Palo Alto Networks Inc (NYSE:PANW, XETRA:5AP) shares fell 10% Wednesday even after the cybersecurity company beat expectations across key fourth-quarter metrics and issued fiscal 2027 guidance above Street estimates.
The company reported next-generation security (NGS) annual recurring revenue of $9.1 billion, up 63% year-over-year, topping the Street's $8.86 billion estimate and including nearly $1 billion in net new ARR.
Revenue came in at $3.41 billion versus expectations of $3.35 billion, while remaining performance obligations reached $21.2 billion against a $20.95 billion estimate. Earnings per share of $1.02 beat the $0.98 consensus.
Operating margin was roughly in line at 29.6% versus an expected 29.3%, while gross margin came in light at 74.8% versus 76%.
Analysts at BofA said the muted market reaction reflected an unusually high bar for the quarter rather than any weakness in execution, noting that elevated investor expectations, driven by anticipation around Chronosphere, CyberArk cross-sell and improving cyber demand, left investors looking for an even stronger beat.
#beat #company #year
The company reported next-generation security (NGS) annual recurring revenue of $9.1 billion, up 63% year-over-year, topping the Street's $8.86 billion estimate and including nearly $1 billion in net new ARR.
Revenue came in at $3.41 billion versus expectations of $3.35 billion, while remaining performance obligations reached $21.2 billion against a $20.95 billion estimate. Earnings per share of $1.02 beat the $0.98 consensus.
Operating margin was roughly in line at 29.6% versus an expected 29.3%, while gross margin came in light at 74.8% versus 76%.
Analysts at BofA said the muted market reaction reflected an unusually high bar for the quarter rather than any weakness in execution, noting that elevated investor expectations, driven by anticipation around Chronosphere, CyberArk cross-sell and improving cyber demand, left investors looking for an even stronger beat.
#beat #company #year
6 days ago
