Top Stories
Top Stories
Tech

Palo Alto Networks drops 7% on news that head of sales is leaving

Key Points
  • Shares of cybersecurity company Palo Alto Networks dropped 7% Friday on the news that its head of sales is leaving.
  • The report follows several other executive shake-ups in the past year.
  • The company is looking for Peranich's replacement, a spokesperson told CNBC.
Source: Palo Alto Networks

Shares of cybersecurity company Palo Alto Networks dropped 7.2% Friday on the news that its head of sales is leaving.

A spokesperson for Palo Alto Networks confirmed to CNBC that Dave Peranich, executive vice president of worldwide sales, will leave the company in September, following a report from The Information. The company is currently seeking his replacement, the spokesperson said.

The stock closed its worst day in two years. The drop shaved nearly $1.5 billion from the company's market cap, bringing it to $19.1 billion.

Palo Alto Networks has seen a number of its top seats change hands in recent months. In June 2018, the company replaced its former CEO Mark McLaughlin with former SoftBank and Google executive Nikesh Arora. In October, it replaced former President Mark Anderson with former Google executive Amit Singh.

Former senior vice president and general manager of Americas sales Patrick Blair also left earlier this year, according to The Information.

Subscribe to CNBC on YouTube.

Watch: It's hard to say who's ahead in the 5G race: Palo Alto Networks

VIDEO2:4402:44
It's hard to say who's ahead in the 5G race: Palo Alto Networks