Palo Alto Networks
What matters nowUpdated 8 h ago
- On October 8, 2026 Palo Alto Networks was named one of 11 founding partners of Anthropic's Critical Infrastructure Defense Program, which covers operators of power grids and water systems 1. On October 1 it launched Cortex XCOR, an AI observability platform built on Chronosphere, which the company says cuts data volume by 89% on average 2.
- The stock trades at $402.12 (pooled 24/7 venue price), down 0.37% from the previous close of $403.61. It rose about 12% on September 14, 2026, when cybersecurity stocks rallied on AI safety warnings from Anthropic and OpenAI CEOs; the source reported it at $366.40 at midday 3. Bernstein then downgraded the stock to Market Perform on valuation on September 17 and raised its price target to $351 from $253 4.
- Fiscal 2026 (ended July 31) revenue was $11.48 billion, up 24.5%, and fourth-quarter revenue was $3.41 billion, up 34%. Next-Generation Security ARR reached $9.10 billion, up 63% with acquisitions included. Gross margin was 70.4%, operating margin 6.1% and free cash flow margin 35.8%. At a $327.7 billion market cap the stock trades at 855 times trailing earnings and 28.5 times sales.
- Insiders sold 155,449 shares worth $48.0 million across 24 sales over the last 180 days and made no purchases.
- Fiscal Q1 2027 earnings are estimated for November 18, 2026 and are not yet confirmed. Company guidance is revenue of $3.300 to $3.310 billion, Next-Generation Security ARR of $9.54 to $9.56 billion and non-GAAP EPS of $0.96 to $0.98. Polymarket odds give 81.5% to no Fed rate change after the October 2026 meeting and 17.5% to a 25 bp increase.
Anthropic · Oct 8
Palo Alto Networks blog · Oct 1
24/7 Wall St. · Sep 14
Goldesel · Sep 17
Palo Alto Networks sells cybersecurity products and platforms: next-generation firewalls, cloud-delivered network security (SASE), security operations (Cortex XSIAM), cloud security, AI security, and identity security since its acquisition of CyberArk in February 2026. Fiscal 2026 (ended July 31, 2026) revenue was $11.48 billion, up about 25%. Fourth-quarter revenue was $3.41 billion, up 34%, and Next-Generation Security ARR reached $9.10 billion, up 63%, with acquisitions included. Management guided fiscal 2027 revenue to $14.10 billion to $14.20 billion and Next-Generation Security ARR to $11.075 billion to $11.175 billion.
How it makes money
Palo Alto Networks sells firewall appliances and software, and charges recurring subscriptions and support contracts for the security services that run on them. Most revenue is subscription and support, which is about 80% of the total, so the trader metric to watch is Next-Generation Security ARR, the annualized recurring revenue from its newer platform products. Customers are increasingly bought as bundled platforms, which the company calls platformization. Acquisitions in fiscal 2026 added identity security (CyberArk) and observability (Chronosphere).
Last 12 monthsChart & venues →
Valuation & fundamentalsFull financials →
TTM through 2026-07-31 from SEC filings (some quarters derived from annual and year-to-date figures). Ratios use our pooled 24/7 price. Quarterly statements →
Biggest businessesAll products & projects →
Next-Generation Security ARR
Annual recurring revenue from the platform products reached $9.10 billion at the end of fiscal Q4 2026, up 63%. Part of that growth came from acquisitions.
Next: Fiscal 2027 Next-Generation Security ARR guidance of $11.075 billion to $11.175 billion · 2027-07-31
Firewalls and appliances
Product revenue reached $2.28 billion in fiscal 2026, up about 27% from $1.80 billion a year earlier.
Subscriptions and support
Subscription and support revenue reached $9.20 billion in fiscal 2026, up about 24% from $7.42 billion, and made up 80% of total revenue.
Prisma SASE
Cloud-delivered secure access and networking sold as a subscription; a core driver of Next-Generation Security ARR.
Latest newsAll news →
Palo Alto Networks named a founding partner of Anthropic's critical infrastructure program
On October 8, 2026 Anthropic launched its Critical Infrastructure Defense Program for operators of operational technology such as power grids and water systems.
