(PANW) Palo Alto Networks - Overview

Sector: Technology | Industry: Software - Infrastructure | Exchange: NASDAQ (USA) | Market Cap: 193.188m USD | Total Return: 27.4% in 12m

Firewalls, Cloud Security, Threat Intelligence, Security Operations
Total Rating 69
Safety 63
Buy Signal 0.61
Software - Infrastructure
Industry Rotation: +18.2
Market Cap: 193B
Avg Turnover: 1.19B
Risk 3d forecast
Volatility40.2%
VaR 5th Pctl6.91%
VaR vs Median4.94%
Reward TTM
Sharpe Ratio0.75
Rel. Str. IBD85.8
Rel. Str. Peer Group82.4
Character TTM
Beta1.194
Beta Downside1.082
Hurst Exponent0.583
Drawdowns 3y
Max DD36.01%
CAGR/Max DD1.04
CAGR/Mean DD3.49
EPS (Earnings per Share) EPS (Earnings per Share) of PANW over the last years for every Quarter: "2021-04": 0.23, "2021-07": 0.27, "2021-10": 0.27, "2022-01": 0.29, "2022-04": 0.3, "2022-07": 0.4, "2022-10": 0.42, "2023-01": 0.53, "2023-04": 0.52, "2023-07": 0.72, "2023-10": 0.69, "2024-01": 0.73, "2024-04": 0.66, "2024-07": 0.76, "2024-10": 0.78, "2025-01": 0.38, "2025-04": 0.8, "2025-07": 0.95, "2025-10": 0.93, "2026-01": 1.03,
EPS CAGR: 38.95%
EPS Trend: 77.9%
Last SUE: 3.89
Qual. Beats: 3
Revenue Revenue of PANW over the last years for every Quarter: 2021-04: 1073.9, 2021-07: 1219.3, 2021-10: 1247.4, 2022-01: 1316.9, 2022-04: 1386.7, 2022-07: 1550.5, 2022-10: 1563.4, 2023-01: 1655.1, 2023-04: 1720.9, 2023-07: 1953.3, 2023-10: 1878.1, 2024-01: 1975.1, 2024-04: 1984.8, 2024-07: 2189.5, 2024-10: 2139, 2025-01: 2257.4, 2025-04: 2289, 2025-07: 2536.3, 2025-10: 2474, 2026-01: 2594,
Rev. CAGR: 18.18%
Rev. Trend: 98.2%
Last SUE: 1.13
Qual. Beats: 3

Warnings

P/E ratio 131.6

Extended 1w

Tailwinds

Supp Ema8, Leader, Tailwind, Pullback 52w, Confidence

Description: PANW Palo Alto Networks

Palo Alto Networks Inc. (PANW) provides cybersecurity solutions globally, specializing in network security, cloud protection, and security operations. Its portfolio includes the Prisma cloud-native platform, Cortex AI-driven security operations, and Strata network management. The company operates within the cybersecurity sector, where businesses are increasingly shifting from fragmented point products to integrated platformization strategies to reduce architectural complexity.

The business model relies heavily on a recurring revenue structure driven by software-as-a-service (SaaS) subscriptions and support contracts. These services cover critical areas such as threat intelligence, malware prevention, and IoT security. This shift toward subscription-based models provides greater revenue visibility compared to traditional hardware-centric security deployments. You may find further insights into these recurring revenue trends by exploring the data on ValueRay.

Headquartered in Santa Clara, California, the company serves a diverse client base including government entities and enterprises in the healthcare, finance, and telecommunications sectors. Distribution is managed through a combination of direct sales and a global network of channel partners.

