Tech shares have endured a difficult calendar year so considerably, with some of the major names deep in the pink. But cybersecurity firm Palo Alto has stood out for its relative resilience, and industry veteran Nancy Tengler believes the stock is just getting began. Palo Alto is down close to 3% this 12 months — outperforming the tech-significant Nasdaq Composite , which has plunged all-around 26% in the very same period of time. Above the past 12 months, Palo Alto is around 17% larger — but Tengler thinks the enterprise is just in its “early innings of advancement.” “The valuation is rather wholesome. We have been in it for a extensive time,” Tengler, who is CEO and main investment officer of Laffer Tengler Investments, instructed CNBC “Street Indicators Asia” on Wednesday. “I’m not advocating that your viewers jump in here. But as we keep on to see that tug of war between worry and greed and that choppiness, the volatility in the equity current market, at the very least by means of the first 50 % of September, you could get a improved chance or a much better price to stage in.” Tengler is not the only a person who is bullish on the inventory. It has a 90% buy or over weight rating among the the analysts covering it, in accordance to FactSet, and an normal selling price goal of all over $660 — providing it a possible upside of all over 22% from its present cost. A standout quarter The California-primarily based organization experienced a standout fiscal fourth quarter . It documented a gain for the 1st time in a ten years and guided for comprehensive-calendar year profitability in fiscal 2023. The organization also posted a 44% expansion in billings in the same quarter — a 4-calendar year high. The firm defines billings as now acknowledged and deferred earnings from subscriptions, help, and products and solutions. ‘Safer bet’ in tech Tengler explained her bullishness on Palo Alto could possibly be construed as a “controversial” or “gutsy” simply call, but argued that it is in actuality a safer guess in the tech house. Read through a lot more These outperforming stocks could be secure bets correct now — and analysts give them really serious upside Goldman Sachs claims mutual cash have been on a tear this calendar year. This is what they’re buying Wall Street execs situation warning on shares. This is what they say to obtain rather “What we’re striving to do as investors is placement ourselves for the subsequent a few to five yrs, and growing curiosity rates have a substantially better impression on firms that you should not deliver earnings that are very long period and have earnings that will only seem in the foreseeable future,” she explained. Higher interest fees weigh on advancement shares this sort of as tech, as they deliver most of their money flows and earnings in the future. The huge offer-off in tech stocks this yr has been pushed by the quick rate of amount hikes, as perfectly as uncertainty above the scale of additional hikes. Towards this backdrop, Tengler explained she’s fascinated in proudly owning shares that have a “secular narrative” which travel future earnings advancement. This tends to make them a safer financial commitment mainly because they are far more very likely to produce trustworthy earnings, she extra. She also explained cybersecurity is a “sustainable narrative,” presented expanding desire inside the space.