Bernstein downgrades Palo Alto Networks to Market Perform on valuation

Bernstein cut Palo Alto Networks from Outperform to Market Perform on September 17, 2026, and raised its price target to $351 from $253. Analyst Peter Weed said the stock now looks fairly valued after a sharp re-rating, leaving limited upside. The move was a valuation call, not a sign of weaker demand, which Bernstein said remains robust.

• Rating changed from Outperform to Market Perform
• Price target raised to $351 from $253
• Reason: valuation after a sharp re-rating, not weaker operations
• Analyst: Peter Weed, Bernstein