Palo Alto Networks (NASDAQ:PANW) Stock Price Down 3.4% - Here's Why

Palo Alto Networks, Inc. (NASDAQ:PANW - Get Free Report) was down 3.4% during trading on Wednesday . The company traded as low as $185.43 and last traded at $186.32. Approximately 1,601,127 shares traded hands during trading, a decline of 73% from the average daily volume of 6,006,536 shares. The stock had previously closed at $192.94.

Wall Street Analyst Weigh In

A number of research analysts have weighed in on PANW shares. Cantor Fitzgerald reaffirmed an "overweight" rating and issued a $222.50 price target on shares of Palo Alto Networks in a research note on Thursday, November 21st. KeyCorp raised their price target on shares of Palo Alto Networks from $200.00 to $217.50 and gave the stock an "overweight" rating in a research note on Friday, October 18th. Oppenheimer reissued an "outperform" rating and issued a $225.00 price objective on shares of Palo Alto Networks in a research report on Thursday, November 21st. HSBC downgraded shares of Palo Alto Networks from a "hold" rating to a "reduce" rating and decreased their target price for the company from $152.00 to $145.50 in a research report on Friday, November 22nd. Finally, Needham & Company LLC increased their price objective on shares of Palo Alto Networks from $192.50 to $225.00 and gave the stock a "buy" rating in a research note on Thursday, November 21st. Three investment analysts have rated the stock with a sell rating, twelve have issued a hold rating, twenty-nine have given a buy rating and one has issued a strong buy rating to the stock. According to MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and an average target price of $200.85.

Palo Alto Networks Trading Up 1.1 %

The firm has a 50-day moving average of $187.74 and a two-hundred day moving average of $179.65. The firm has a market capitalization of $122.99 billion, a P/E ratio of 48.81, a P/E/G ratio of 5.30 and a beta of 1.14.

Palo Alto Networks (NASDAQ:PANW - Get Free Report) last issued its earnings results on Wednesday, November 20th. The network technology company reported $0.78 earnings per share for the quarter, beating analysts' consensus estimates of $0.74 by $0.04. The firm had revenue of $2.14 billion for the quarter, compared to analyst estimates of $2.12 billion. Palo Alto Networks had a net margin of 32.99% and a return on equity of 23.36%. The company's quarterly revenue was up 13.9% on a year-over-year basis. During the same quarter last year, the business posted $0.32 earnings per share. On average, sell-side analysts anticipate that Palo Alto Networks, Inc. will post 1.74 EPS for the current fiscal year.

Insider Buying and Selling at Palo Alto Networks

In other news, EVP Nir Zuk sold 336,000 shares of Palo Alto Networks stock in a transaction on Monday, November 25th. The shares were sold at an average price of $193.70, for a total transaction of $65,081,520.00. Following the transaction, the executive vice president now owns 3,643,516 shares in the company, valued at approximately $705,730,831.62. The trade was a 8.44 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, EVP Lee Klarich sold 120,000 shares of the firm's stock in a transaction on Monday, January 6th. The stock was sold at an average price of $179.70, for a total value of $21,564,000.00. Following the transaction, the executive vice president now directly owns 365,856 shares of the company's stock, valued at approximately $65,744,323.20. This represents a 24.70 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders sold 867,734 shares of company stock worth $161,546,523. 2.50% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Several hedge funds have recently added to or reduced their stakes in the company. Strategic Advisors LLC raised its stake in Palo Alto Networks by 230.4% during the fourth quarter. Strategic Advisors LLC now owns 5,332 shares of the network technology company's stock worth $970,000 after buying an additional 3,718 shares during the last quarter. WBH Advisory Inc. acquired a new stake in Palo Alto Networks during the 4th quarter worth about $210,000. Rogco LP lifted its stake in shares of Palo Alto Networks by 99.8% in the 4th quarter. Rogco LP now owns 3,576 shares of the network technology company's stock valued at $651,000 after purchasing an additional 1,786 shares during the period. Meridiem Investment Management Ltd. boosted its position in shares of Palo Alto Networks by 47.7% during the 4th quarter. Meridiem Investment Management Ltd. now owns 960 shares of the network technology company's stock valued at $175,000 after purchasing an additional 310 shares in the last quarter. Finally, Pinnacle Wealth Management Advisory Group LLC grew its stake in Palo Alto Networks by 95.6% during the fourth quarter. Pinnacle Wealth Management Advisory Group LLC now owns 2,369 shares of the network technology company's stock worth $431,000 after purchasing an additional 1,158 shares during the period. Institutional investors own 79.82% of the company's stock.

Palo Alto Networks Company Profile

Palo Alto Networks, Inc provides cybersecurity solutions worldwide. The company offers firewall appliances and software; and Panorama, a security management solution for the global control of network security platform as a virtual or a physical appliance. It also provides subscription services covering the areas of threat prevention, malware and persistent threat, URL filtering, laptop and mobile device protection, DNS security, Internet of Things security, SaaS security API, and SaaS security inline, as well as threat intelligence, and data loss prevention.

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