WallStSmart

Palo Alto Networks Inc (PANW)vsPenguin Solutions, Inc. (PENG)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Palo Alto Networks Inc generates 606% more annual revenue ($10.61B vs $1.50B). PANW leads profitability with a 8.0% profit margin vs 6.5%. PENG trades at a lower P/E of 38.2x. PENG earns a higher WallStSmart Score of 60/100 (C+).

PANW

Hold

47

out of 100

Grade: D+

Growth: 9.3Profit: 3.5Value: 4.0Quality: 4.5
Piotroski: 1/9Altman Z: 1.02

PENG

Buy

60

out of 100

Grade: C+

Growth: 7.3Profit: 5.5Value: 4.7Quality: 5.5
Piotroski: 4/9Altman Z: 1.80
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

PANWUndervalued (+22.4%)

Margin of Safety

+22.4%

Fair Value

$467.52

Current Price

$363.86

$103.66 discount

UndervaluedFair: $467.52Overvalued

Intrinsic value data unavailable for PENG.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

PANW4 strengths · Avg: 10.0/10
Market CapQuality
$298.57B10/10

Mega-cap, among the largest globally

Revenue GrowthGrowth
31.1%10/10

Revenue surging 31.1% year-over-year

EPS GrowthGrowth
60.5%10/10

Earnings expanding 60.5% YoY

Debt/EquityHealth
0.0710/10

Conservative balance sheet, low leverage

PENG2 strengths · Avg: 10.0/10
Revenue GrowthGrowth
47.6%10/10

Revenue surging 47.6% year-over-year

EPS GrowthGrowth
544.0%10/10

Earnings expanding 544.0% YoY

Areas to Watch

PANW4 concerns · Avg: 3.3/10
Price/BookValuation
10.7x4/10

Trading at 10.7x book value

Return on EquityProfitability
3.0%3/10

ROE of 3.0% — below average capital efficiency

Profit MarginProfitability
8.0%3/10

8.0% margin — thin

Piotroski F-ScoreQuality
1/93/10

Weak financial health signals

PENG4 concerns · Avg: 3.5/10
P/E RatioValuation
38.2x4/10

Premium valuation, high expectations priced in

Altman Z-ScoreHealth
1.804/10

Grey zone — moderate risk

Profit MarginProfitability
6.5%3/10

6.5% margin — thin

Debt/EquityHealth
1.143/10

Elevated debt levels

Comparative Analysis Report

WallStSmart Research

Bull Case : PANW

The strongest argument for PANW centers on Market Cap, Revenue Growth, EPS Growth. Revenue growth of 31.1% demonstrates continued momentum.

Bull Case : PENG

The strongest argument for PENG centers on Revenue Growth, EPS Growth. Revenue growth of 47.6% demonstrates continued momentum.

Bear Case : PANW

The primary concerns for PANW are Price/Book, Return on Equity, Profit Margin. A P/E of 318.6x leaves little room for execution misses.

Bear Case : PENG

The primary concerns for PENG are P/E Ratio, Altman Z-Score, Profit Margin.

Key Dynamics to Monitor

PENG carries more volatility with a beta of 2.83 — expect wider price swings.

PENG is growing revenue faster at 47.6% — sustainability is the question.

PANW generates stronger free cash flow (788M), providing more financial flexibility.

Monitor SOFTWARE - INFRASTRUCTURE industry trends, competitive dynamics, and regulatory changes.

Bottom Line

PENG scores higher overall (60/100 vs 47/100) and 47.6% revenue growth. PANW offers better value entry with a 22.4% 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.

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.

Penguin Solutions, Inc.

TECHNOLOGY · INFORMATION TECHNOLOGY SERVICES · USA

Penguin Solutions, Inc., a memory-focused company, engages in the designing and development of enterprise solutions in the United States, China, Europe, and internationally. The company is headquartered in Grand Cayman, Cayman Islands.

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