10 AI News That Broke The Internet

6. Palo Alto Networks, Inc. (NASDAQ:PANW)

Number of Hedge Fund Holders: 64

Palo Alto Networks, Inc. (NASDAQ:PANW) is a leader in AI-powered cybersecurity. On December 9, TD Cowen analyst Shaul Eyal reiterated a “Buy” rating on Palo Alto Networks and retained the price target of $420.00. Citing the company’s growth potential and strategic positioning, the analyst notes how the company is garnering significant customer engagement through its platformization strategy. The platformization strategy, which involves integrating its cybersecurity solutions into a unified, AI-driven platform, has led to larger deals and increased annual recurring revenue for the company.

Moreover, the company’s AI-powered security features, such as Precision AI™, position it strategically to capitalize on its growing demand. The positive outlook is further reaffirmed by Palo Alto’s recent financial results. The company’s strong increase in next-generation security annual recurring revenue, rising total and subscription revenues, operating efficiencies and newer SaaS offerings have all led to profitability improvements. It has also been enhancing its offerings, such as the acquisition of IBM’s QRadar Software as a Service assets, which has enhanced its AI and automation capabilities.