Palo Alto Networks, Inc. · PANW · FY2025 Q2 · Calendar Q1 2025

Palo Alto Networks: Platformization and AI support a raised outlook

The supplied analysis supports a constructive operating thesis: platformization, AI-enabled efficiency and cloud-security products are strengthening Palo Alto Networks’ growth and margin framework. The case remains conditional on execution, ARR momentum and cash-flow visibility.

Reported After market closeNASDAQTechnology $302.88B market cap
80quality score

Earnings scorecard

Reported versus consensus
Reported EPS — Consensus $0.78
EPS surprise — Reported versus consensus
Reported revenue — Consensus $2.24B
Revenue surprise — Reported versus consensus

Market reaction

event-close to next-session close
Stock move -0.9% Event window
SPY move -0.0% Same window
Abnormal move -0.9% Stock minus SPY
Volume 2.4× Versus trailing sessions
Subsequent drift -7.5% Up to 20 sessions
PANWSPY benchmark

Ask FN2 about PANW FY2025 Q2

Transcript, numbers and history already loaded
What drove PANW's -0.9% move after FY2025 Q2 earnings?What changed in PANW's guidance and outlook in FY2025 Q2?Give me the bull and bear case for PANW after FY2025 Q2 earnings.

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Transcript intelligence

What changed

Relative to the prior-quarter analysis, the current analysis adds Cortex Cloud, emphasizes AI-driven support efficiencies and highlights continued platformization progress. Guidance sentiment remains raised, while hardware inventory adjustments and deferred-payment trends are identified as key watch items.

Guidance delta

Management’s guidance sentiment was raised, with higher operating-margin and EPS outlooks highlighted in the supplied analysis.

Key takeaways

  • Management highlighted platformization momentum, with more than 1,150 customers platformized and several large international deals.
  • AI initiatives were presented as supporting efficiency and margin expansion, while Cortex Cloud and Prisma Access Browser support cloud-security growth.
  • The supplied analysis describes revenue as above expectations and guidance as raised, but the scorecard does not provide actual EPS or revenue figures.

Management priorities

  • Scale Cortex Cloud and integrate it with XIM for end-to-end cloud security.
  • Expand Prisma Access Browser AI access capabilities and its mobile rollout.
  • Continue AI Copilot deployment while pursuing the platformization target described in the analysis.

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Earnings History

Estimate Beat Miss Match
PANW EPS earnings history estimate and actual scatter chart 9 reported fiscal quarters and 2 future estimate-only quarters. Q1 '24 estimate $1.16 Q1 '24 actual $1.38, beat Q2 '24 estimate $1.30 Q2 '24 actual $1.46, beat Q3 '24 estimate $1.27 Q3 '24 actual $1.32, beat Q4 '24 estimate $1.41 Q4 '24 actual $1.51, beat Q4 '25 estimate $0.89 Q4 '25 actual $0.95, beat Q1 '26 estimate $0.89 Q1 '26 actual $0.93, beat Q2 '26 estimate $0.94 Q2 '26 actual $1.03, beat Q3 '26 estimate $0.79 Q3 '26 actual $0.85, beat Q4 '26 estimate $0.98 Q4 '26 actual $1.02, beat Q1 '27 estimate $0.97 Q2 '27 estimate $1.01
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Analyst Consensus ?

ConsensusBuy87 ratings
Bullish6372.4%
Neutral2225.3%
Bearish22.3%

1 unmapped firm rating excluded from the percentages.

Analyst 52W Price Targets

$370.27Previous close
$146.67Low
$325.07Average
$525High

Latest persisted target per named analyst; persisted previous close from FN2's market snapshot as of Oct 16, 2026. Not an FN2 forecast.

Firm-level rating actions

FMP grade actions identify the grading firm, not a named analyst.