Palo Alto Networks launches Cortex XCOR AI observability built on Chronosphere
On October 1, 2026 Palo Alto Networks launched Cortex XCOR, an AI-driven observability platform built on Chronosphere's data-management technology.
Unit 42 launches Continuous Frontier AI Defense as an always-on service
On September 22, 2026 Palo Alto Networks' Unit 42 launched Continuous Frontier AI Defense, an always-on service that pairs offensive security experts with multi-model AI testing.
Bernstein downgrades Palo Alto Networks to Market Perform on valuation
Bernstein cut Palo Alto Networks from Outperform to Market Perform on September 17, 2026, and raised its price target to $351 from $253.
Cybersecurity stocks rally on AI safety warnings; Palo Alto up about 11%
On Monday, September 14, 2026 cybersecurity stocks jumped after Anthropic CEO Dario Amodei called for slower AI capability gains, and OpenAI CEO Sam Altman said he agreed.
Palo Alto Networks to present at Goldman Sachs Communacopia conference on September 10
On September 8, 2026 Palo Alto Networks said members of its management team will present at the Goldman Sachs Communacopia and Technology Conference on September 10, 2026 at 3:45 p.m.
Products & businesses
Next-Generation Security ARR
Annual recurring revenue from the platform products reached $9.10 billion at the end of fiscal Q4 2026, up 63%. Part of that growth came from acquisitions.
Next: Fiscal 2027 Next-Generation Security ARR guidance of $11.075 billion to $11.175 billion · 2027-07-31
Firewalls and appliances
Product revenue reached $2.28 billion in fiscal 2026, up about 27% from $1.80 billion a year earlier.
Subscriptions and support
Subscription and support revenue reached $9.20 billion in fiscal 2026, up about 24% from $7.42 billion, and made up 80% of total revenue.
Prisma SASE
Cloud-delivered secure access and networking sold as a subscription; a core driver of Next-Generation Security ARR.
Cortex XSIAM
AI-driven security operations platform that customers adopt to replace separate monitoring tools.
Prisma AIRS
AI security product that secures AI models, agents and their data; newer than the core products and growing from a small base.
Identity security (CyberArk)
Acquisition of CyberArk completed on February 11, 2026; CyberArk products continue as a standalone platform.
Observability (Chronosphere)
Acquisition of Chronosphere completed on January 29, 2026; its telemetry pipeline remains available as a standalone product.
What it's building next
Segments
| Segment | Revenue | Share | |
|---|---|---|---|
| Subscription and support Recurring revenue from software subscriptions, cloud security services and support contracts that run on the company's platforms. About 80% of total revenue. | $9.20B | 80.0% | |
| Product Revenue from firewall and other security appliances and the related hardware and software sold up front. About 20% of total revenue. | $2.28B | 20.0% |
Fiscal FY2026 · from the annual report
Valuation & fundamentals
TTM through 2026-07-31 from SEC filings (some quarters derived from annual and year-to-date figures). Ratios use our pooled 24/7 price.
Financial statements
| Metric | TTM | Q4 FY2026 2026-07-31 | Q3 FY2026 2026-04-30 | Q2 FY2026 2026-01-31 | Q1 FY2026 2025-10-31 | Q4 FY2025 2025-07-31 | Q3 FY2025 2025-04-30 | Q2 FY2025 2025-01-31 | Q1 FY2025 2024-10-31 |
|---|---|---|---|---|---|---|---|---|---|
| Revenue | $11.48B | $3.41Bd +34% | $3.00B +31% | $2.59B +15% | $2.47B +16% | $2.54Bd +16% | $2.29B +15% | $2.26B +14% | $2.14B +14% |
