Palo Alto Networks Stock Buy Hold or Sell Recommendation
| PANW Stock | USD 186.18 2.32 1.23% |
Given the investment horizon of 90 days and your above-average risk tolerance, our recommendation regarding Palo Alto Networks is 'Hold'. A buy or sell recommendation is an automated directive regarding whether to purchase or sell Palo Alto Networks given historical horizon and risk tolerance. When we issue a 'buy' or 'sell' recommendation for Palo Alto Networks, the advice is generated through an automated system that utilizes algorithms and statistical models.
Check out Palo Alto Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. Note, we conduct extensive research on individual companies such as Palo and provide practical buy, sell, or hold advice based on investors' constraints. Palo Alto Networks. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in board of governors.
Palo |
Execute Palo Alto Buy or Sell Advice
The Palo recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Palo Alto Networks. Macroaxis does not own or have any residual interests in Palo Alto Networks or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Palo Alto's advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Hold
Market Performance | Modest | Details | |
Volatility | Very steady | Details | |
Hype Condition | Over hyped | Details | |
Current Valuation | Undervalued | Details | |
Odds Of Distress | Very Low | Details | |
Economic Sensitivity | Barely shadows the market | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Strong Buy | Details | |
Financial Strenth (F Score) | Strong | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Palo Alto Trading Alerts and Improvement Suggestions
| Palo Alto Networks is unlikely to experience financial distress in the next 2 years | |
| Palo Alto Networks currently holds 1.41 B in liabilities. Palo Alto Networks has a current ratio of 0.75, indicating that it has a negative working capital and may not be able to pay financial obligations when due. Note, when we think about Palo Alto's use of debt, we should always consider it together with its cash and equity. | |
| Palo Alto Networks has a strong financial position based on the latest SEC filings | |
| Over 81.0% of the company shares are owned by institutional investors | |
| Latest headline from bleepingcomputer.com: Hackers exploit DoS flaw to disable Palo Alto Networks firewalls |
Palo Alto Returns Distribution Density
The distribution of Palo Alto's historical returns is an attempt to chart the uncertainty of Palo Alto's future price movements. The chart of the probability distribution of Palo Alto daily returns describes the distribution of returns around its average expected value. We use Palo Alto Networks price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Palo Alto returns is essential to provide solid investment advice for Palo Alto.
| Mean Return | 0.16 | Value At Risk | -3.66 | Potential Upside | 3.02 | Standard Deviation | 1.99 |
Return Density |
| Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Palo Alto historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.
Palo Stock Institutional Investors
Have you ever been surprised when a price of an equity instrument, such as Palo Alto, soars without any apparent reason? This usually happens because many institutional investors are aggressively trading Palo Alto Networks back and forth among themselves.
| Shares | Goldman Sachs Group Inc | 2024-09-30 | 3.3 M | International Assets Investment Management, Llc | 2024-09-30 | 3.3 M | Jennison Associates Llc | 2024-09-30 | 3.1 M | Nuveen Asset Management, Llc | 2024-09-30 | 3.1 M | Ubs Group Ag | 2024-09-30 | 3.1 M | Royal Bank Of Canada | 2024-09-30 | 2.9 M | Ubs Asset Mgmt Americas Inc | 2024-09-30 | 2.7 M | Amvescap Plc. | 2024-09-30 | 2.7 M | Norges Bank | 2024-06-30 | 2.7 M | Vanguard Group Inc | 2024-09-30 | 30 M | Blackrock Inc | 2024-06-30 | 25 M |
Palo Alto Cash Flow Accounts
| 2019 | 2020 | 2021 | 2022 | 2023 | 2024 (projected) | ||
| Change To Inventory | (353.1M) | (448.8M) | (327.6M) | (1.1B) | (964.4M) | (916.2M) | |
| Change In Cash | 2.0B | (1.1B) | 244.7M | (982.6M) | 404.6M | 424.8M | |
| Free Cash Flow | 821.3M | 1.4B | 1.8B | 2.6B | 3.1B | 3.3B | |
| Depreciation | 253.5M | 304.9M | 282.6M | 282.2M | 283.3M | 297.5M | |
| Other Non Cash Items | 325.2M | 440.8M | 437.2M | (1.5B) | 444.7M | 466.9M | |
| Capital Expenditures | 214.4M | 116M | 192.8M | 146.3M | 156.8M | 98.2M | |
