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Revenue Estimates Dip, But Analysts Stay Bullish on Palo Alto Networks (PANW)

Ghazal Ahmed

1 min read

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Palo Alto Networks, Inc. (NASDAQ:PANW) is one of the 10 AI Stocks Investors are WatchingOn June 26, Stifel analyst Adam Borg reiterated a “Buy” rating on the stock with a $225.00 price target. The firm has revised its fiscal year 2026 revenue growth estimates to 12% year-over-year, down from the previous forecast of 13% and below the consensus estimate of 14%.

Revenue Estimates Dip, But Analysts Stay Bullish on Palo Alto Networks (PANW)

Revenue Estimates Dip, But Analysts Stay Bullish on Palo Alto Networks (PANW)

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The firm expects Palo Alto’s subscription revenue to grow 13.5% year-over-year in fiscal 2026. Earlier, it had projected the revenue to grow nearly 16%. On the other hand, it has raised its product revenue growth forecast for fiscal 2026 to 5% year-over-year, up from the previous estimate of 1.5%.

Despite the revenue adjustments, Stifel continues to maintain its fiscal 2026 profitability and cash flow margin estimates for the company.

Palo Alto Networks, Inc. (NASDAQ:PANW) is a leader in AI-powered cybersecurity.

While we acknowledge the potential of PANW as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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Disclosure: None.