| Gross profit | $8.08B | $2.30Bd +24% | $2.03B +21% | $1.91B +15% | $1.84B +16% | $1.86Bd +15% | $1.67B +14% | $1.66B +12% | $1.58B +13% |
| Operating income | $695.0M | $172.0Md -65% | −$183.0M -184% | $397.0M +65% | $309.0M +8% | $497.0Md +108% | $219.0M +24% | $241.0M +350% | $286.0M +33% |
| Net income | $307.0M | −$282.0Md -211% | −$177.0M -168% | $432.0M +62% | $334.0M -5% | $254.0Md -29% | $262.0M -6% | $267.0M -85% | $351.0M +81% |
| EPS (diluted) | $0.47 | $-0.39d -208% | $-0.22 -159% | $0.61 +61% | $0.47 -4% | $0.36d -28% | $0.37 -5% | $0.38 -84% | $0.49 -13% |
| Operating cash flow | $4.55B | $1.36Bd +33% | $871.0Md +39% | $554.0Md -1% | $1.77B +17% | $1.02Bd +99% | $628.0Md +19% | $557.0Md -19% | $1.51B -1% |
| Capital expenditure | $440.0M | $103.0Md +18% | $83.0Md +22% | $170.0Md +254% | $84.0M +91% | $87.0Md +83% | $68.0Md +82% | $48.0Md +36% | $44.0M +20% |
| Share buybacks | — | $0d | — | — | — | $0d -100% | $0d -100% | $0d | $0 -100% |
| Cash & equivalents | $2.51B | $2.51B | $2.36B | $4.16B | $3.07B | $2.27B | $2.38B | $2.23B | $2.28B |
| Total debt | — | — | — | — | — | — | — | — | — |
| Shares outstanding | 815.0M | 815.0M | 813.0M | 703.0M | 692.0M | 668.0M | 665.9M | 660.4M | 327.7M |
| Metric | FY2026 2026-07-31 | FY2025 2025-07-31 | FY2024 2024-07-31 | FY2023 2023-07-31 | FY2022 2022-07-31 |
|---|---|---|---|---|---|
| Revenue | $11.48B +24% | $9.22B +15% | $8.03B +16% | $6.89B +25% | $5.50B |
| Cost of revenue | $3.40B +39% | $2.45B +19% | $2.06B +8% | $1.91B +11% | $1.72B |
| Gross profit | $8.08B +19% | $6.77B +13% | $5.97B +20% | $4.98B +32% | $3.78B |
| Research & development | $2.55B +29% | $1.98B +10% | $1.81B +13% | $1.60B +13% | $1.42B |
| Operating income | $695.0M -44% | $1.24B +82% | $684.0M +77% | $387.3M | −$188.8M |
| EBIT | $695.0M -44% | $1.24B +82% | $684.0M +77% | $387.3M | −$188.8M |
| Depreciation & amortization | $855.0M +149% | $343.0M +21% | $284.0M +1% | $282.2M -0% | $282.6M |
| Interest expense | $0 -100% | $3.0M -64% | $8.3M -69% | $27.2M -1% | $27.4M |
| Income tax | $229.0M -50% | $462.0M | −$1.59B -1356% | $126.6M +112% | $59.8M |
| Net income | $307.0M -73% | $1.13B -56% | $2.58B +486% | $439.7M | −$267.0M |
| EPS (diluted) | $0.40 -75% | $1.60 -56% | $3.64 +469% | $0.64 | $-0.90 |
| Diluted shares (weighted) | 764.0M | 709.0M | 708.0M | 684.5M | 295.6M |
| Operating cash flow | $4.55B +23% | $3.72B +14% | $3.26B +17% | $2.78B +40% | $1.98B |
| Capital expenditure | $440.0M +78% | $247.0M +57% | $157.0M +7% | $146.3M -24% | $192.8M |
| Share buybacks | $1.00B | $0 -100% | $567.0M +108% | $272.7M -69% | $892.3M |
| Cash & equivalents | $2.51B | $2.27B | $1.53B | $1.14B | $2.12B |
| Long-term debt (incl. current portion) | — | — | — | $1.99B | $3.68B |
| Total debt | — | — | — | $1.99B | $3.68B |
| Total assets | $48.46B | $23.58B | $19.99B | $14.50B | $12.25B |
| Total liabilities | $20.97B | $15.75B | $14.82B | $12.75B | $12.04B |
| Shareholders' equity | $27.49B | $7.82B | $5.17B | $1.75B | $210.0M |
| Shares outstanding | 815.0M | 668.0M | 650.2M | 308.3M | 298.8M |
From XBRL data in SEC filings. Small figures under each value: change vs the same period a year earlier. d = derived (e.g. Q4 = full year − first nine months).
NewsFull archive →
Palo Alto Networks named a founding partner of Anthropic's critical infrastructure program
On October 8, 2026 Anthropic launched its Critical Infrastructure Defense Program for operators of operational technology such as power grids and water systems.
