:max_bytes(150000):strip_icc()/GettyImages-2247987594-f9d6f898d967470eb17119900b20096c.jpg "Here’s How Much Palo Alto Networks Stock Is Expected to Move After Earnings Tuesday")
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Key Takeaways
- Palo Alto Networks is slated to post fiscal second-quarter earnings on Tuesday afternoon, with analysts calling for growing revenue and profits.
- Options pricing suggests traders expect the stock could move up to 8% in either direction by the end of the week following the results.
Palo Alto Networks is set to report earnings after the closing bell Tuesday, with traders anticipating a big move from the cybersecurity firm’s stock in the wake of the results.
Options pricing suggests traders expect Palo Alto Networks (PANW) stock could move up to 8% in either direction by the end of the week following the report. A move of that size from Friday close near $167 could bring the stock back above $180 at the high end, reversing some of its slump from October highs. At the low end, the stock could sink to $153.
Despite logging gains over the past week, Palo Alto Networks shares have had a rough start to this year, as cybersecurity stocks took a hit amid a broader rout in software. The company’s shares are down 9% for 2026 so far, and nearly 25% off their October record.
Why This Matters to Investors
The growing capabilities of AI have also introduced new security threats, boosting demand for Palo Alto Networks’ cybersecurity offerings in recent quarters. Investors and analysts will likely be watching what the company’s latest results Tuesday could say about industry trends.
William Blair analysts said ahead of the report that investors will also likely be looking for updates on Palo Alto Networks’ plans regarding its recent acquisitions. On Wednesday, the company said that it completed its $25 billion deal for CyberArk. Palo Alto Networks last month also closed its acquisition of AI cybersecurity firm Chronosphere, which was announced alongside last quarter’s earnings in November.
Palo Alto Networks is seen reporting adjusted earnings per share of 94 cents on a 14% year-over-year jump in revenue to $2.58 billion for its fiscal second quarter, according to estimates compiled by Visible Alpha.
Wall Street analysts are widely bullish on the stock. Of the 14 analysts with current ratings tracked by Visible Alpha, 10 recommend buying the stock, compared to four neutral ratings. Their average price target at $218 would suggest about 30% upside from Friday’s close.
