Check Point Software Technologies Ltd (CHKP)vsPalo Alto Networks Inc (PANW)
CHKP
Check Point Software Technologies Ltd
$142.41
-1.47%
TECHNOLOGY · Cap: $15.29B
PANW
Palo Alto Networks Inc
$153.22
-2.54%
TECHNOLOGY · Cap: $128.28B
Smart Verdict
WallStSmart Research — data-driven comparison
Palo Alto Networks Inc generates 263% more annual revenue ($9.89B vs $2.73B). CHKP leads profitability with a 38.8% profit margin vs 13.0%. CHKP appears more attractively valued with a PEG of 1.46. CHKP earns a higher WallStSmart Score of 72/100 (B).
CHKP
Strong Buy72
out of 100
Grade: B
PANW
Buy58
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+57.0%
Fair Value
$410.62
Current Price
$142.41
$268.21 discount
Margin of Safety
-81.9%
Fair Value
$84.24
Current Price
$153.22
$68.98 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 37 in profit
Keeps 39 of every $100 in revenue as profit
Strong operational efficiency at 31.3%
Safe zone — low bankruptcy risk
Attractively priced relative to earnings
Earnings expanding 22.4% YoY
Earnings expanding 60.5% YoY
Conservative balance sheet, low leverage
Large-cap with strong market position
Areas to Watch
No major concerns identified
Trading at 11.5x book value
Weak financial health signals
Expensive relative to growth rate
Premium valuation, high expectations priced in
Comparative Analysis Report
WallStSmart ResearchBull Case : CHKP
The strongest argument for CHKP centers on Return on Equity, Profit Margin, Operating Margin. Profitability is solid with margins at 38.8% and operating margin at 31.3%. PEG of 1.46 suggests the stock is reasonably priced for its growth.
Bull Case : PANW
The strongest argument for PANW centers on EPS Growth, Debt/Equity, Market Cap. Revenue growth of 14.9% demonstrates continued momentum.
Bear Case : CHKP
No major red flags identified for CHKP, but monitor valuation.
Bear Case : PANW
The primary concerns for PANW are Price/Book, Piotroski F-Score, PEG Ratio. A P/E of 87.3x leaves little room for execution misses.
Key Dynamics to Monitor
CHKP profiles as a mature stock while PANW is a value play — different risk/reward profiles.
PANW carries more volatility with a beta of 0.82 — expect wider price swings.
PANW is growing revenue faster at 14.9% — sustainability is the question.
PANW generates stronger free cash flow (470M), providing more financial flexibility.
Bottom Line
CHKP scores higher overall (72/100 vs 58/100), backed by strong 38.8% margins. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Check Point Software Technologies Ltd
TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA
Check Point Software Technologies Ltd. develops, markets and supports a range of IT security products and services globally. The company is headquartered in Tel Aviv, Israel.
Palo Alto Networks Inc
TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA
Palo Alto Networks, Inc. provides cybersecurity platform solutions globally. The company is headquartered in Santa Clara, California.
Compare with Other SOFTWARE - INFRASTRUCTURE Stocks
Want to dig deeper into these stocks?