Cybersecurity firm Palo Alto Networks (PANW) is planning to acquire rival CyberArk (CYBR) in a $25 billion deal that Wedbush analysts describe as potentially transformative for the sector. In a note to investors, 4.6-star analyst Daniel Ives called the move a “strategic home run,” and said that it supports Palo Alto’s strategy of creating an all‑in‑one cybersecurity hub. Indeed, the acquisition would bring CyberArk’s expertise in privileged access management into Palo Alto’s portfolio, which would improve its ability to address growing threats from AI.
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Wedbush added that this deal could trigger the cybersecurity industry to pursue more acquisitions, with companies like Zscaler (ZS), Check Point Software (CHKP), and CrowdStrike (CRWD) potentially becoming future M&A targets. The transaction is expected to close in the second half of Palo Alto’s fiscal year 2026.
Interestingly, Wedbush is not the only firm that is supportive of the deal. In fact, Jefferies, led by five-star analyst Joseph Gallo, also views the potential deal as highly strategic, since it would increase Palo Alto’s AI capabilities, improve its Zero Trust security framework with comprehensive identity solutions, and create strong cross‑selling opportunities due to overlapping enterprise customers. As a result, Jefferies maintains a Buy rating on Palo Alto Networks with a $235 price target.
Is PANW Stock a Good Buy?
Turning to Wall Street, analysts have a Moderate Buy consensus rating on PANW stock based on 27 Buys, seven Holds, and one Sell assigned in the past three months, as indicated by the graphic below. Furthermore, the average PANW price target of $216.97 per share implies 17.3% upside potential.
