Palestinian Security officials said that troops entered the village of Beit Rima, near Ramallah, after midnight and were confronted by stone-throwing youths.
The Palestinian health ministry said that Ahmed Hazem Atta, 19, was killed in the ensuing army fire.
Since October 2015, 244 Palestinians, 36 Israelis, two Americans, a Jordanian, an Eritrean and a Sudanese have been killed, according to an AFP count.
Many analysts say Palestinian frustration with the Israeli occupation and settlement-building in the West Bank, comatose peace efforts and their own fractured leadership have helped feed the unrest.