Disclaimer:

Disclaimer: The blog posts and comments on this blog and posts on social networks are not investment recommendation, are provided solely for informational purposes, and do not constitute an offer or solicitation to buy or sell any securities. The opinions expressed on the blog are Petar Posledovich's. Petar Posledovich does not guarantee the accuracy of the information presented on this blog and social networks. The information presented is "as is". The blog is stocks analysis and valuation, Bitcoin, Cryptocurrencies, Artificial Intelligence, AI, deep-learning focused. Independent, unbiased AI insights. Petar Vladimirov Posledovich is not liable for any investment losses incurred by reading and interpreting blog posts on this blog and posts on social networks. Conflicts of interest: I may possess some of the securities, currencies or their derivatives mentioned in the blog post and posts on social networks! The blog is property of Wolfteam Ltd. www.wolfteamedge.com Respectfully yours, Petar Posledovich

Tuesday, August 22, 2023

Palo Alto Networks Valuation



Palo Alto Networks Inc, the multinational cybersecurity company is undervalued according to Wolfteam Ltd.

Palo Alto Networks, the cybersecurity specialist's intrinsic value is 115 billion USD compared with Palo Alto Networks' current 71.78 billion USD market capitalization.

The world is swarming with data. Every company uses technology extensively and is in a way also a technology company. The safety of data, cybersecurity is of pivotal importance. And Palo Alto Networks is one of the global leaders in cybersecurity. Cybersecurity is the mega trend underlying all current technology waves like Artificial Intelligence, AI, videos, photographs, social media, etc.

For the last 5 reported years Palo Alto Networks grew its revenue by around 25 % year on year. The net profit margin remained slightly negative in this period. In the last five reported quarters, however, the profit margin of Palo Alto Networks turned positive being around 4 % on average.

 

This changes the valuation dynamics of Palo Alto Networks, the cyber security company. Palo Alto Networks, being part of the Infrastructure as a Service, the largest part of the cloud computing market, can strive for a market that is to be measured in 700 billion USD annual revenue in 7 years, according to many analysts.

Cybersecurity is vital not only for technology companies, but for most companies actually. Cybersecurity is a way to protect intellectual property, develop products and cooperate both in software design teams, but also in hardware design and production teams.

And Palo Alto Networks is at the cusp of cybersecurity innovation.

Palo Alto Networks is worth 120 billion USD, according to Wolfteam Ltd.'s projections and estimates.

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