Benzinga | Aug 24, 2021 10:59AM EDT

Why Palo Alto Networks Stock Is Trading Higher Today

Palo Alto Networks Inc (NYSE:PANW) is trading higher Tuesday after the company announced better-than-expected financial results and issued guidance above estimates.

Palo Alto Networks reported fiscal fourth quarter 2021 adjusted earnings of $1.60 per share, which beat the estimate of $1.44 per share. The company reported quarterly revenue of $1.2 billion, which beat the estimate of $1.17 billion.

Palo Alto Networks expects fiscal first quarter 2022 revenue to be in a range of $1.19 billion to $1.21 billion versus the estimate of $1.15 billion.

The company authorized an additional $676.1 million for share repurchase, increasing the remaining authorization for future share repurchases to $1 billion.

"Our strong fourth quarter performance was the culmination of executing on our strategy throughout the year, including product innovation, platform integration, business model transformation and investments in our go-to-market organization," said Nikesh Arora, chairman and CEO of Palo Alto Networks.

Multiple analyst firms raised price targets on the stock, ranging from $450 to $550, following the company's financial results.

Price Action: Palo Alto Networks is making a new 52-week high in trading today.

At last check Tuesday, the stock was up 18.50% at $441.63.

Photo: courtesy of Palo Alto Networks.