Rosenblatt Trims Palo Alto Networks (PANW) Price Target to $215, Keeps Buy Rating

Palo Alto Networks, Inc. (NASDAQ:PANW) is one of the AI Stocks Making Headlines This Week. On August 14, Rosenblatt lowered the firm’s price target on the stock to $215 from $235 and kept a Buy rating on the shares. According to the firm, channel checks reveal steady fourth-quarter performance for Palo Alto Networks.

“Recent channel checks indicate steady Q4 performance for Palo Alto Networks, with ongoing momentum across software firewalls, firewall refresh, SASE, and continued uptake of XSIAM.”

Rosenblatt affirmed that SASE, specifically Prisma Access, is experiencing customer expansion as organizations look to consolidate security services. The new Prisma Access Browser is gaining traction now that customers are increasingly looking to secure GenAI app usage and browser-based workflows.

“XSIAM adoption is supported by competitive conversions from legacy platforms such as QRadar. Renewal activity is contributing to larger multi-product agreements, reflecting ongoing platform integration trends. We expect revenue growth above our and the Street’s 14% estimate (FY25 guide: +14.5%), with strength flowing through to better‑than‑expected operating margins and a PF EPS beat. This view is supported by PANW’s track record of exceeding Street PF EPS by an average 5.1% over the last four quarters. Maintaining Buy rating, lowering PT to $215 (from $235) on reduced FY26 estimates. Our PT of $225 applies 13.5x EV/CY26e Sales (vs. 14.4x prior), reflecting 12.5% growth.”

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

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