Fort Sheridan Advisors Increases Stake in Palo Alto Networks by 4.3%

Fort Sheridan Advisors LLC has increased its investment in Palo Alto Networks, Inc. (NASDAQ: PANW) by 4.3% during the second quarter of 2023. According to the company’s recent disclosure with the Securities and Exchange Commission (SEC), the fund now holds 22,010 shares of the cybersecurity firm, valued at approximately $4,504,000 following the acquisition of an additional 905 shares during this period.

Several other institutional investors have also adjusted their positions in Palo Alto Networks. Notably, Whipplewood Advisors LLC significantly increased its stake by an impressive 6,400%, bringing its total holdings to 130 shares, worth around $27,000 after acquiring 128 additional shares. Other firms, including Briaud Financial Planning Inc. and MTM Investment Management LLC, have entered new positions in the company, with investments valued at $28,000 and $31,000, respectively. Collectively, hedge funds and institutional investors now own approximately 79.82% of Palo Alto Networks’ stock.

Analysts have been actively evaluating Palo Alto Networks, leading to varied ratings and target price adjustments. On November 20, 2023, Westpark Capital reiterated a “hold” rating on the stock. Meanwhile, Barclays increased its target price from $215.00 to $230.00, assigning an “overweight” rating. Also, TD Cowen raised its price target to $255.00 while maintaining a “buy” rating. Research from MarketBeat.com indicates that thirty analysts have rated the stock as a Buy, with an average target price of $225.09.

Palo Alto Networks’ Recent Performance and Earnings Report

On November 20, 2023, Palo Alto Networks announced its quarterly earnings, reporting earnings per share (EPS) of $0.93, surpassing analysts’ expectations of $0.89. The company achieved a net margin of 11.69% and a return on equity of 17.05%, with total revenue of $2.47 billion, slightly ahead of the consensus estimate of $2.46 billion. This marks a significant year-over-year revenue increase of 15.7%.

Shares of Palo Alto Networks opened at $187.73 on November 21, 2023. The company has a market capitalization of $130.85 billion, with a price-to-earnings ratio of 118.82 and a PEG ratio of 4.50. The stock has fluctuated within a 12-month range, hitting a low of $144.15 and a high of $223.61.

Insider trading activity has also been notable. On November 3, 2023, Lee Klarich, EVP, sold 120,774 shares at an average price of $217.94, totaling approximately $26.3 million. Following this transaction, he retained 356,409 shares valued at $77.68 million. Additionally, Josh D. Paul, CAO, sold 700 shares for about $154,000. Over the last quarter, insiders have sold a total of 1,215,130 shares valued at nearly $249 million, with insiders currently holding 1.40% of the company’s stock.

Palo Alto Networks’ Business Overview

Palo Alto Networks specializes in cybersecurity solutions, providing a range of products including firewall appliances, security management solutions, and subscription services that cover areas such as threat prevention and data loss prevention. The company’s technology aims to secure networks globally, catering to the increasing demand for robust cybersecurity measures in an evolving digital landscape.

As Palo Alto Networks continues to adapt to the dynamic cybersecurity environment, its recent financial performance and strategic investments signal a strong position within the industry. Investors and analysts alike will be watching closely as the company navigates upcoming challenges and opportunities in the tech sector.