WallStSmart

NVE Corporation (NVEC)vsPalo Alto Networks Inc (PANW)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Palo Alto Networks Inc generates 38031% more annual revenue ($9.89B vs $25.95M). NVEC leads profitability with a 54.6% profit margin vs 13.0%. NVEC appears more attractively valued with a PEG of 0.84. NVEC earns a higher WallStSmart Score of 69/100 (B-).

NVEC

Strong Buy

69

out of 100

Grade: B-

Growth: 5.3Profit: 9.5Value: 5.3Quality: 5.0

PANW

Buy

56

out of 100

Grade: C

Growth: 8.0Profit: 7.0Value: 4.7Quality: 5.0
Piotroski: 1/9Altman Z: 1.02
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

NVECSignificantly Overvalued (-29.6%)

Margin of Safety

-29.6%

Fair Value

$52.16

Current Price

$82.79

$30.63 premium

UndervaluedFair: $52.16Overvalued
PANWUndervalued (+60.8%)

Margin of Safety

+60.8%

Fair Value

$457.02

Current Price

$179.32

$277.70 discount

UndervaluedFair: $457.02Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

NVEC5 strengths · Avg: 9.0/10
Profit MarginProfitability
54.6%10/10

Keeps 55 of every $100 in revenue as profit

Operating MarginProfitability
60.2%10/10

Strong operational efficiency at 60.2%

Return on EquityProfitability
23.4%9/10

Every $100 of equity generates 23 in profit

PEG RatioValuation
0.848/10

Growing faster than its price suggests

Revenue GrowthGrowth
22.9%8/10

Revenue surging 22.9% year-over-year

PANW3 strengths · Avg: 9.7/10
EPS GrowthGrowth
60.5%10/10

Earnings expanding 60.5% YoY

Debt/EquityHealth
0.0410/10

Conservative balance sheet, low leverage

Market CapQuality
$145.43B9/10

Large-cap with strong market position

Areas to Watch

NVEC2 concerns · Avg: 3.5/10
P/E RatioValuation
27.7x4/10

Moderate valuation

Market CapQuality
$390.65M3/10

Smaller company, higher risk/reward

PANW4 concerns · Avg: 2.8/10
Price/BookValuation
13.4x4/10

Trading at 13.4x book value

Piotroski F-ScoreQuality
1/93/10

Weak financial health signals

PEG RatioValuation
3.052/10

Expensive relative to growth rate

P/E RatioValuation
100.2x2/10

Premium valuation, high expectations priced in

Comparative Analysis Report

WallStSmart Research

Bull Case : NVEC

The strongest argument for NVEC centers on Profit Margin, Operating Margin, Return on Equity. Profitability is solid with margins at 54.6% and operating margin at 60.2%. Revenue growth of 22.9% demonstrates continued momentum.

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 : NVEC

The primary concerns for NVEC are P/E Ratio, Market Cap.

Bear Case : PANW

The primary concerns for PANW are Price/Book, Piotroski F-Score, PEG Ratio. A P/E of 100.2x leaves little room for execution misses.

Key Dynamics to Monitor

NVEC profiles as a growth stock while PANW is a value play — different risk/reward profiles.

NVEC carries more volatility with a beta of 1.22 — expect wider price swings.

NVEC is growing revenue faster at 22.9% — sustainability is the question.

PANW generates stronger free cash flow (470M), providing more financial flexibility.

Bottom Line

NVEC scores higher overall (69/100 vs 56/100), backed by strong 54.6% margins and 22.9% revenue growth. PANW offers better value entry with a 60.8% margin of safety. 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.

NVE Corporation

TECHNOLOGY · SEMICONDUCTORS · USA

NVE Corporation develops and sells devices that use spintronics, a nanotechnology that relies on the spin of the electron to acquire, store, and transmit information in the United States and internationally. The company is headquartered in Eden Prairie, Minnesota.

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.

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