| Net Income | (81.9M) | (267M) | (498.9M) | 439.7M | 2.6B | 2.7B | |
| End Period Cash Flow | 3.0B | 1.9B | 2.1B | 1.1B | 1.5B | 1.1B | |
| Investments | 771.9M | (587.3M) | (1.2B) | (2.6B) | (1.5B) | (1.4B) | |
| Change Receivables | (435.6M) | (172.4M) | (902M) | (1.1B) | (953.1M) | (905.4M) | |
| Dividends Paid | 2.3B | 104M | 136.6M | 258.8M | 297.6M | 283.7M | |
| Change To Netincome | 658.4M | 907.5M | 1.0B | 1.1B | 1.2B | 1.3B | |
| Net Borrowings | 2.0B | (900K) | (600K) | (1.7B) | (1.5B) | (1.4B) |
Palo Alto Greeks
Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Palo Alto or Software sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Palo Alto's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Palo stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α | Alpha over Dow Jones | 0.14 | |
β | Beta against Dow Jones | 0.23 | |
σ | Overall volatility | 2.02 | |
Ir | Information ratio | 0.06 |
Palo Alto Volatility Alert
Palo Alto Networks currently demonstrates below-average downside deviation. It has Information Ratio of 0.06 and Jensen Alpha of 0.14. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Palo Alto's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Palo Alto's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.Palo Alto Fundamentals Vs Peers
Comparing Palo Alto's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Palo Alto's direct or indirect competition across all of the common fundamentals between Palo Alto and the related equities. This way, we can detect undervalued stocks with similar characteristics as Palo Alto or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Palo Alto's fundamental indicators could also be used in its relative valuation, which is a method of valuing Palo Alto by comparing valuation metrics with those of similar companies.
| Better Than Average | Worse Than Average | Compare Palo Alto to competition |
| Fundamentals | Palo Alto | Peer Average |
| Return On Equity | 0.75 | -0.31 |
| Return On Asset | 0.0322 | -0.14 |
| Profit Margin | 0.32 % | (1.27) % |
| Operating Margin | 0.12 % | (5.51) % |
| Current Valuation | 121.33 B | 16.62 B |
| Shares Outstanding | 656.2 M | 571.82 M |
| Shares Owned By Insiders | 0.86 % | 10.09 % |
| Shares Owned By Institutions | 80.76 % | 39.21 % |
| Number Of Shares Shorted | 11.39 M | 4.71 M |
| Price To Earning | (55.17) X | 28.72 X |
| Price To Book | 20.92 X | 9.51 X |
| Price To Sales | 15.22 X | 11.42 X |
| Revenue | 8.03 B | 9.43 B |
| Gross Profit | 3.78 B | 27.38 B |
| EBITDA | 1.28 B | 3.9 B |
| Net Income | 2.58 B | 570.98 M |
| Cash And Equivalents | 3.63 B | 2.7 B |
| Cash Per Share | 12.15 X | 5.01 X |
| Total Debt | 1.41 B | 5.32 B |
| Current Ratio | 0.77 X | 2.16 X |
| Book Value Per Share | 15.90 X | 1.93 K |
| Cash Flow From Operations | 3.26 B | 971.22 M |
| Short Ratio | 4.75 X | 4.00 X |
| Earnings Per Share | 3.85 X | 3.12 X |
| Price To Earnings To Growth | 2.10 X | 4.89 X |
| Target Price | 204.24 | |
| Number Of Employees | 15.29 K | 18.84 K |
| Beta | 1.12 | -0.15 |
| Market Capitalization | 122.17 B | 19.03 B |
| Total Asset | 19.99 B | 29.47 B |
| Retained Earnings | 1.35 B | 9.33 B |
| Working Capital | (833 M) | 1.48 B |
| Current Asset | 1.77 B | 9.34 B |
Note: Acquisition by Nikesh Arora of 21279 shares of Palo Alto subject to Rule 16b-3 [view details]
Palo Alto Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Palo . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
| Accumulation Distribution | 59270.14 | |||
| Daily Balance Of Power | (0.61) | |||
| Rate Of Daily Change | 0.99 | |||
| Day Median Price | 185.11 | |||
| Day Typical Price | 185.46 | |||
| Price Action Indicator | (0.09) | |||
| Period Momentum Indicator | (2.32) |
About Palo Alto Buy or Sell Advice
When is the right time to buy or sell Palo Alto Networks? Buying financial instruments such as Palo Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
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Additional Tools for Palo Stock Analysis
When running Palo Alto's price analysis, check to measure Palo Alto's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Palo Alto is operating at the current time. Most of Palo Alto's value examination focuses on studying past and present price action to predict the probability of Palo Alto's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Palo Alto's price. Additionally, you may evaluate how the addition of Palo Alto to your portfolios can decrease your overall portfolio volatility.