Parkev Tatevosian, CFAPublished 2026-09-12
“The Proliferation of Agentic AI Has Been Great News for Palo Alto Stock Investors | PANW Stock”
$PANWNo side taken
PANW is a hold; valuation is too high (forward PE 68.6, DCF fair value $175 vs market $335) relative to declining margins and ROIC.
Palo Alto Networks is experiencing accelerating revenue growth as a result. The management team is forecasting at least 23% growth in the fiscal year 2027 and forecasting 40% free cash flow margin by fiscal year 2028.
So, does this make Palo Alto Networks stock a buying opportunity? Let's take a look at the business and answer that question together.