America Initiates Palo Alto Networks at Neutral, $65 PO

Bank of America has initiated the coverage of Palo Alto Networks (NYSE: PANW) with a Neutral rating and $65 price objective.Bank of America noted, "We are initiating coverage on Palo Alto Networks (PAN) with a Neutral rating and $65 PO. We favor the company's technological disruption, creating a new product category of Next-Generation Firewalls, as well changing the pricing model for the industry. However, growing competition and valuation considerations keep us cautious, with a $65 PO, based on a ~6x our 2015E EV/Sales multiple."Palo Alto Networks closed at $51.96 on Thursday.