|Bid||0.00 x 800|
|Ask||0.00 x 800|
|Day's Range||226.94 - 230.33|
|52 Week Range||160.08 - 239.50|
|Beta (3Y Monthly)||0.71|
|PE Ratio (TTM)||N/A|
|Earnings Date||Feb 26, 2019|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||249.01|
Palo Alto's (PANW) second-quarter fiscal 2019 results are likely to be driven by its innovative product menu and increasing adoption of its next-generation security platforms.
Crosslink Capital is a San Francisco-based hedge fund with the main focus on technology companies. It was co-founded by Seymour Franklin Kaufman and Michael Stark back in 1989. The fund provides an additional office in Palo Alto, California. Prior to co-founding Crosslink Capital, Michael Stark worked at Roberston Stephens as a Director of Research and […]
Palo Alto Networks (PANW) closed at $226.64 in the latest trading session, marking a -1.42% move from the prior day.
Ten funding deals that fetched more than $400 million, four acquisitions and some big VC fundraising top Bay Area founder and funder news at midweek. Here are the details.
The Nasdaq composite leads a mild gain in the stock market today. Some steel and other cyclical shares joined techs higher. More are forming bases.
Palo Alto's (PANW) buyout of Demisto is expected to help the company incorporate AI and machine learning to enhance the automation of its customers' security operations.
Palo Alto Networks acquired Israel-based Demisto for $560 million. The deal comes amid worries that its new CEO could embark on an acquisition spree, which has pressured Palo Alto stock.
Demisto was figured to be worth about $218 million, according to PitchBook Data, when it raised $43 million of Series C venture funding in a deal led by Greylock Partners in October.
[Editor's note: This story was previously published in August 2018. It has since been updated and republished.]Another day. Another hack. Another reason to buy a cybersecurity stock. That has been my motto for the better part of the past few years, as a huge surge in digital data volume globally has been accompanied by an equally large surge in headline cyber attacks. The big one was the Equifax (NYSE:EFX) scandal back in mid-2017, but that incident is far from isolated. Everyone from Under Armour (NYSE:UAA) to Wendy's (NYSE:WEN) to Whole Foods to Uber to Yahoo and U.S. universities has dealt with a cyber attack of some sort over the past several years.Concurrent to the rampant rise in cyber attacks, demand for cybersecurity solutions has burgeoned, and cybersecurity stocks have bounced. The Prime Cybersecurity ETF (NYSEARCA:HACK) is up roughly 20% over the past year, almost double the S&P 500's return of 18%.InvestorPlace - Stock Market News, Stock Advice & Trading TipsThe pace of these attacks will only increase as more valuable data shifts online over the next several years. As such, demand for cybersecurity solutions will continue to grow and cybersecurity stocks will continue to outperform. * 7 Financial Stocks With Accelerating Growth With that in mind, here's a list of 15 cybersecurity stocks that investors should watch over the next several years. Indeed, I think a few of them could be huge winners: Palo Alto Networks (PANW)When it comes to cybersecurity stocks, the cream of the corp is Palo Alto Networks (NYSE:PANW)."Another day, another hack, another reason to buy a cybersecurity stock" could just as easily read "another day, another hack, another reason to buy Palo Alto Networks stock." In other words, Palo Alto Networks is so big and so good at what it does that the company may as well be a substitute for the entire cybersecurity space.This dominance has manifested itself in a long and steady track record of 20%-plus revenue growth and healthy operating margin expansion, the sum of which has powered a 350% rally in PANW stock over the past five years.Recent numbers are strong, the uptrend remains intact, and analysts remain confident on the stock, so it is all around thumbs up for PANW here and now.Source: Dennis van Zuijlekom via Flickr Fortinet (FTNT)While Palo Alto Networks may be the cream of the corp in this industry, Fortinet Inc (NASDAQ:FTNT) isn't too far behind.This is another really big, really strong cybersecurity company that has a strong track record of 20%-plus revenue growth and strong share price gains. Over the past five years, FTNT is up 300%.Revenue growth isn't slowing at all (up 21% last quarter), implying that despite increased competition, Fortinet continues to ride secular tailwinds in cybersecurity to 20%-plus revenue growth. Thus, so long as cybersecurity tailwinds remain strong, FTNT stock should do well. * 10 Small-Cap ETFs That Pack a Wallop Analysts