**Palo Alto Networks Outshines Q1 Expectations, Announces 2-for-1 Stock Split**

Palo Alto Networks revealed impressive financial results for the first quarter of fiscal year 2025, surpassing market expectations for both revenue and profit. The cybersecurity giant recorded $2.14 billion in revenue, a significant increase from the previous year's $1.88 billion, and exceeding the $2.12 billion consensus estimate from analysts. Additionally, the company's profit soared to $350.7 million, an over 80% rise from last year, far outpacing the anticipated $272.1 million.

CEO Nikesh Arora attributed this success to the company's "platformization" strategy, which focuses on the consolidation and bundling of services. According to Arora, this strategy is proving to be a revolutionary approach in enhancing security measures and enabling better AI outcomes for customers. Wedbush analysts, maintaining their "outperform" rating and a $400 price target, echoed Arora's sentiments, noting that the company's focus on platformization is starting to gain significant momentum and cloud penetration continues to be a major growth driver.

In addition to their robust financial performance, Palo Alto Networks announced a 2-for-1 stock split, aligning with other major companies like Walmart, Chipotle Mexican Grill, and Nvidia, which have also declared stock splits this year. The split will double the number of the company's shares, making them more accessible to a broader range of investors and potentially increasing trading activity. Shareholders of record as of December 12 will receive an additional share for each one they own, with the new share count and adjusted price taking effect on December 16.

Moreover, Palo Alto Networks has updated its revenue guidance for the full fiscal year 2025 to a range of $9.12 billion to $9.17 billion, up from the previously projected $9.10 billion to $9.15 billion. Adjusted earnings per share are now expected to be between $6.26 and $6.39, compared to the earlier estimate of $6.18 to $6.31. Following these announcements, Palo Alto Networks’ shares rose by 1.4% to $398.46, representing a 35% increase since the beginning of the year.