Palo Alto Networks Inc. (NASDAQ:PANW) is among the best debt-free stocks to buy now. According to a January 13 report by The Fly, UBS cut its price target on the company’s stock from $220 to $215 and maintained a Neutral rating.
UBS remains constructive on the cybersecurity sector as it estimates that spending in this industry will exceed growth in the overall IT budgets. Moreover, the firm expects further improvement through consolidation and increased commercialization of AI-enabled solutions.
That said, the firm cautions that stock selection is likely to remain challenging in the current environment. It favours stocks in the mid-cap security platform space that are still in the early stages of their product ecosystems and growth.
Data from TipRanks indicate that UBS has maintained a cautious stance on Palo Alto Networks Inc. (NASDAQ:PANW) for an extended period and continues to do so in its latest update. As noted in its last update in November, UBS’s cautious outlook was driven by softness in platformization deals and a potential deceleration in service revenue growth.
In the first week of January, Guggenheim upgraded Palo Alto Networks Inc. (NASDAQ:PANW) to Neutral from Sell, citing the underperformance over the last year. The firm also cited the company’s recent acquisitions as one reason, noting that these strategic deals will bolster its competitive position and support a more positive outlook.
Palo Alto Networks Inc. (NASDAQ:PANW) provides security solutions to help secure enterprise users, networks, clouds, and endpoints, with platforms such as Prisma Access, Prisma Cloud, and Cortex.
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Disclosure: None. This article is originally published at Insider Monkey.
