Open Text Corp (OTEX)vsPalo Alto Networks Inc (PANW)
OTEX
Open Text Corp
$23.06
+1.99%
TECHNOLOGY · Cap: $5.49B
PANW
Palo Alto Networks Inc
$330.65
-2.32%
TECHNOLOGY · Cap: $270.47B
Smart Verdict
WallStSmart Research — data-driven comparison
Palo Alto Networks Inc generates 119% more annual revenue ($11.48B vs $5.25B). OTEX leads profitability with a 12.3% profit margin vs 2.7%. OTEX appears more attractively valued with a PEG of 1.02. OTEX earns a higher WallStSmart Score of 74/100 (B).
OTEX
Strong Buy74
out of 100
Grade: B
PANW
Buy51
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+81.4%
Fair Value
$130.17
Current Price
$23.06
$107.11 discount
Margin of Safety
+34.1%
Fair Value
$501.81
Current Price
$330.65
$171.16 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Reasonable price relative to book value
Earnings expanding 476.1% YoY
Strong operational efficiency at 24.1%
Mega-cap, among the largest globally
Revenue surging 34.4% year-over-year
Earnings expanding 60.5% YoY
Conservative balance sheet, low leverage
Areas to Watch
2.9% revenue growth
Elevated debt levels
Distress zone — elevated risk
Expensive relative to growth rate
Trading at 9.8x book value
ROE of 1.1% — below average capital efficiency
2.7% margin — thin
Comparative Analysis Report
WallStSmart ResearchBull Case : OTEX
The strongest argument for OTEX centers on P/E Ratio, Price/Book, EPS Growth. PEG of 1.02 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 34.4% demonstrates continued momentum.
Bear Case : OTEX
The primary concerns for OTEX are Revenue Growth, Debt/Equity, Altman Z-Score.
Bear Case : PANW
The primary concerns for PANW are PEG Ratio, Price/Book, Return on Equity. A P/E of 295.2x leaves little room for execution misses. Thin 2.7% margins leave little buffer for downturns.
Key Dynamics to Monitor
OTEX profiles as a value stock while PANW is a hypergrowth play — different risk/reward profiles.
OTEX carries more volatility with a beta of 1.03 — expect wider price swings.
PANW is growing revenue faster at 34.4% — sustainability is the question.
OTEX generates stronger free cash flow (808M), providing more financial flexibility.
Bottom Line
OTEX scores higher overall (74/100 vs 51/100). PANW offers better value entry with a 34.1% 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.
Open Text Corp
TECHNOLOGY · SOFTWARE - APPLICATION · USA
Open Text Corporation offers a suite of software products and services. The company is headquartered in Waterloo, Canada.
Visit Website →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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