are worried about valuation here and now, with the stock trading at nearly 50X forward earnings. That does seem a little rich and this stock may be due for a correction in the near future. But thereafter, long-term tailwinds should drive FTNT stock higher.Source: Check Point Software Check Point (CHKP)Another cybersecurity industry titan is Check Point (NASDAQ:CHKP). And, as an industry titan, CHKP stock is a likely winner if cybersecurity tailwinds stay strong.But, CHKP stock has struggled lately. CHKP stock is up just 7% over the past year. A lot of the recent weakness in CHKP stock has to do with anemic revenue growth. Revenue growth was just 2% last quarter, an usually low mark for a cybersecurity giant.Long story short, it looks like competition is weighing on CHKP stock. Thus, go-forward growth prospects, while strong, are muddied by competitive threats. Granted, CHKP stock sports a reasonable valuation at just 20X forward earnings. But, that low valuation runs next to low growth, so the stock really isn't a bargain.Analysts aren't in love with this stock (they see less than 1% upside over the next 12 months), and the chart isn't all that great, either. Thus, while CHKP should head higher in the long run thanks to industry tailwinds, the outlook for the stock in the near- to medium-term is much less promising.Source: David via Flickr (Modified) FireEye (FEYE)I'd lump cybersecurity company FireEye (NASDAQ:FEYE) more into the Check Point pile than the Palo Alto Networks and Fortinet pile.This is a solid company with healthy industry drivers. But, revenue growth isn't robust (just 6% last quarter). Adjusted gross margins are inching higher, but not by much. The company is barely profitable, yet the valuation is fairly sizable at more than 3X trailing sales.As such, FEYE stock doesn't look like a huge winner in the big picture. * 5 Growthy Stocks Trading Below 15X Earnings That being said, there is an argument to buy FEYE stock in the near- to medium-term. Ever since the start of 2016, FEYE stock has been highly cyclical. In that cycle, the stock usually bottoms when the trailing sales multiple hits 3. Right now, we are just above 3. Thus, further weakness in the stock should be expected, but could turn into a medium-term buying opportunity. Proofpoint (PFPT)Proofpoint (NASDAQ:PFPT) is the nascent, hyper-growth player in the cybersecurity space.The company isn't all that big (under $6 billion market cap, versus nearly $20 billion for Palo Alto Networks). But, what this company lacks in size, it makes up for in growth. Revenue growth last quarter was 40%, and it was 40% the quarter before that, too.Because of this massive growth in a rapidly expanding industry, PFPT stock has done quite well. The stock is up nearly 300% over the past five years.Analysts think this stock heads higher. So do I. Growth rates are huge, the valuation is reasonable, and the chart looks good (big buy signal if the stock drops to $110, its 200-day moving average). Imperva (IMPV)There is a lot of noise surrounding Imperva (NASDAQ:IMPV) right now. But, I think that if you zoom out and look at the big picture, this is a cybersecurity company heading in the right direction.IMPV stock got slammed recently because of mixed quarterly numbers that included a big-cut to the full-year guide. The rationale behind the down-guide was that Imperva is transitioning to a subscription model, and that is adversely affecting revenue and profits in the near-term.Longer-term, though, this is the right move. We are entering the subscription economy era. Moreover, Imperva operates in a rapid growth area of cybersecurity (hybrid cloud), and that gives them exposure to huge tailwinds over the next several quarters. * 10 Smart Money Stocks to Buy Now Meanwhile, the valuation on IMPV stock is reasonable at only 4.5X sales. Thus, in a big picture, I think IMPV stock is headed in the right direction. But, IMPV won't be a big winner overnight, so expect some choppiness while Imperva's financials take a near-term hit from the subscription shift.Source: Shutterstock CyberArk (CYBR)Much like Proofpoint, CyberArk (NASDAQ:CYBR) is a cybersecurity company characterized by small scale but big growth.CyberArk is even smaller than Proofpoint (just a $2 billion market cap). But, growth is really big. Last quarter, revenues rose 35% year-over-year, and deferred revenue rose by more than 50%.Also much like PFPT, CYBR stock has been a big winner due to its big growth. Over the past year, CYBR stock is up 80%.Analysts think this run will continue, albeit at a much slower rate. That seems reasonable to me. This stock is slightly more expensive than PFPT, but growing at a