PANW - Palo Alto Networks Lays Out Their AI Strategy
2024-05-29 11:23:44 ET
Summary
- Palo Alto Networks is prioritizing platformization of their security products to simplify IT infrastructure and upsell additional security products.
- The company aims to become a preferred security vendor for the next generation of GenAI threat vectors through partnerships with IBM and Accenture.
- Palo Alto is releasing new AI features, including copilot capabilities, to improve productivity and simplify security operations, further pushing for platformization.
Palo Alto Networks ( PANW ) is currently going through a major transformational stage as the firm prioritizes platformization of their security products as IT departments seek to simplify their IT infrastructure through a single-vendor approach. With the addition of their copilot and GenAI-related security features, I believe Palo Alto has the ability to realize continued top-line growth and margin expansion as the firm broadens their ability to upsell additional security products. I anticipate that Palo Alto will realize continued growth as the firm leans in on their partnerships with IBM and Accenture as a preferred security vendor for the next generation of GenAI threat vectors. I reiterate my BUY recommendation for PANW shares at a price target of $352.74/share at 13.34x eFY25 price/sales....
Palo Alto Networks Lays Out Their AI Strategy