Palo Alto's forecasts signals AI boost for cybersecurity tools

Palo Alto Networks forecast fiscal 2026 revenue and profit above Wall Street estimates on Monday, betting on growing demand for its artificial intelligence-powered cybersecurity solutions, sending its shares up nearly 5% in extended trading. The company has been benefiting from an AI-driven upgrade cycle as enterprises accelerate their cloud adoption and modernize security operations amid rising data breach incidents. A wave of high-profile cyberattacks has hit global companies including Microsoft, UnitedHealth Group, Walt Disney and Oracle, prompting the need for robust security solutions.