slower rate, so if you are searching for growth in the cybersecurity space, I'd pick PFPT over CYBR.Source: Shutterstock Cisco (CSCO)One of the bigger companies on this list, Cisco (NASDAQ:CSCO), is much more than just a cybersecurity company. But, a big part of this company's turnaround narrative is centered on cybersecurity.That part of the Cisco narrative is doing well, and is powering improved financial results. But, Cisco as a whole remains a low-growth business with struggling margins. Moreover, laps are going to get tougher going forward, so slowing revenue growth is a risk this company is looking at it in the near- to medium-term future.That being said, CSCO stock is pretty cheap at just 16X forward earnings, and the chart looks pretty good. * 5 Stocks That Could Be the Next Amazon Big picture, CSCO stock has good, but not great, upside from here. It is a low-risk, low-volatility investment with a cheap valuation. But, it also lacks big-time growth drivers to unlock huge share price appreciation in the long-term.Source: Shutterstock Carbonite (CARB)Although it is one of the smaller names on this list, Carbonite (NASDAQ:CARB) has one of the better growth narratives in all of cybersecurity.This is a company that is positioning itself as a data protection company. Considering the volume of digital data is exploding higher right now on a global scale, data protection is the right niche to dominate over the next several years.Carbonite's numbers are really good. Revenues rose more than 30% last quarter. Gross margins are trending higher. Operating margins, too. Net profits are growing by a whole bunch from a small base.The valuation, meanwhile, isn't all that bad at 4X trailing sales. Plus, the stock is up more than 100% over the past year, and it has a bunch of positive momentum right now. Altogether, CARB stock looks like a winner.Source: Shutterstock Qualys (QLYS)The next cybersecurity stock to watch over the next several years is Qualys (NASDAQ:QLYS).The value prop of Qualys is getting enterprise customers to sign onto their platform, consolidate their security and compliance stacks, and cut IT spend. That is a pretty promising value prop, and a lot of customers are buying into it.Last quarter, revenues at Qualys rose more than 20%. Same with last quarter, and the quarter before that. Gross margins aren't soaring higher, but operating margins are moving higher as big revenue growth is driving opex leverage. * 3 Stocks With Breakout Potential From a valuation perspective, this hyper-growth cybersecurity stock looks fully valued at over 13X trailing sales. That is about as big as it gets in this industry, but Qualys isn't the biggest grower. Thus, going forward, valuation will likely weigh on share price performance.Source: Shutterstock Symantec (SYMC)Of all the stocks on this list, Symantec (NASDAQ:SYMC) is the one that has been under the most pain.SYMC stock is down more than 30% over the past year, mostly thanks to slowing revenue growth, which just turned negative. Considering competition in this space is only intensifying, it is discouraging to see revenue growth already dip into negative territory.That being said, SYMC stock is about as cheap as it gets in this sector. The stock trades at 2.5X trailing sales and 13X forward earnings. Those are pretty cheap multiples for exposure to cyber defense.If the growth trajectory for this company improves, SYMC stock could soar higher. Until then, though, SYMC stock will remain weak. There simply isn't much demand for zero-growth cyber defense stocks.Source: Shutterstock Akamai (AKAM)One cybersecurity stock with a very attractive and multi-faceted growth narrative is Akamai (NASDAQ:AKAM).The Akamai growth narrative is really quite broad. On one end, the company's fastest-growing segment is its Cloud Security solutions. Revenues in this segment are consistently growing around 25% to 35% year-over-year each quarter, and momentum is strong due to the security portfolio including new products.On the other end, Akamai provides solutions that enable the shift from linear content to internet content. This shift is only gaining momentum, and as such, Akamai's growth narrative and numbers are only getting better. * 5 Marijuana Stocks to Watch Valuation is a concern for this stock. But, the fundamentals are pretty good. Thus, while I don't think AKAM stock has another 20%-plus upside in its tank over the next 12 months, I do see this stock heading higher in a multi-year window.Source: Web Summit Via Flickr Splunk (SPLK)Another high-growth name in this space is Splunk (NASDAQ:SPLK).Splunk essentially operates in the world of turning data into actionable insights. This