Palo Alto Networks Does It Again

And, Fabrinet keeps breaking records.

August 20, 2024

Today is Tuesday, August 20, 2024.

The Early Bird Index today is 72.41.

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Palo Alto Networks Does It Again

The cybersecurity company Palo Alto Networks (Nasdaq: PANW) posted better-than-expected financial earnings results on Monday, sending the stock up 1.93% in after-hours trading.

Financials: Palo Alto Networks reported earnings of $1.51 per share in the past quarter and revenue of $2.2 billion; both were better than expected.

Outlook: The company also posted a strong outlook. In the current quarter, it anticipates revenue in the range of $2.10 billion to $2.13 billion and earnings per share in the range of $1.47 to $1.49.

Stock Price: Palo Alto Networks is up 18.84% this year. Its rival CrowdStrike (Nasdaq: CRWD) is up just 8% because of its recent outage.

Early Bird’s Nest Egg Gains: Can Palo Alto Networks capitalize on the recent outage experienced by CrowdStrike? It is possible.

  • The CrowdStrike outage has created uncertainty among some cybersecurity customers, potentially opening the door for Palo Alto Networks to attract new clients. 

  • Palo Alto Networks' stock price ticked up 3.1% on the day of CrowdStrike's outage. This suggests investors view the situation as beneficial for Palo Alto Networks.

  • Palo Alto Networks has been pursuing a strategy to encourage customers to consolidate their cybersecurity spending with them. The CrowdStrike incident may make this pitch more appealing to companies.

Final Thoughts: While there's potential for Palo Alto Networks to benefit from CrowdStrike's outage, the long-term consequences are still not yet known.

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Notables

Notable Earnings Today: Lowe's (NYSE: LOW), Toll Brothers (NYSE: TOL), Medtronic (NYSE: MDT), La-Z-Boy (NYSE: LZB), Keysight Technologies (NYSE: KEYS), Vipshop (NYSE: VIPS), Coty (NYSE: COTY), Kingsoft Cloud (Nasdaq: KC), ZTO Express (NYSE: ZTO), Amer Sports (NYSE: AS), Dada Nexus (Nasdaq: DADA), Emeren Group (NYSE: SOL), FUTU Holdings (Nasdaq: FUTU), H World Group (Nasdaq: HTHT), Jack Henry & Associates (Nasdaq: JKHY), Navios Maritime Partners (NYSE: NMM), Nano-X Imaging (Nassdaq: NNOX), Premier (Nasdaq: PINC), Workhorse Group (Nasdaq: WKHS), Xpeng (NYSE: XPEV).

Notable IPOs Today: Reitar Logtech Holdings Limited Ordinary shares (Nasdaq: RITR).

Notable Equity Crowdfunding Campaigns Ending Today: Trail Distilling (SMBX), BoomBoom (Wefunder), Le Petit Paris 75 (SMBX), Turn Therapeutics (StartEngine).

Notable Economic Events Today: API Weekly Crude Oil Stock (4:30 p.m. ET).

Fabrinet Keeps Breaking Records

Fabrinet (NYSE: FN) jumped 9.22% in after-hours trading on Monday after posting strong financial earnings results.

Financials: Fabrinet reported earnings of $2.41 per share in the past quarter and revenue of $753.3 million; both were better than expected.

Final Thoughts: This is the fourth quarter in a row of record revenue for Fabrinet. The stock is up 22% this year.

XRP Jumps on Strong Monday

The price of the cryptocurrency XRP jumped 7% on Monday due to strong buying.

Final Thoughts: XRP’s price is still down 3% this year.

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The contents of Early Bird are intended for informational and entertainment purposes only. They do not constitute trade or investment recommendations and they are not financial or legal advice. Readers are encouraged to consult licensed professionals for personalized guidance regarding their financial or legal situations.