Jim Cramer Discussed A Mysterious Yellow Light & These 9 Stocks

7. Palo Alto Networks, Inc. (NASDAQ:PANW)

Number of Hedge Fund Holdings in Q4 2025: 86

Cybersecurity services provider Palo Alto Networks, Inc. (NASDAQ:PANW)’s stock is up by 25.8% over the past year and by 35% year-to-date. Freedom Capital reduced its share price target from $230 to $210 and kept a Buy rating following the fiscal second quarter earnings report. The financial firm remarked that Palo Alto Networks, Inc. (NASDAQ:PANW) was successfully executing its acquisitions and integrating its platform. Cramer has been optimistic about the prospects of the cybersecurity industry for more than a year now, as he believes that the growth in computing consumption due to AI use creates more avenues for the sector. In this appearance, he discussed how earlier pessimism about Palo Alto Networks, Inc. (NASDAQ:PANW) was unwarranted:

“In the winter, when you thought that Anthropic was going to somehow take care of its own security, George Kurtz has said over and over again, CEO of CrowdStrike, you’re not even allowed to take [inaudible], the insurance won’t let them do that. So these two companies, Palo Alto and CrowdStrike, the world’s their oyester, and when CrowdStrike just collapsed because of Anthropic, was one of the great buys ever. But no one was listening to Kurtz. . . we couldn’t find anyone who cared!”

Mairs & Power Growth Fund discussed Palo Alto Networks, Inc. (NASDAQ:PANW) in its third quarter 2025 investor letter:

“During the third quarter, we added two new positions to the portfolio: Cognex Corporation and Palo Alto Networks, Inc. (NASDAQ:PANW). Palo Alto Networks is one of the world’s leading cybersecurity companies, helping organizations protect themselves from an ever-expanding array of digital threats. The company offers a comprehensive suite of solutions spanning network security, cloud security, and security operations, with each well-positioned to benefit from the rising frequency and severity of cyberattacks. The growing cost of cybersecurity lapses, including punitive regulatory fines and reputational damage, has made digital defense a top corporate priority. As enterprises have migrated to the cloud, they have inadvertently created new attack vectors that demand more integrated protection. In this evolving landscape, IT security teams are increasingly seeking platforms that deliver holistic, end-to-end coverage like Palo Alto provides. At the same time, AI has empowered bad actors to automate and personalize attacks, further intensifying the threat environment and underscoring the critical role that Palo Alto Networks plays in safeguarding the modern digital economy.”