Company Historically Provides H1B Sponsorship
Palo Alto Networks builds cybersecurity hardware and software for businesses and public institutions, protecting their networks, cloud workloads and digital identities. Its portfolio combines network firewalls with tools that detect attacks, investigate security alerts and manage access to sensitive systems. Security teams use these products across offices, data centers and cloud environments, with shared data and automated workflows connecting the company's platforms. It earns revenue from appliance sales and software licenses, plus subscriptions and support contracts that keep protections and services active over time. Palo Alto Networks began operations in 2005 and is headquartered in Santa Clara, California.
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Industries
Company Size
10,001+
Company Stage
IPO
Headquarters
Santa Clara, California
Founded
2005
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Total Funding
$325.8M
Above
Industry Average
Funded Over
6 Rounds
AI-powered hacking attacks jumped 89% last year, according to CrowdStrike's own threat report. The finding is pushing buyers to choose between one connected security platform and a pile of separate tools. CrowdStrike's Falcon Flex bundling programme has grown its contracted value past $2 billion, more than doubling in a year. Palo Alto Networks added about 220 "platformization" deals in a recent quarter, more than twice the pace of two years earlier. Fortinet is using its lead in network firewalls to cross-sell. SentinelOne, Cloudflare, and Zscaler make thinner platform cases. Okta remains a point solution focused on verifying logins. CrowdStrike and Palo Alto Networks are both down more than 13% from their October 6 record highs, amid reports that OpenAI may buy a cybersecurity startup.
Palo Alto Networks shares fell about 3.9% to $402.45 at 12:15 EST after Phillip Securities kept its Neutral rating. In an October 12 report, the firm took a positive view of software overall but called the cybersecurity company's valuation stretched. GuruFocus's GF Value chart puts the shares 71.26% above its $235 estimate. Fiscal fourth-quarter next-generation security annual recurring revenue reached $9.1 billion, up 63% year over year. However, a $282 million GAAP net loss became $853 million in adjusted net income, a $1.135 billion gap driven by stock compensation, acquisition-related costs, and other adjustments. Investors now want to see Palo Alto keep customers, turn contracted business into revenue, and generate cash while limiting dilution.
Palo Alto Networks shares have risen 21% since its last earnings report a month ago, outperforming the S&P 500. The cybersecurity company delivered fourth-quarter fiscal 2026 non-GAAP earnings of $1.02 per share, beating estimates by 4.1%. Revenues climbed 34% year-over-year to $3.41 billion, exceeding consensus estimates by 1.8%. Next-Generation Security ARR jumped 63% to $9.10 billion, driven by broad-based strength across Network & AI Security, Cortex, and Idira platforms. The company added approximately 220 net new platformisations in the quarter, up 44% year-over-year. Prisma AIRS reached roughly $120 million in ARR within one year, with over 800 customers. For fiscal 2027, Palo Alto forecasts revenues of $14.10-$14.20 billion, indicating 23-24% growth, with non-GAAP earnings per share between $4.16 and $4.19.
Semtech Corporation has integrated its AirLink secure edge 5G/LTE routers with Palo Alto Networks' next-generation firewalls and Zero Touch PKI to simplify secure connectivity across edge deployments. Separately, Palo Alto Networks launched Unit 42 Continuous Frontier AI Defense, embedding advanced AI models into exposure management services. The company is also extending its AI firewall and agent identity tools into Nvidia's Open Agent Safety Platform. Prisma AIRS' AI Runtime firewall will run on BlueField chips, with identity controls integrated into Nvidia's OpenShell. Palo Alto Networks' investment case centres on whether AI-focused offerings like Prisma AIRS and XSIAM can sustain annual recurring revenue growth. The company projects $18.5 billion revenue and $2.6 billion earnings by 2029, requiring 17.3% yearly revenue growth.
Palo Alto Networks launched a worldwide annual subscription for continuous AI-powered security testing through its Unit 42 division. Shares rose 3.45% to $387.485 on Wednesday morning. The service uses AI models from Anthropic's Claude Mythos 5, OpenAI's GPT-5.6-Cyber, and open-weight models to test applications, APIs, cloud systems, code, and networks. It identifies weaknesses, assesses exploitation risk, and recommends fixes and virtual patches. The shares trade 66.17% above the $233.18 GF Value shown for 23 September. Annual contracts could stabilise Unit 42's revenue, though AI model usage and specialist work carry costs. Renewals, customer results, and margins will determine whether the launch justifies the current valuation.
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Industries
Company Size
10,001+
Company Stage
IPO
Headquarters
Santa Clara, California
Founded
2005
Find jobs on Simplify and start your career today