Shareholder returns and stock trends
On September 15, 2015, Palo Alto Networks (PANW) generated returns of 86.3% in the TMM (trailing twelve months) and 5.56% in the trailing one-month period. The share price of the firm increased by 2.03%.
On September 15, the last trading price of Palo Alto was $183.19. The firm was trading at -9.44%, 3.73%, and 7.12%, respectively, below its 20-day, 50-day, and 100-days moving averages of $167.38, $176.60, and $171.01, respectively.
MACD and RSI
A company’s MACD (moving average convergence divergence) is the difference between its short-term and long-term moving averages. On September 15, Palo Alto’s MACD (9-Day) was -2.07, which shows a downward trading trend, as the figure is negative.
The 14-day RSI (relative strength index) for Palo Alto is 64, which shows that the stock is neither oversold nor overbought. If a company’s RSI is above 70, its stock is overbought, while an RSI figure of below 30 suggests that a company’s stock has been oversold.
Out of 39 analysts covering Palo Alto’s stock, 31 have issued “buy” recommendations, one has issued a “sell” recommendation, and seven have issued “hold” recommendations. The analyst stock price target for the firm is $202.60, with a median target estimate of $200.50. Palo Alto Networks is thus trading at a discount of 8.63% with respect to its median target—an apparently attractive buy, at current levels.
In the next part of this series, we’ll look at a new development at Intel.