Palo Alto Networks delivered a robust Q3, with revenue rising 15% year-over-year to $2.29 billion and adjusted EPS surpassing expectations. However, shares slipped after hours as investors focused on slightly softer forward indicators. The company lifted Q4 guidance, signaling confidence in continued demand for its AI-driven security solutions.

Despite recent volatility, Wall Street maintains a positive outlook on Palo Alto Networks. The company’s focus on AI-enhanced security and cloud offerings has driven strong recurring revenue and operating margins. Multiple firms recently reiterated or raised price targets, citing PANW’s leadership in next-generation cybersecurity and its ability to capitalize on AI trends.

Recent earnings volatility in Palo Alto Networks has attracted tactical traders. Leveraged ETFs, such as Direxion’s PANW Bull 2X Shares, offer amplified exposure for those betting on near-term moves. While the company’s fundamentals remain strong, short-term swings highlight the risks and opportunities in actively trading this high-profile cybersecurity stock.