Why Palo Alto Networks Stock Is Trading Higher Today

Why Palo Alto Networks Stock Is Trading Higher Today

Palo Alto Networks Inc PANW is trading higher Tuesday after the company announced better-than-expected financial results and issued guidance above estimates. 

Palo Alto Networks reported fiscal fourth quarter 2021 adjusted earnings of $1.60 per share, which beat the estimate of $1.44 per share. The company reported quarterly revenue of $1.2 billion, which beat the estimate of $1.17 billion. 

Palo Alto Networks expects fiscal first quarter 2022 revenue to be in a range of $1.19 billion to $1.21 billion versus the estimate of $1.15 billion.

The company authorized an additional $676.1 million for share repurchase, increasing the remaining authorization for future share repurchases to $1 billion.

"Our strong fourth quarter performance was the culmination of executing on our strategy throughout the year, including product innovation, platform integration, business model transformation and investments in our go-to-market organization," said Nikesh Arora, chairman and CEO of Palo Alto Networks.

Multiple analyst firms raised price targets on the stock, ranging from $450 to $550, following the company's financial results. 

Price Action: Palo Alto Networks is making a new 52-week high in trading today. 

At last check Tuesday, the stock was up 18.50% at $441.63.

Photo: courtesy of Palo Alto Networks.

Posted In: Nikesh Arorawhy it's movingEarningsNewsGuidance