ON Semiconductor Corporation (ON)vsPalo Alto Networks Inc (PANW)
ON
ON Semiconductor Corporation
$75.24
-0.52%
TECHNOLOGY · Cap: $28.69B
PANW
Palo Alto Networks Inc
$394.49
-3.53%
TECHNOLOGY · Cap: $279.76B
Smart Verdict
WallStSmart Research — data-driven comparison
Palo Alto Networks Inc generates 85% more annual revenue ($11.48B vs $6.20B). ON leads profitability with a 10.2% profit margin vs 2.7%. ON appears more attractively valued with a PEG of 0.17. ON earns a higher WallStSmart Score of 63/100 (C+).
ON
Buy63
out of 100
Grade: C+
PANW
Hold49
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for ON.
Margin of Safety
+21.7%
Fair Value
$498.95
Current Price
$394.49
$104.46 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Growing faster than its price suggests
Earnings expanding 36.6% YoY
Mega-cap, among the largest globally
Revenue surging 34.5% year-over-year
Earnings expanding 60.5% YoY
Conservative balance sheet, low leverage
Generating 1.3B in free cash flow
Areas to Watch
Weak financial health signals
Premium valuation, high expectations priced in
Expensive relative to growth rate
Trading at 11.7x book value
ROE of 1.1% — below average capital efficiency
2.7% margin — thin
Comparative Analysis Report
WallStSmart ResearchBull Case : ON
The strongest argument for ON centers on PEG Ratio, EPS Growth. PEG of 0.17 suggests the stock is reasonably priced for its growth.
Bull Case : PANW
The strongest argument for PANW centers on Market Cap, Revenue Growth, EPS Growth. Revenue growth of 34.5% demonstrates continued momentum.
Bear Case : ON
The primary concerns for ON are Piotroski F-Score, P/E Ratio. A P/E of 49.8x leaves little room for execution misses.
Bear Case : PANW
The primary concerns for PANW are PEG Ratio, Price/Book, Return on Equity. A P/E of 855.0x leaves little room for execution misses. Thin 2.7% margins leave little buffer for downturns.
Key Dynamics to Monitor
ON profiles as a value stock while PANW is a hypergrowth play — different risk/reward profiles.
ON carries more volatility with a beta of 2.05 — expect wider price swings.
PANW is growing revenue faster at 34.5% — sustainability is the question.
PANW generates stronger free cash flow (1.3B), providing more financial flexibility.
Bottom Line
ON scores higher overall (63/100 vs 49/100). PANW offers better value entry with a 21.7% margin of safety. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
ON Semiconductor Corporation
TECHNOLOGY · SEMICONDUCTORS · USA
ON Semiconductor Corporation manufactures and sells semiconductor components for various electronic devices worldwide. The company is headquartered in Phoenix, Arizona.
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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