Palo Alto Networks launches Cortex XCOR AI observability built on Chronosphere
On October 1, 2026 Palo Alto Networks launched Cortex XCOR, an AI-driven observability platform built on Chronosphere's data-management technology.
Unit 42 launches Continuous Frontier AI Defense as an always-on service
On September 22, 2026 Palo Alto Networks' Unit 42 launched Continuous Frontier AI Defense, an always-on service that pairs offensive security experts with multi-model AI testing.
Bernstein downgrades Palo Alto Networks to Market Perform on valuation
Bernstein cut Palo Alto Networks from Outperform to Market Perform on September 17, 2026, and raised its price target to $351 from $253.
Cybersecurity stocks rally on AI safety warnings; Palo Alto up about 11%
On Monday, September 14, 2026 cybersecurity stocks jumped after Anthropic CEO Dario Amodei called for slower AI capability gains, and OpenAI CEO Sam Altman said he agreed.
Palo Alto Networks to present at Goldman Sachs Communacopia conference on September 10
On September 8, 2026 Palo Alto Networks said members of its management team will present at the Goldman Sachs Communacopia and Technology Conference on September 10, 2026 at 3:45 p.m.
Palo Alto Networks shares fall about 8% despite 34% revenue growth
Palo Alto Networks shares fell in the session after the September 1 report, even though revenue beat the roughly $3.35 billion consensus.
Palo Alto Networks reports fiscal Q4 2026 results: revenue $3.41B, up 34% from a year earlier
Palo Alto Networks filed a Form 8-K with the SEC on Sep 1, 2026, 4:32 PM ET, reporting an event dated Sep 1, 2026.
Palo Alto Networks guides fiscal 2027 revenue to $14.10B-$14.20B
In the same September 1 release, Palo Alto Networks guided fiscal 2027 revenue to $14.10 billion to $14.20 billion and Next-Generation Security ARR to $11.075 billion to $11.175 billion, which is 22% to 23% growth.
Palo Alto Networks completes Console acquisition for Cortex agentic AI
Palo Alto Networks announced on September 1, 2026 that it acquired Console, an AI-native platform that uses agents to automate IT and security workflows, and will fold it into Cortex.
Unit 42 adds Anthropic's Claude Mythos 5 to its frontier AI exposure analysis
On August 21, 2026 Palo Alto Networks said Unit 42 is expanding its Frontier AI Exposure Analysis with Anthropic's Claude Mythos 5.
NTT DATA and Palo Alto Networks sign global strategic alliance
NTT DATA and Palo Alto Networks signed a multi-year global alliance on August 20, 2026 to sell secure AI transformation and security modernization together.
Palo Alto Networks launches Frontier AI Critical Defense Program with new partners
On August 19, 2026 Palo Alto Networks introduced a Frontier AI Critical Defense Program to protect critical infrastructure from AI-driven exploits.
Palo Alto Networks agrees to buy Embrace to add real user monitoring
Palo Alto Networks announced on July 21, 2026 that it will acquire Embrace, a user-focused observability company, to add real user monitoring to its observability platform.
Palo Alto Networks Q3 FY2026: revenue up 31%, FY26 EPS guidance raised
Palo Alto Networks reported fiscal third-quarter 2026 revenue of $3.00 billion, up 31%, including $388 million from CyberArk and Chronosphere.
Palo Alto Networks completes Portkey acquisition for Prisma AIRS gateway
Palo Alto Networks completed its acquisition of Portkey on May 29, 2026.
Palo Alto Networks launches Idira identity security platform for CyberArk customers
Palo Alto Networks introduced Idira on May 12, 2026, a next-generation identity security platform that succeeds CyberArk's products for existing customers.
Palo Alto Networks to acquire AI gateway company Portkey
On April 30, 2026 Palo Alto Networks announced plans to acquire Portkey, an AI gateway provider that inspects and routes AI traffic for autonomous agents.
Palo Alto Networks expands Google Cloud partnership to secure AI agents
At Google Cloud Next on April 22, 2026, Palo Alto Networks expanded its Google Cloud collaboration.
Palo Alto Networks completes Koi acquisition for agentic endpoint security
Palo Alto Networks completed its acquisition of Koi on April 14, 2026.