is a good place to be. It puts Splunk at the heart of a $55 billion addressable market. Revenues currently sit around $1.3 billion on a trailing 12 month basis, so there is clearly a long runway for big growth.But, revenue growth has been consistently slowing at SPLK. The valuation, however, has not compressed. That is a worrisome combination. With revenue growth last quarter under 40%, and the price-to-sales multiple above 10X, this stock looks unnecessarily risky here and now.Analysts have been moving to the sidelines on this name, and insiders are selling a bunch, so now might be the time to heed the warning signs.Source: Shutterstock F5 Networks (FFIV)F5 Networks (NASDAQ:FFIV) has been a winner to-date. But, that could change soon.There's no doubt about it. FFIV stock has been a cybersecurity winner. Over the past year, the stock is up 60%. Yet, despite the big run, the forward-earnings-multiple on FFIV stock remains below 20.Thus, the valuation is attractive. But, it is on top of what is projected as sub-10% earnings growth over the next several years. A 20X multiple for less than 10% growth isn't all the great, especially considering the market is trading at a lower multiple (17X) for bigger growth (16.5%). * 7 Strong Buy Stocks With Over 20% Upside Perhaps that is why most analysts have a price target on the stock that is below the current price tag. I think the analysts are right on this one. This feels like a low growth company with a big growth valuation. Cybersecurity tailwinds are strong, but there are better cybersecurity stocks on this list with more upside potential.Source: Shutterstock Zscaler (ZS)Freshly public and relatively small, Zscaler (NASDAQ:ZS) is one of the most exciting and risky cybersecurity stocks on this list.Zscaler went public at $16-per-share in March. The IPO was a huge success. ZS stock doubled in its first day of trading, closing at $33. The momentum hasn't really stopped. Today, ZS stock is around $40.The hype makes sense. Zscaler is a cloud security company with nearly 3,000 customers, a huge international presence, 50%-plus revenue growth and 80%-plus gross margins. The company is disrupting a huge, nearly $20 billion cloud and mobility market, and revenues last year were just $126 million.Thus, the long-term growth narrative supporting ZS stock is quite promising. But, this is nearly a $5 billion company that is expected to do under $200 million in sales this year, so the stock is trading at a rather huge 25X-plus sales multiple. That isn't a risk-off investment. As such, ZS is the high-risk, high-reward name in this cybersecurity bunch.As of this writing, Luke Lango was long HACK, PANW, FTNT and PFPT. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Hot Stocks Leading the Market's Blitz Higher * 7 Strong Buy Stocks With Over 20% Upside * 5 Growthy Stocks Trading Below 15X Earnings Compare Brokers The post 15 Cybersecurity Stocks to Watch as the Industry Heats Up appeared first on InvestorPlace.
Palo Alto Networks Inc. announced Tuesday that it would be acquiring Demisto, a security orchestration, automation, and response (SOAR) company, for $560 million in cash and stock. Shares are up 0.7% in morning trading. The Demisto deal "will help bring PANW closer to using AI and machine learning to further automated its customers' security operations," wrote FBN Securities analyst Shebly Seyrafi after the announcement. BTIG's Joel Fishbein expects the company to remain acquisitive under Chief Executive Nikesh Arora as it looks to accelerate its application framework. Palo Alto Networks reports earnings on Feb. 26. Its shares have risen 40% over the past three months, while the S&P 500 has gained 3.2%.
(Reuters) - Cyber security company Palo Alto Networks Inc said on Tuesday it would buy U.S.-Israeli information security firm Demisto Inc for $560 million in cash and stock. Demisto, founded in 2015 by ...
This mutual fund holds growth stocks that IBD readers like. So the fund's rebound bodes well for investors seeking solid growth stocks.
SANTA CLARA, Calif., Feb. 19, 2019 /PRNewswire/ -- Palo Alto Networks (PANW), the global cybersecurity leader, announced that it has entered into a definitive agreement to acquire Demisto, a leading security company in the security orchestration, automation and response (SOAR) space. Under the terms of the agreement, Palo Alto Networks will acquire Demisto for a total purchase price of $560 million, subject to adjustment, to be paid in cash and stock. The proposed acquisition is expected to close during Palo Alto Networks fiscal third quarter, subject to the satisfaction of regulatory approvals and other customary closing conditions.
