11:18 AM EST, 02/11/2025 (MT Newswires) -- Palo Alto Networks ( PANW ) is seeing higher momentum in the business around its cybersecurity platformization strategy and the growth seeds are now lined up for a "very important" H2, Wedbush said in a Tuesday note.

The company is expected to provide a "strong" cybersecurity deal activity when it posts fiscal Q2 results on Thursday as it "continues laying the foundation for its platformization" strategy moving into H2 this year and fiscal 2026, analysts led by Daniel Ives added.

Palo Alto's cloud penetration will be a "major" driver as it is generating a "more stable" pipeline of platformization deals, according to the note.

The company is also "well positioned" for a higher deal flow as more enterprise artificial intelligence projects line up over the coming year, Wedbush said.

Wedbush raised Palo Alto's price target to $225 from $200 on a split-adjusted basis and maintained its outperform rating.

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