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NEW YORK (TheStreet) -- Enterprise security company Palo Alto Networks (PANW) will report fiscal third-quarter earnings Wednesday.

Shares closed Friday at $66.99, down roughly 30% since the stock hit an all-time high to $80.84 on March 18. Shares are up 16% year to date. But investors have been anything but secure about the company's direction.

In this video, tech analyst Richard Saintvilus explains why the stock is heading to $90. Saintvilus argues that Cisco's (CSCO) acquisition of anti-hacking software giant SourceFire (FIRE) is not the competitive threat that everyone believes it to be. And investors should be wise to not discount Palo Alto's above-average free cash flow margins, which are solid for a young growth company.

With Palo Alto shares still down 17% from their all-tim high, Palo Alto also makes a great acquisition candidate for a company like IBM (IBM)  or possibly Oracle (ORCL) , which have enough disposable capital and are looking to diversify their software delivery models.

For now, I would be a buyer ahead of Palo Alto's earnings results Wednesday. On the basis of long-term, double-digit revenue and free cash flow growth, I project fair value to reach $90 by the second half of the year.

At the time of publication, the author held no position in any of the stocks mentioned.

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This article represents the opinion of a contributor and not necessarily that of TheStreet or its editorial staff.