PANW – Market expectations are for Uniform ROA to remain stable, but management is optimistic about their billings, cloud AI security, and transparency

• Palo Alto Networks, Inc. (PANW:USA) currently trades well above corporate averages relative to UAFRS-based (Uniform) earnings, with a 105.3x Uniform P/E. Even at these levels, the market has expectations for profitability to remain stable, but management is optimistic about their billings, cloud AI security category, and transparency
• Specifically, management generated an excitement marker when saying that the dollar-weighted contract duration for new subscriptions and support billings improved. In addition, they are confident their AI security category is gaining traction and growing fast. Furthermore, they are confident about the potential of the FLEXWORK approach, their ability to leverage PaaS services, and the positive effects from being transparent