Palo Alto Networks Stock Doubles in 5 Years

Cybersecurity leader's shares see impressive gains, outpacing the broader market.

Published on Feb. 27, 2026

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If you had invested $100 in Palo Alto Networks (PANW) stock five years ago, your investment would now be worth $255 - more than doubling your money. The company's shares have seen an annualized average return of 20.6% over that period, far outpacing the 12.6% gain of the S&P 500 index.

Why it matters

Palo Alto Networks is a leader in the growing cybersecurity industry, which shows no signs of slowing down as the need for robust digital protection continues to rise. The company's strong performance highlights the potential for investors in this sector.

The details

Palo Alto Networks has been transitioning customers to simplified, AI-powered platforms that provide recurring subscription revenue. In its most recent fiscal year, the company saw 15% year-over-year revenue growth, and management is projecting 14% growth in the current year. CEO Nikesh Arora noted that customers are partnering with Palo Alto Networks because its integrated platforms deliver superior, efficient security solutions against modern threats.

  • Palo Alto Networks' fiscal year 2025 ended on July 31, 2025.
  • As of February 13, 2026, Palo Alto Networks' stock price has risen 155% over the past 5 years.

The players

Palo Alto Networks

A leading cybersecurity company that provides cloud-delivered security solutions to enterprises, service providers, and government entities.

Nikesh Arora

The CEO of Palo Alto Networks, who highlighted the company's strong execution and customer demand for its integrated security platforms.

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What they’re saying

“Our strong execution in Q4 reflects a fundamental market shift in which customers understand that a fragmented defense is no defense at all against modern threats. They are partnering with us because our platforms are designed to work in concert, creating powerful operational synergies that deliver superior, near real-time outcomes and the efficiency our customers need.”

— Nikesh Arora, CEO (Palo Alto Networks)

What’s next

Palo Alto Networks' stock performance and growth outlook suggest the company remains well-positioned in the cybersecurity market. Investors may want to consider adding the stock to their portfolios, though they should also evaluate the company's valuation and growth potential relative to its peers.

The takeaway

Palo Alto Networks' impressive stock gains over the past five years highlight the potential for investors in the cybersecurity industry. As digital threats continue to evolve, the need for robust, integrated security solutions like those offered by Palo Alto Networks is likely to remain strong, presenting opportunities for long-term investors.