Palo Alto Networks Stock Drops – Earnings Beat Expectations but Outlook Remains Conservative
📍 POINT Palo Alto Networks (PANW) stock declined after its earnings report, despite slightly surpassing expectations for Q2. Q2 revenue came in at $2.26B, with adjusted EPS at $0.81 (slightly above market expectations). Q3 and full-year guidance align with market forecasts but lack aggressive growth projections. AI and cloud investments are driving demand for cybersecurity solutions. Board expansion: Former Danish Prime Minister and former UBS CEO appointed as new board members. 📊 Detailed Analysis: Palo Alto Networks Earnings Review 1️⃣ Q2 Earnings Report & Market Reaction Palo Alto Networks announced its Q2 FY2025 earnings , slightly exceeding revenue and EPS estimates. Revenue: $2.26B (in line with expectations) Adjusted EPS: $0.81 (slightly higher than expected) However, Q3 and full-year guidance remained conservative, leading to a stock decline . 2️⃣ Q3 and Full-Year Guidance Q3 projected revenue: $2.26B–$2.29B (aligned with market estimates) Q3 projected adju...