Selected stock price target news of the day - February 21st, 2024

By: Matthew Otto

Palo Alto Networks’ Q2 2024 Results and Strategic Acceleration

Palo Alto Networks announced financial results for its fiscal second quarter of 2024. The company reported EPS of $1.46, $0.16 better than the estimate of $1.30. Showed a 19% year-over-year increase in revenues, totaling $1.98 billion. Operating margins expanded by nearly 600 basis points to reach 28.6%. Additionally, Palo Alto Networks generated $2.9 billion in adjusted free cash flow over the trailing 12-month period.

Furthermore, Palo Alto Networks also highlighted growth in annual recurring revenue across its platforms, with SASE business achieving a fifth consecutive quarter of 50% ARR growth. Moreover, Prisma Cloud experienced its new annual contract value growth in five quarters, with approximately 30% growth in customers adopting two or more modules. Cortex’s XSIAM platform contributed to bookings exceeding $90 million in the quarter.

Palo Alto Networks has set a target of achieving $15 billion in annual recurring revenue by 2030.

Analysts Provide Mixed Ratings and Price Target Adjustments

Wedbush analyst Daniel Ives maintained an Outperform rating and lowered the price target from $425 to $375.
Needham analyst Alex Henderson reiterated a Buy rating and a $345 price target.
Loop Capital analyst Yun Kim downgraded from Buy to Hold and set a $300 price target.
Mizuho Securities analyst Gregg Moskowitz maintained a Buy rating and lowered the price target from $405 to $350.
Oppenheimer analyst Ittai Kidron kept an Outperform rating and lowered the price target from $310 to $305.

Which Analyst has the best track record to show on PANW?

Analyst Adam Tindle (RAYMOND JAMES) currently has the highest performing score on PANW with 7/7 (100%) price target fulfillment ratio. His price targets carry an average of $17.7 (7.30%) potential upside. Palo Alto Networks stock price reaches these price targets on average within 69 days.

Analog Devices Fiscal Q2 Outlook Disappoints Investors

Analog Devices released its fiscal second-quarter outlook, which fell short of expectations. The semiconductor manufacturer projected earnings per share for the quarter to be $1.26, with a margin of error of 10 cents. This figure was below the consensus estimate of $1.56 among analysts polled by FactSet. Additionally, the revenue forecast of $2.1 billion, with a margin of error of $100 million, missed the consensus expectation of $2.36 billion.

For the first quarter ended Feb. 3, Analog Devices reported earnings of $1.73 per share on revenue of $2.51 billion, slightly exceeding analysts’ expectations of $1.71 EPS on revenue of $2.5 billion. However, compared to the same period in the previous year, the company’s earnings per share and revenue declined from $2.75 and $3.25 billion, respectively.

Analyst Maintains Neutral Stance and Price Target

Cantor Fitzgerald analyst C J Muse reiterated a Neutral rating and a $205 price target.

Which Analyst has the best track record to show on ADI?

Analyst Gary Mobley (WELLS FARGO) currently has the highest performing score on ADI with 4/4 (100%) price target fulfillment ratio. His price targets carry an average of $2.94 (1.71%) potential upside. Analog Devices stock price reaches these price targets on average within 132 days.

Home Depot’s Mixed Quarter: Exceeds Earnings, Faces Sales Dip

Home Depot’s quarterly report presents a mixed picture as it navigates shifting market dynamics. Despite a 2.7% decline in quarterly sales year over year, the company managed to exceed analyst expectations for earnings per share and revenue. Home Depot reported EPS of $2.82 compared to $2.77 of what is expected and a revenue of $34.79 billion vs the expected $34.64 billion.

The decline in sales translated into a reduction in net income for the fiscal fourth quarter, dropping to $2.80 billion, or $2.82 per share, from $3.36 billion, or $3.30 per share, compared to the same period the previous year.

Looking forward, Home Depot anticipates total sales growth of approximately 1% in fiscal 2024, inclusive of an additional week, contrasting with Wall Street’s more conservative estimate of a 1.6% increase. However, comparable sales are projected to decrease by about 1% during a period without the additional week.

Analysts Mixed Outlook Amidst Price Target Adjustments

Wedbush analyst Seth Basham reiterated Outperform rating and a $380 price target.
HSBC analyst Daniela Bretthauer downgraded from Hold to Reduce and set a $323 price target.
Truist Securities analyst Scot Ciccarelli maintained a Buy rating but lowered the price target from $387 to $386.

Which Analyst has the best track record to show on HD?

Analyst John Baugh (STIFEL) currently has the highest performing score on HD with 16/16 (100%) price target fulfillment ratio. His price targets carry an average of $19.85 (6.94%) potential upside. Home Depot stock price reaches these price targets on average within 388 days.