10 High-Flying AI Stocks on News and Ratings

4. 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 February 17, Saiyi He from CMB International Securities maintained a “Buy” rating on the stock with the associated price target lowered to $230.30. The firm noted Palo Alto’s robust financial performance and strategic positioning as a reason for the buy rating. In particular, revenue for the company increased 14.3% year-over-year for the second quarter of fiscal year 2025.

This growth has been driven by optimized sales and marketing expenses along with increasing demand for Palo Alto’s security solutions in the AI sector. In particular, its Next-Generation Security products have grown substantially, especially its AI-powered SASE and Prisma Cloud offerings. By focusing on platformization, the company has secured large deal wins which will likely lead to market share expansion and margin improvement.