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Palo Alto Networks Faces Multiple AI Monetization Opportunities, RBC Says

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Palo Alto Networks (PANW) has multiple tangible artificial intelligence monetization opportunities, RBC Capital Markets analysts said in a Wednesday note.

Analysts said that the company reported a "strong" Q3, topping analyst expectations, and raised its full-year guidance.

RBC said that while it is still relatively early in enterprise AI deployments, Palo Alto is seeing three major AI tailwinds, including broader interest in platformization, securing AI deployments with Prisma AIRS, and securing higher traffic generated through AI deployments.

"We view Palo Alto as well positioned to benefit from an increasingly complex security and threat landscape and as an industry leader in security," analysts said.

RBC retained an outperform rating on the stock and increased its price target to $330 from $255.

Price: $282.46, Change: $-14.72, Percent Change: -4.95%

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