Palo Alto Networks launches Prisma AIRS 3.0 for agentic AI security
Palo Alto Networks launched Prisma AIRS 3.0 on March 23, 2026, a platform that covers AI agents from discovery and assessment through runtime protection.
Palo Alto shares fall after cut to fiscal 2026 profit forecast
Palo Alto Networks shares fell in premarket trading on February 18, 2026, by about 6% according to Bloomberg coverage, even after a quarter that beat expectations.
Palo Alto Networks Q2 FY2026: revenue up 15%, FY26 EPS guidance cut
Palo Alto Networks reported fiscal second-quarter 2026 revenue of $2.59 billion, up 15%, and Next-Generation Security ARR of $6.3 billion, up 33%.
Palo Alto Networks says it will acquire AI agent endpoint security firm Koi
Palo Alto Networks announced it will acquire Koi, an Israeli startup that secures AI agents, plugins and scripts on endpoints.
Palo Alto Networks plans Tel Aviv secondary listing under the CYBR ticker
On the day it closed the CyberArk deal, Palo Alto Networks said it intends to pursue a secondary listing on the Tel Aviv Stock Exchange under the CYBR ticker.
CyberArk convertible notes become exchangeable into PANW stock and cash
At closing, a supplemental indenture changed CyberArk's 0.00% convertible senior notes due 2030 so they can no longer convert into CyberArk shares.
Palo Alto Networks completes Chronosphere acquisition for observability
Palo Alto Networks said on January 29, 2026 that it had completed its acquisition of Chronosphere, a cloud-native observability company.
Palo Alto Networks reports fiscal Q1 2026 results: revenue $2.47B, up 16% from a year earlier
Palo Alto Networks filed a Form 8-K with the SEC on Nov 19, 2025, 4:16 PM ET, reporting an event dated Nov 19, 2025.
SEC filings
| Oct 9, 26 | 4 | Form 4: Bawa Aparna (Director) — open-market sale 250 sh | sec.gov ↗ |
| Oct 9, 26 | 144 | Form 144: Notice of proposed insider sale | sec.gov ↗ |
| Oct 9, 26 | 4 | Form 4: Klarich Lee (EVP Chief Product & Tech Ofcr, Director) — gift 60,000 sh | sec.gov ↗ |
| Oct 8, 26 | 144 | Form 144: Notice of proposed insider sale | sec.gov ↗ |
| Oct 5, 26 | 4 | Form 4: Paul Josh D. (Chief Accounting Officer) — tax withholding 1,308 sh, open-market sale 400 sh | sec.gov ↗ |
| Oct 1, 26 | 4 | Form 4: Klarich Lee (EVP Chief Product & Tech Ofcr, Director) — gift 25,000 sh | sec.gov ↗ |
| Sep 28, 26 | 4 | Form 4: Golechha Dipak (EVP, Chief Financial Officer) — open-market sale 27,500 sh | sec.gov ↗ |
| Sep 28, 26 | 4 | Form 4: Bawa Aparna (Director) — open-market sale 260 sh | sec.gov ↗ |
| Sep 24, 26 | 144 | Form 144: Notice of proposed insider sale | sec.gov ↗ |
| Sep 24, 26 | 144 | Form 144: Notice of proposed insider sale | sec.gov ↗ |
| Sep 22, 26 | 4 | Form 4: Paul Josh D. (Chief Accounting Officer) — award 7,211 sh | sec.gov ↗ |
| Sep 21, 26 | 4 | Form 4: GOETZ JAMES J (Director) — open-market sale 20,000 sh | sec.gov ↗ |
| Sep 17, 26 | 144 | Form 144: Notice of proposed insider sale | sec.gov ↗ |
| Sep 16, 26 | 4 | Form 4: Key John P. (Director) — open-market sale 2,500 sh | sec.gov ↗ |