CyberArk (NASDAQ:CYBR) spiked higher in Thursday trading on a solid quarterly report. The Israeli-based online security firm blew away earnings and revenue estimates and garnered a lot of attention for CyberArk stock.Source: Shutterstock While this will please investors who bought before the announcement, valuation and growth forecasts warrant caution in CyberArk stock. Although CYBR should move higher in the long-term, the move higher makes the short and medium term outlook uncertain. CyberArk Stock Beat EstimatesIn Q4, Cyberark reported non-GAAP earnings of 89 cents per share, 30 cents per share higher than analysts had anticipated. The company also doubled its net income over year-ago levels, when the company reported a profit of 41 cents per share. * 10 Hot Stocks Leading the Market's Blitz Higher Likewise, revenue also came in well ahead of estimates. CYBR brought in $109.1 million, $13.16 million more than expected. This represents a year-over-year increase of 35.7%.InvestorPlace - Stock Market News, Stock Advice & Trading TipsFull-year results also came in ahead of expectations. As with the quarterly results, annual net income came in 30 cents per share ahead of $1.76 per share consensus estimate. The company earned $2.06 per share, 77.6% higher than the $1.16 per share in non-GAAP earnings reported in 2017. Revenues of $343.2 million beat estimates by $13.3 million. They also rose 31% above 2017 levels.First quarter 2019 guidance also surprised to the upside. CyberArk expects between $91 million and $93 million. This would take net income somewhere between 39 cents and 42 cents per share.For fiscal 2019, analysts predict somewhere between $411 million and $415 million in revenue. This brings about a slight increase in income estimates. The company forecasts between $1.94 and $2.00 per share in earnings. Financial Metrics Imply a Temporary SetbackTraders took this news well, and CyberArk stock rose to $104.06 per share, an increase of 20.5% from Wednesday's close. Two weeks ago when the stock traded in the mid-$80s per share level, I described CYBR as expensive, but worth it.While this has pleased investors, I also see this as a time for caution, and a warning to look more closely at the numbers. Thursday's spike in CYBR stock takes the forward price-to-earnings (PE) ratio to almost 54. The high end of the company's earnings estimates comes to $2 per share. Investors should realize that if this happens, it will represent a slight decline in earnings for 2019.For this reason, I see a temporary pause or even a pullback happening. However, analysts still expect an average earnings growth rate of 33.2% per year over the next five years. Hence, I would expect an interruption, not a downtrend.As for CyberArk stock, I still see it as a buy on any pullback. Tech advances will make CyberArk and peers such as Check Point Software (NASDAQ:CHKP) and Palo Alto Networks (NASDAQ:PANW) at least as necessary as Symantec (NASDAQ:SYMC) was in the PC world.After all, its current applications, as well as the ones that will probably come from 5G, make CyberArk's software all the more important. However, valuations have become frothy. For those who want to take some profits, I see now as a good time. Concluding Thoughts on CyberArk stockCyberArk faces a bright long-term future amid an unclear near-term outlook. CYBR blew away earnings and revenue estimates for both Q4 and fiscal 2018. The company also raised guidance for both the next quarter and the upcoming fiscal year.This good news has the result of clarifying the long-term outlook while making the short-term more uncertain. Amid the good news, the outlook implies profit shrinkages for fiscal 2019. Although I think this amounts to a pause rather than a peak, it could make investors question the 54 forward PE ratio for now.I do not want to discourage those who wish to buy CyberArk. However, given the near-term outlook, I would urge investors to take profits now and buy later.As of this writing, Will Healy did not hold a position in any of the aforementioned stocks. You can follow Will on Twitter at @HealyWriting. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * Should You Buy, Sell, Or Hold These 7 Medical Cannabis Stocks? * 7 Strong Buy Stocks With Over 20% Upside * 7 Reasons Stock Buybacks Should Be Illegal Compare Brokers The post Blowout Earnings Aside, Lay off CyberArk Stock for Now appeared first on InvestorPlace.
Palo Alto's stock has gained more than 35% since mid-November to exceed $225. Palo Alto Networks is a holding in Jim Cramer's Action Alerts PLUS Charitable Trust Portfolio. The idea consists of taking advantage of the scale of Palo Alto to propose a marketplace for security applications.
See who joins Netflix, Splunk, Palo Alto Networks, Paycom, and Workday on this list of today's fastest-growing companies.
SANTA CLARA, Calif. , Feb. 14, 2019 /PRNewswire/ -- Palo Alto Networks (NYSE: PANW), the global cybersecurity leader, announced today that members of its management team will be presenting at the following ...
Jim Cramer identified five themes Wednesday that investors should watch out for in the first quarter, unveiling the concerns during his latest VIP monthly video-conference call with members of his Action Alerts PLUS club for investors. The issue for Cramer is simply one of an increase of public company supply during a time when new money isn't likely to be funneled into the stock market.
In the latest trading session, Palo Alto Networks (PANW) closed at $224.45, marking a +0.26% move from the previous day.
PAN-OS version 9.0 delivers over 60 new features that save time and stop attacks; offers new integrated DNS Security service powered by machine learning to automatically block attacks in progress SANTA ...
Enterprise Update: SYMC, CHKP, PANW, SAP, QCOM, INTC, and MU(Continued from Prior Part)Demisto could boost automation offerings Palo Alto Networks (PANW) is in talks to buy information security company Demisto, Reuters has reported, citing a report
Enterprise Update: SYMC, CHKP, PANW, SAP, QCOM, INTC, and MU(Continued from Prior Part)Company banking on subscription business to drive growthCheck Point Software Technologies (CHKP) is aiming to hit a revenue milestone of $2.0 billion in 2019.
Enterprise Update: SYMC, CHKP, PANW, SAP, QCOM, INTC, and MUNoviello to stay on until successor appointed Nicholas Noviello, Symantec’s (SYMC) CFO, has decided to step down from the position to pursue opportunities outside the cybersecurity