The three Palestinians belonged to the Jaba Brigades - an offshoot of the Jenin Brigades - and were shot in their car while traveling through the village of Jaba in the northern West Bank.
Images shared on social media showed their bloodied bodies.
They were identified by the Palestinian health ministry as Sufyan Adnan Fakhoury - whose age could not be confirmed - Nayef Ahmad Malaysha, 25, and Ahmad Muhammad Fashafsha, 22.
Thousands of mourners gathered as they were laid to rest on Thursday.
Local sources told Al-Araby Al-Jadeed - The New Arab’s sister site - that Israeli forces fired a barrage of bullets at the car after they surrounded it at the entrance to Jaba.
It is not clear whether the three Palestinians clashed with the Israelis before they were shot dead, the sources added, although some have described it as an assassination.
Israeli troops then reportedly stormed Jaba and clashed with residents in the town.
They surrounded the residence of former prisoner Bahaa Fayez Salatmeh for two hours before arresting him again.
Palestinian fighters from the Jaba Brigade said they managed to down an Israeli drone during the raid on the village.
Separately on Thursday, a Palestinian child who was shot by Israeli forces in Jenin on Tuesday succumbed to his wounds.
Walid Saad Daoud Nassar, 14, died after being shot in the abdomen, the health ministry said.
Israeli forces killed at least six Palestinians and wounded 16 more during a brutal raid on the Jenin refugee camp Tuesday.
In late January, Israeli forces killed nine Palestinians in a raid on the Jenin refugee camp and killed 11 Palestinians in another attack on Nablus in late February.
The Palestinian death toll has risen to 78 since the beginning of this year, including 14 children.