Palo Alto Networks stock jumps on earnings, guidance
08/19/2023 04:33
Shares of Palo Alto Networks (PANW) jumped in after-hours trading. The cybersecurity company reported fiscal fourth adjusted quarter earnings that handily beat Wall Street estimates, while revenue was just shy of expectations. The company also issued upbeat full-year guidance. Constellation Research Founder Ray Wang says the company is "doing well" but "the challenge is the macro-environment. Budgets are being re-directed from cybersecurity to AI." Wong says Palo Alto is benefiting from putting "the best portfolio in the marketplace for customers to buy so that they don't have to go to all these different point solutions." However, Wong thinks the stock is going to be "challenged for the rest of the year" due to companies shifting their spending to AI.
Shares of Palo Alto Networks (PANW) jumped in after-hours trading. The cybersecurity company reported fiscal fourth adjusted quarter earnings that handily beat Wall Street estimates, while revenue was just shy of expectations. The company also issued upbeat full-year guidance. Constellation Research Founder Ray Wang says the company is "doing well" but "the challenge is the macro-environment. Budgets are being re-directed from cybersecurity to AI." Wong says Palo Alto is benefiting from putting "the best portfolio in the marketplace for customers to buy so that they don't have to go to all these different point solutions." However, Wong thinks the stock is going to be "challenged for the rest of the year" due to companies shifting their spending to AI.