Jim Cramer’s Bold Predictions About These 15 AI Stocks

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

Number of Hedge Fund Holders In Q3 2024: 64

Date of Cramer’s Comments: 8-19-24

Performance Since Then: 8.45%

Palo Alto Networks, Inc. (NASDAQ:PANW) is a cybersecurity company that has been one of the more troubled stocks in 2024. The firm was dealt a devastating blow in February when the shares sank by 28% following a 5.6% midpoint billings and a 2.4% revenue guidance cut. Yet, Palo Alto Networks, Inc. (NASDAQ:PANW) has significantly improved its share price performance since then. Its shares are up by 42% since the drop to bring the year-to-date gains to a comfortable 28.9%. The shares have been helped by a strong earnings report in August that exceeded annual revenue estimates and quarterly top and bottom line readings. However, there is some weakness in Palo Alto Networks, Inc. (NASDAQ:PANW) as well, since the stock fell by 6.2% after the Fed’s latest meeting to indicate a clear link between economic performance and the shares. Here’s what Cramer said:

“Palo Industries is a fantastic, under-the-radar industrial stock, and given its recent pullback, I think now is the time to buy. When Palo Alto Networks reported back in February, the guidance was considered dismal, and the stock plunged from the $360s to the $260s in a single day. But after speaking to the CEO, what did I do? I told you to stick with it, maybe even do some buying, and we did just that for the Travel Trust because the future is bright for this best-of-breed cybersecurity play. Sure enough, since then, the stock has been a juggernaut, closing at $343 today and rallying in after-hours trading. Palo Alto reported a strong top and bottom line beat with very encouraging guidance for the 2025 fiscal year, which has already started.”

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