Palo Alto Stock Alpha and Beta Analysis

PANW
 Stock
  

USD 526.88  10.37  2.01%   

This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as Palo Alto Networks. It also helps investors analyze the systematic and unsystematic risks associated with investing in Palo Alto over a specified time horizon. Remember, high Palo Alto's alpha is almost always a sign of good performance; however, a high beta will depend on investors' risk tolerance level and may signal increased volatility and potential future overvaluation.
Please check Palo Alto Backtesting, Palo Alto Valuation, Palo Alto Correlation, Palo Alto Hype Analysis, Palo Alto Volatility, Palo Alto History and analyze Palo Alto Performance.
  
Please note that although Palo Alto alpha is a measure of relative return and represented here as a single number, it indicates the percentage above or below your selected benchmark (i.e., DOW index.) So in this particular case, Palo Alto did 0.06  better than the index. Remember, a high alpha is always good. Beta, on the other hand, measures the volatility (or risk) of an investment. It is an indication of Palo Alto Networks stock's relative risk over its benchmark. Palo Alto Networks has a beta of 1.53  . Let's try to break down what Palo Alto's beta means in this case. As the market goes up, the company is expected to outperform it. However, if the market returns are negative, Palo Alto will likely underperform.
Palo Alto Book Value per Share is fairly stable at the moment as compared to the past year. Palo Alto reported Book Value per Share of 19.30 in 2021. Enterprise Value over EBIT is likely to climb to 2,936 in 2022, whereas Enterprise Value over EBITDA is likely to drop 124.73 in 2022.
Alpha is a measure of relative performance on a risk-adjusted basis, while beta measures volatility against the benchmark. The goal is to know if an investor is being compensated for the volatility risk taken. The return on investment might be better than its reference but still not compensate for the assumption of the risk.

Enterprise Value

19.99 Billion

Palo Alto Market Premiums

Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. Palo Alto market risk premium is the additional return an investor will receive from holding Palo Alto long position in a well-diversified portfolio. The market premium is part of the Capital Asset Pricing Model (CAPM), which most analysts and investors use to calculate the acceptable rate of return on investment in Palo Alto. At the center of the CAPM is the concept of risk and reward, which is usually communicated by investors using alpha and beta measures. Alpha and beta are two of the key measurements used to evaluate Palo Alto's performance over market.
α0.06   β1.53
90 days against DJI

Palo Alto expected buy-and-hold returns

Although buy-and-hold investment strategy may not appeal to all investors, it may be used as a good measure of Palo Alto's Buy-and-hold return. Our buy-and-hold chart shows how Palo Alto performed over your current time horizon against a typical interest-earning bank account and a selected benchmark.

Palo Alto Market Price Analysis

Market price analysis indicators help investors to evaluate how Palo Alto stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading Palo Alto shares will generate the highest return on investment. By understating and applying Palo Alto stock market price indicators, traders can identify Palo Alto position entry and exit signals to maximize returns.

Palo Alto Return and Market Media

The median price of Palo Alto for the period between Mon, May 16, 2022 and Sun, Aug 14, 2022 is 501.73 with a coefficient of variation of 3.91. The daily time series for the period is distributed with a sample standard deviation of 19.49, arithmetic mean of 498.28, and mean deviation of 15.04. The Stock received substential amount of media coverage during this period.
 Price Growth (%)  
       Timeline  
1
EPS Reported05/19/2022
2
Palo Alto exotic insider transaction detected05/23/2022
3
Sale by Aparna Bawa of 951 shares of Palo Alto05/25/2022
4
Palo Alto exotic insider transaction detected05/26/2022
5
Sale by Nir Zuk of 800 shares of Palo Alto06/01/2022
6
Palo Alto exotic insider transaction detected06/02/2022
7
Sale by Dipak Golechha of 500 shares of Palo Alto06/07/2022
8
Palo Alto exotic insider transaction detected06/09/2022
9
Sale by Lee Klarich of 100 shares of Palo Alto06/14/2022
10
Palo Alto Networks, Inc. Given Average Rating of Buy by Anal...06/15/2022
11
Payment of 1104 shares by Dipak Golechha of Palo Alto subjec...06/21/2022
12
Resilient Through the Tech Sell-Off, Palo Alto Networks Is a...06/27/2022
13
Palo Alto exotic insider transaction detected07/01/2022
14
Bailard Inc. Acquires New Stake in Palo Alto Networks, Inc. ...07/13/2022
15
Payment of 3423 shares by Lee Klarich of Palo Alto subject t...07/21/2022
16
Palo Alto Networks Stock Sees Relative Strength Rating Jump ...07/22/2022
17
Palo Alto exotic insider transaction detected08/02/2022
18
Cybersecurity Stock Sell-off Holding Back Nasdaq, but 1 Tech...08/04/2022
19
Sale by Lee Klarich of 4135 shares of Palo Alto08/10/2022

About Palo Alto Beta and Alpha

For many years both, Alpha and Beta indicators are used by professional money managers as critical performance measurement tools across virtually all equity instruments such as Ford or other stocks, funds, and ETFs. Alpha measures the amount that position in Palo Alto Networks has returned in comparison to a selected market index or another relevant benchmark. In other words, Alpha is the excess return on an investment relative to the performance of your selected benchmark. Beta, on the other hand, measures the relative risk of your investment.
 2021 2022 (projected)
Calculated Tax Rate66.365.92
Long Term Debt to Equity1.971.62

Palo Alto Upcoming Company Events

As portrayed in its financial statements, the presentation of Palo Alto's financial position is often influenced by management's estimates, judgments, and sometimes even manipulations. In the best case, Palo Alto's leadership is honest, while the outside auditors are strict and uncompromising. Whatever the case, investors should always follow all of Palo Alto's public filing events to personally review all filings and be reasonable and skeptical to interpret all of the financial statements of Palo Alto. Please utilize our Beneish M Score to check the likelihood of Palo Alto's management manipulating its earnings.
Upcoming Quarterly Report28th of February 2022
Next Financial Report19th of May 2022
Next Fiscal Quarter End31st of January 2022
Next Fiscal Year End22nd of August 2022
Last Quarter Report31st of October 2021
Last Financial Announcement31st of January 2021

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Please check Palo Alto Backtesting, Palo Alto Valuation, Palo Alto Correlation, Palo Alto Hype Analysis, Palo Alto Volatility, Palo Alto History and analyze Palo Alto Performance. Note that the Palo Alto Networks information on this page should be used as a complementary analysis to other Palo Alto's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Fund Screener module to find actively-traded funds from around the world traded on over 30 global exchanges.

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Palo Alto technical stock analysis exercises models and trading practices based on price and volume transformations, such as the moving averages, relative strength index, regressions, price and return correlations, business cycles, stock market cycles, or different charting patterns.
A focus of Palo Alto technical analysis is to determine if market prices reflect all relevant information impacting that market. A technical analyst looks at the history of Palo Alto trading pattern rather than external drivers such as economic, fundamental, or social events. It is believed that price action tends to repeat itself due to investors' collective, patterned behavior. Hence technical analysis focuses on identifiable price trends and conditions. More Info...