| Sep 16, 26 | 4 | Form 4: Bawa Aparna (Director) — open-market sale 1,500 sh | sec.gov ↗ |
| Sep 15, 26 | 144 | Form 144: Notice of proposed insider sale | sec.gov ↗ |
| Sep 14, 26 | 144 | Form 144: Notice of proposed insider sale | sec.gov ↗ |
| Sep 14, 26 | 144 | Form 144: Notice of proposed insider sale | sec.gov ↗ |
| Sep 10, 26 | S-8 | S-8: Employee plan share registration | sec.gov ↗ |
| Sep 10, 26 | 10-K | 10-K: Annual report for the fiscal year ended Jul 31, 2026 | sec.gov ↗ |
| Sep 3, 26 | 4 | Form 4: Thorning-Schmidt Helle (Director) — tax withholding 211 sh | sec.gov ↗ |
| Sep 3, 26 | 4 | Form 4: Paul Josh D. (Chief Accounting Officer) — open-market sale 900 sh | sec.gov ↗ |
| Sep 1, 26 | 8-K | 8-K: Results of Operations (Item 2.02) | sec.gov ↗ |
| Aug 27, 26 | 4 | Form 4: Paul Josh D. (Chief Accounting Officer) — open-market sale 900 sh | sec.gov ↗ |
| Aug 25, 26 | 144 | Form 144: Notice of proposed insider sale | sec.gov ↗ |
Insider trades, 12 months
| Date | Insider | Type | Shares | Price | Value |
|---|---|---|---|---|---|
| 2026-10-09 | Bawa Aparna Director | Sale | 250 | $412.28 | $103.1K |
| 2026-10-01 | Paul Josh D. Chief Accounting Officer | Sale 10b5-1 plan | 400 | $395.70 | $158.3K |
| 2026-09-24 | Bawa Aparna Director | Sale | 260 | $392.69 | $102.1K |
| 2026-09-24 | Golechha Dipak EVP, Chief Financial Officer | Sale 10b5-1 plan | 27.5K | $391.61 | $10.8M |
| 2026-09-17 | GOETZ JAMES J Director | Sale | 20.0K | $376.68 | $7.5M |
| 2026-09-15 | Bawa Aparna Director | Sale | 500 | $377.18 | $188.6K |
| 2026-09-14 | Bawa Aparna Director | Sale | 1.0K | $373.61 | $373.6K |
| 2026-09-14 | Key John P. Director | Sale | 2.5K | $376.03 | $940.1K |
| 2026-09-01 | Paul Josh D. Chief Accounting Officer | Sale 10b5-1 plan | 900 | $373.68 | $336.3K |
| 2026-08-25 | Paul Josh D. Chief Accounting Officer | Sale 10b5-1 plan | 900 | $353.77 | $318.4K |
| 2026-07-07 | Thorning-Schmidt Helle Director | Sale | 700 | $346.85 | $242.8K |
| 2026-07-01 | Bawa Aparna Director | Sale | 290 | $348.74 | $101.1K |
| 2026-07-01 | Paul Josh D. Chief Accounting Officer | Sale 10b5-1 plan | 900 | $345.00 | $310.5K |
| 2026-06-29 | Bawa Aparna Director | Sale | 632 | $318.67 | $201.4K |
| 2026-06-23 | Golechha Dipak EVP, Chief Financial Officer | Sale 10b5-1 plan | 5.0K | $289.56 | $1.4M |
| 2026-06-22 | Bawa Aparna Director | Sale | 345 | $290.17 | $100.1K |
| 2026-06-12 | Key John P. Director | Sale | 7.5K | $279.24 | $2.1M |
| 2026-06-12 | Bawa Aparna Director | Sale | 536 | $280.00 | $150.1K |
| 2026-06-12 | GOETZ JAMES J Director | Sale | 20.0K | $279.90 | $5.6M |
| 2026-06-11 | Bawa Aparna Director | Sale | 555 | $270.00 | $149.8K |
| 2026-06-10 | Bawa Aparna Director | Sale | 377 | $265.00 | $99.9K |
| 2026-06-01 | Paul Josh D. Chief Accounting Officer | Sale 10b5-1 plan | 1.1K | $285.08 | $313.6K |
| 2026-05-22 | Klarich Lee EVP Chief Product & Tech Ofcr, Director | Sale 10b5-1 plan | 62.9K | $258.65 | $16.3M |
| 2026-05-20 | Paul Josh D. Chief Accounting Officer | Sale 10b5-1 plan | 400 | $236.95 | $94.8K |
| 2026-04-08 | Key John P. Director | Sale | 1.6K | $173.32 | $272.5K |