Stock Alert: Palo Alto Tumbles 15%

(RTTNews) - Shares of Palo Alto Networks, Inc. (PANW) are losing more than 15 percent in the morning trade on Tuesday at $199.07, after the security-software company reported a wider net loss for the second quarter and also lowered its outlook for fiscal 2020.

The stock has traded in a range of $192.17 to $260.63 in the past 52 weeks.

Monday, the company said its second-quarter net loss widened to $73.7 million or $0.75 per share from $2.6 million or $0.03 per share loss in the year-ago period. Excluding items, adjusted earnings were $1.19 per share, compared to $1.51 per share in the same period last year.

Total revenue for the quarter grew 15 percent to $816.7 million from $711.2 million in the year-ago period, but was below the company's own expectations due to the continued impact of sales incentives related to the company's Next-Generation Security products from the prior fiscal year.

The company has reported net loss in the preceding three quarters as well.

The company's board authorized an accelerated share buyback of $1 billion. This is in addition to the the $1 billion share repurchase program that was announced in February 2019.