PANW Q4 earnings preview

Palo Alto Networks releases Q4 results as investors weigh the CyberArk deal and AI driven security strategy.

Palo Alto Networks faces key test in Q4 earnings

Palo Alto Networks is set to report its fiscal fourth quarter after the market closes on Monday. Analysts expect earnings per share of 0.89, up about 17 percent from a year ago, and revenue of around 2.5 billion, up about 14 percent. The company is navigating a large acquisition of CyberArk for 25 billion and is counting on its AI based security stack to lift growth and cross sell across its software firewall and security operations products. The stock has fallen roughly 3 percent this year amid questions about integration and profit margins.

Analysts have mixed views ahead of the print. Rosenblatt Securities trimmed the price target to 215 from 235 while maintaining a Buy rating, pointing to momentum in software firewalls, renewal activity, and early traction for AI driven platforms such as XSIAM and the Prisma Access Browser. For fiscal 2025, analysts expect continued revenue growth supported by larger multi product deals and steady renewal activity. Options traders anticipate a roughly 7.97 percent move in the stock after the earnings release, and the street overall shows a Strong Buy consensus with upside around 22 percent based on current targets.

The CyberArk deal makes Palo Alto Networks bigger and more capable, but it also raises integration risk. If the AI and security stack delivers durable renewals and clear profitability, the expanded platform can lift both top line and margins. The market will reward transparent execution on integration milestones and on how price renewals trend alongside new product sales.

The earnings preview highlights a push to monetize AI tools and cross sell into enterprise workflows. A steady renewal cycle and disciplined cost management will be critical to sustain momentum, even as investors watch for signs that the inorganic growth strategy translates into durable profitability.

Highlights

The quarter will test how well the AI roadmap translates into real value for customers and the bottom line, shaping the next phase of growth.