While the technology sector has enjoyed a blistering run thanks to robust demand for data centers and other innovations tied to artificial intelligence, an ugly side to the narrative exists. Essentially, as productivity increases, so too does the capability for tech to empower harmful applications. However, enterprises like Palo Alto Networks Inc (NASDAQ:PANW) stand at the forefront of digital protection. As threats continue to rise, PANW stock could see greater relevance.
On paper, Palo Alto has enjoyed a solid though not necessarily remarkable performance. Since the start of the year, PANW stock has gained a bit over 16%. This performance is sandwiched between the wider benchmark S&P 500 and the tech-centric Nasdaq Composite, which have gained 14.26% and 19.38%, respectively, during the aforementioned time period.
