WallStSmart

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

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Palo Alto Networks Inc generates 687% more annual revenue ($10.61B vs $1.35B). PANW leads profitability with a 8.0% profit margin vs 4.1%. PENG trades at a lower P/E of 91.6x. PANW earns a higher WallStSmart Score of 47/100 (D+).

PANW

Hold

47

out of 100

Grade: D+

Growth: 9.3Profit: 3.5Value: 4.7Quality: 4.5
Piotroski: 1/9Altman Z: 1.02

PENG

Hold

40

out of 100

Grade: F

Growth: 4.7Profit: 5.5Value: 4.0Quality: 6.5
Piotroski: 4/9Altman Z: 1.80
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

PANWUndervalued (+38.8%)

Margin of Safety

+38.8%

Fair Value

$470.35

Current Price

$285.26

$185.09 discount

UndervaluedFair: $470.35Overvalued

Intrinsic value data unavailable for PENG.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

PANW4 strengths · Avg: 10.0/10
Market CapQuality
$231.90B10/10

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

PENG1 strengths · Avg: 10.0/10
EPS GrowthGrowth
544.0%10/10

Earnings expanding 544.0% YoY

Areas to Watch

PANW4 concerns · Avg: 3.3/10
Price/BookValuation
8.4x4/10

Trading at 8.4x 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: 3.3/10
Price/BookValuation
8.8x4/10

Trading at 8.8x book value

Altman Z-ScoreHealth
1.804/10

Grey zone — moderate risk

Profit MarginProfitability
4.1%3/10

4.1% margin — thin

P/E RatioValuation
91.6x2/10

Premium valuation, high expectations priced in

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 EPS Growth.

Bear Case : PANW

The primary concerns for PANW are Price/Book, Return on Equity, Profit Margin. A P/E of 247.4x leaves little room for execution misses.

Bear Case : PENG

The primary concerns for PENG are Price/Book, Altman Z-Score, Profit Margin. A P/E of 91.6x leaves little room for execution misses. Thin 4.1% margins leave little buffer for downturns.

Key Dynamics to Monitor

PANW profiles as a hypergrowth stock while PENG is a value play — different risk/reward profiles.

PENG carries more volatility with a beta of 2.89 — expect wider price swings.

PANW is growing revenue faster at 31.1% — sustainability is the question.

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

Bottom Line

PANW scores higher overall (47/100 vs 40/100) and 31.1% revenue growth. Both earn "Hold" 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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