Open Text Corp (OTEX)vsPalo Alto Networks Inc (PANW)
OTEX
Open Text Corp
$23.12
-2.24%
TECHNOLOGY · Cap: $5.39B
PANW
Palo Alto Networks Inc
$272.05
+1.76%
TECHNOLOGY · Cap: $241.01B
Smart Verdict
WallStSmart Research — data-driven comparison
Palo Alto Networks Inc generates 90% more annual revenue ($9.89B vs $5.21B). PANW leads profitability with a 13.0% profit margin vs 9.9%. OTEX appears more attractively valued with a PEG of 1.02. OTEX earns a higher WallStSmart Score of 70/100 (B-).
OTEX
Strong Buy70
out of 100
Grade: B-
PANW
Buy57
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+81.8%
Fair Value
$133.20
Current Price
$23.12
$110.08 discount
Margin of Safety
+39.7%
Fair Value
$441.96
Current Price
$272.05
$169.91 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Reasonable price relative to book value
Earnings expanding 99.0% YoY
Strong operational efficiency at 21.4%
Mega-cap, among the largest globally
Earnings expanding 60.5% YoY
Conservative balance sheet, low leverage
Areas to Watch
2.2% revenue growth
Elevated debt levels
Distress zone — elevated risk
ROE of 3.0% — below average capital efficiency
Weak financial health signals
Expensive relative to growth rate
Premium valuation, high expectations priced in
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, EPS Growth, Debt/Equity. Revenue growth of 14.9% demonstrates continued momentum.
Bear Case : OTEX
The primary concerns for OTEX are Revenue Growth, Debt/Equity, Altman Z-Score. Debt-to-equity of 1.62 is elevated, increasing financial risk.
Bear Case : PANW
The primary concerns for PANW are Return on Equity, Piotroski F-Score, PEG Ratio. A P/E of 256.2x leaves little room for execution misses.
Key Dynamics to Monitor
OTEX carries more volatility with a beta of 1.05 — expect wider price swings.
PANW is growing revenue faster at 14.9% — sustainability is the question.
PANW generates stronger free cash flow (788M), providing more financial flexibility.
Monitor SOFTWARE - APPLICATION industry trends, competitive dynamics, and regulatory changes.
Bottom Line
OTEX scores higher overall (70/100 vs 57/100). PANW offers better value entry with a 39.7% 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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