Palo Alto Networks is concluding 2025 with a modest 2.9% gain and has traded consistently within 3% of its 12-month moving average after closing above that level for five consecutive months. According to Schaeffer’s Senior Quantitative Analyst Rocky White, this technical setup has appeared seven times over the past two decades, with the security rising one month later 71% of the time for an average gain of 11.2%. Over three months, those instances produced an average advance of 26.8%, with every instance yielding positive returns, suggesting the stock could be poised for a meaningful rally in 2026.

During the most recent quarter, Abacus FCF Advisors reduced its stake by 8.3%, selling 7,708 shares and retaining 84,663 shares, which represent 2.3% of its total portfolio and rank the position as its 15th largest holding valued at 17.239 million. Meanwhile, Brighton Jones more than doubled its position with a 147.7% increase to 6,761 shares (approximately 1.230 million), and Bison Wealth expanded by 169.1% to 5,212 shares (about 948 thousand). Gabelli Funds modestly raised its position by 4.4% to 1,660 shares (283 thousand), while WPG Advisers and Calton & Associates initiated new stakes valued near 37 thousand and 358 thousand, respectively. Hedge funds and institutional investors now account for nearly 80% of the company’s shares outstanding.

In the latest quarter, Palo Alto Networks delivered earnings per share of 0.93, beating consensus estimates by 0.04, and reported revenue of 2.47 billion, slightly above forecasts, representing year-over-year revenue growth of 15.7%. The company posted a return on equity of 17.05% and a net margin of 11.69%. Analyst coverage remains overwhelmingly positive, with 31 buy ratings, nine hold ratings and two sell ratings, supporting a consensus target near 226.2. Recent research notes include reaffirmations of buy and overweight stances and several raised price objectives, underscoring confidence in the company’s continued growth trajectory.