FirmRatingPrior ratingActionDate
Wells Fargo Overweight OverweightMaintainOct 13, 2026
TD Cowen Buy BuyMaintainOct 2, 2026
BTIG Buy BuyMaintainSep 28, 2026
Morgan Stanley Overweight OverweightMaintainSep 21, 2026
Bernstein Market Perform OutperformDowngradeSep 17, 2026
Show 83 more rating actions

Named analyst price targets

Upside is calculated against the persisted previous close $370.27. FMP does not supply a rating on these named-analyst rows.

FirmAnalyst52W targetPrice when postedUpsideDate
Wells FargoMichael Turrin$525$418.78 +41.8%Oct 12, 2026
Cowen & Co.Analyst unavailable$440$396.25 +18.8%Oct 2, 2026
BTIGAnalyst unavailable$425$374.74 +14.8%Sep 28, 2026
Morgan StanleyMeta Marshall$410$363.58 +10.7%Sep 21, 2026
BernsteinAnalyst unavailable$351$375.65 -5.2%Sep 17, 2026
See 241 more

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Company context

Snapshot as of publication

Palo Alto Networks, Inc. is a global leader in providing advanced cybersecurity solutions. The company's core product line includes both hardware and software-based firewalls. It also offers Panorama, a sophisticated security management platform designed for centralized control of these firewall deployments, whether they are physical appliances, virtual instances, or situated in public or private cloud environments. Additionally, the firm provides virtual system upgrades to enhance the capacity of its physical firewall units. Complementing its core products, Palo Alto Networks delivers an extensive range of subscription services. These encompass robust threat prevention, protection against malware and advanced persistent threats, URL filtering, and security for both laptop and mobile devices. Further specialized subscriptions include DNS security, Internet of Things (IoT) security, SaaS security (via API and inline methods), threat intelligence, and data loss prevention.…

Historical context

All PANW earnings
-9.3%FY2026 Q4 · Calendar Q3 2026-5.6%FY2026 Q3 · Calendar Q2 2026-6.8%FY2026 Q2 · Calendar Q1 2026

Technology peers this season

Latest reports in the same sector
CompanyQuarterEPS surpriseMarket moveHeadline
WIT Wipro Limited FY2027 Q2 · Calendar Q4 2026 -25.0% +3.9% Wipro: AI pipeline expands as Q3 guidance stays narrow
TSM Taiwan Semiconductor Manufacturing Company Limited FY2026 Q3 · Calendar Q4 2026 +3.4% -1.8% TSMC beats Q3 guidance as AI demand drives fab expansion
ERIC Telefonaktiebolaget LM Ericsson (publ) FY2026 Q3 · Calendar Q4 2026 +28.6% +11.8% Ericsson Q3: 7% organic growth, resilient margins and AI-led demand
ASML ASML Holding N.V. FY2026 Q3 · Calendar Q4 2026 +20.4% -3.9% ASML: Record Q3, strong AI demand and broader capacity plans

Latest beats and misses

Who reports next

Beat on EPS

Missed on EPS

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One email per quarter with the scorecard, the market reaction and what changed on the call. No account needed.

Sources

  1. Earnings call transcript and parsed analysis · 2026-05-11T10:29:34.698584+00:00
  2. FN2 earnings calendar · 2025-02-12T16:27:02.125080+00:00
  3. Polygon adjusted daily market bars · 2026-10-16T11:20:41.805038+00:00
  4. Financial Modeling Prep analyst price-target consensus and quote snapshot · 2026-10-16T11:20:41.802170+00:00

Methodology

Reported and consensus figures come from FN2's earnings event records. Market reaction and volume are calculated from daily adjusted bars around the event; abnormal move subtracts the SPY move over the same window.

Analyst target low, average, and high values are derived at request time from each named analyst's latest persisted FMP target. The current-price marker comes from FN2's persisted market snapshot. They are sell-side estimates, not an FN2 valuation or recommendation.

Transcript intelligence is a structured synthesis of the current and prior earnings-call analyses. Missing values stay missing and are never estimated.

By FN2 Research · Updated · As of 2026-10-16. For educational purposes only; not investment advice.