Headlines to Watch Out For
  • Platformization strategy accelerates multi-product adoption and long-term contract value
  • Next-Generation Security ARR growth offsets legacy hardware appliance revenue deceleration
  • Cortex XSIAM adoption drives higher margins through AI-led security automation
  • Federal cybersecurity spending and regulatory compliance mandates bolster enterprise demand
  • Strategic shift to free trials and deferred billing impacts short-term billings guidance
Piotroski VR‑10 (Strict) 6.5
Net Income: 1.28b TTM > 0 and > 6% of Revenue
FCF/TA: 0.16 > 0.02 and ΔFCF/TA 2.29 > 1.0
NWC/Revenue: 3.64% < 20% (prev -14.15%; Δ 17.78% < -1%)
CFO/TA 0.16 > 3% & CFO 3.97b > Net Income 1.28b
Net Debt (-4.16b) to EBITDA (2.20b): -1.89 < 3
Current Ratio: 1.04 > 1.5 & < 3
Outstanding Shares: last quarter (713.0m) vs 12m ago 0.56% < -2%
Gross Margin: 73.50% > 18% (prev 0.74%; Δ 7.28k% > 0.5%)
Asset Turnover: 43.08% > 50% (prev 40.91%; Δ 2.17% > 0%)
Interest Coverage Ratio: 1.56k > 6 (EBITDA TTM 2.20b / Interest Expense TTM 1.10m)
Altman Z'' 1.65
A: 0.01 (Total Current Assets 8.37b - Total Current Liabilities 8.01b) / Total Assets 24.98b
B: 0.13 (Retained Earnings 3.25b / Total Assets 24.98b)
C: 0.07 (EBIT TTM 1.71b / Avg Total Assets 22.97b)
D: 0.60 (Book Value of Equity 9.39b / Total Liabilities 15.59b)
Altman-Z'' Score: 1.65 = BB
Beneish M -3.20
DSRI: 0.81 (Receivables 2.12b/2.25b, Revenue 9.89b/8.57b)
GMI: 1.00 (GM 73.50% / 73.86%)
AQI: 0.95 (AQ_t 0.63 / AQ_t-1 0.66)
SGI: 1.15 (Revenue 9.89b / 8.57b)
TATA: -0.11 (NI 1.28b - CFO 3.97b) / TA 24.98b)
Beneish M-Score: -3.20 (Cap -4..+1) = AA
What is the price of PANW shares? As of May 19, 2026, the stock is trading at USD 247.55 with a total of 8,592,810 shares traded.
Over the past week, the price has changed by +15.86%, over one month by +46.00%, over three months by +62.49% and over the past year by +27.41%.
Is PANW a buy, sell or hold? Palo Alto Networks has received a consensus analysts rating of 4.13. Therefore, it is recommended to buy PANW.
  • StrongBuy: 26
  • Buy: 11
  • Hold: 13
  • Sell: 0
  • StrongSell: 2
What are the forecasts/targets for the PANW price?
Analysts Target Price 207.6 -16.2%
Palo Alto Networks (PANW) - Fundamental Data Overview as of 16 May 2026
P/E Trailing = 131.6077
P/E Forward = 52.356
P/S = 19.5268
P/B = 17.9485
P/EG = 3.4865
Revenue TTM = 9.89b USD
EBIT TTM = 1.71b USD
EBITDA TTM = 2.20b USD
Long Term Debt = 372.0m USD (from capitalLeaseObligations, last quarter)
 Short Term Debt = unknown (none)
 Debt = 372.0m USD (from shortLongTermDebtTotal, last quarter)
Net Debt = -4.16b USD (recalculated: Debt 372.0m - CCE 4.54b)
Enterprise Value = 189.02b USD (193.19b + Debt 372.0m - CCE 4.54b)
Interest Coverage Ratio = 1.56k (Ebit TTM 1.71b / Interest Expense TTM 1.10m)
EV/FCF = 46.49x (Enterprise Value 189.02b / FCF TTM 4.07b)
FCF Yield = 2.15% (FCF TTM 4.07b / Enterprise Value 189.02b)
FCF Margin = 41.10% (FCF TTM 4.07b / Revenue TTM 9.89b)
Net Margin = 12.96% (Net Income TTM 1.28b / Revenue TTM 9.89b)
Gross Margin = 73.50% ((Revenue TTM 9.89b - Cost of Revenue TTM 2.62b) / Revenue TTM)
Gross Margin QoQ = 73.59% (prev 74.21%)
Tobins Q-Ratio = 7.57 (Enterprise Value 189.02b / Total Assets 24.98b)
Interest Expense / Debt = 0.30% (Interest Expense 1.10m / Debt 372.0m)
Taxrate = 21.31% (117.0m / 549.0m)
NOPAT = 1.35b (EBIT 1.71b * (1 - 21.31%))
Current Ratio = 1.04 (Total Current Assets 8.37b / Total Current Liabilities 8.01b)
Debt / Equity = 0.04 (Debt 372.0m / totalStockholderEquity, last quarter 9.39b)
Debt / EBITDA = -1.89 (Net Debt -4.16b / EBITDA 2.20b)
Debt / FCF = -1.02 (Net Debt -4.16b / FCF TTM 4.07b)
Total Stockholder Equity = 8.28b (last 4 quarters mean from totalStockholderEquity)
RoA = 5.58% (Net Income 1.28b / Total Assets 24.98b)
RoE = 15.49% (Net Income TTM 1.28b / Total Stockholder Equity 8.28b)
RoCE = 19.82% (EBIT 1.71b / Capital Employed (Equity 8.28b + L.T.Debt 372.0m))
RoIC = 16.11% (NOPAT 1.35b / Invested Capital 8.37b)
WACC = 10.16% (E(193.19b)/V(193.56b) * Re(10.18%) + D(372.0m)/V(193.56b) * Rd(0.30%) * (1-Tc(0.21)))
Discount Rate = 10.18% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 11.94 | Cagr: 0.85%
[DCF] Terminal Value 74.05% ; FCFF base≈3.61b ; Y1≈4.25b ; Y5≈6.51b
[DCF] Fair Price = 101.2 (EV 77.92b - Net Debt -4.16b = Equity 82.08b / Shares 811.0m; r=10.16% [WACC]; 5y FCF grow 18.84% → 3.0% )
EPS Correlation: 77.90 | EPS CAGR: 38.95% | SUE: 3.89 | # QB: 3
Revenue Correlation: 98.20 | Revenue CAGR: 18.18% | SUE: 1.13 | # QB: 3
EPS current Year (2026-07-31): EPS=3.69 | Chg30d=+0.01% | Revisions=+20% | GrowthEPS=+10.5% | GrowthRev=+22.5%
EPS next Year (2027-07-31): EPS=2.30 | Chg30d=-0.04% | Revisions=N/A | GrowthEPS=+16.4% | GrowthRev=+20.0%
[Analyst] Revisions Ratio: +20%