WallStSmart

Palo Alto Networks Inc (PANW)vsPTC Inc (PTC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Palo Alto Networks Inc generates 246% more annual revenue ($9.89B vs $2.86B). PTC leads profitability with a 28.6% profit margin vs 13.0%. PTC appears more attractively valued with a PEG of 1.41. PTC earns a higher WallStSmart Score of 79/100 (B+).

PANW

Buy

56

out of 100

Grade: C

Growth: 8.0Profit: 7.0Value: 4.7Quality: 5.0
Piotroski: 1/9Altman Z: 1.02

PTC

Strong Buy

79

out of 100

Grade: B+

Growth: 8.7Profit: 9.0Value: 4.7Quality: 6.3
Piotroski: 6/9Altman Z: 2.20
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

PANWUndervalued (+60.8%)

Margin of Safety

+60.8%

Fair Value

$457.02

Current Price

$179.32

$277.70 discount

UndervaluedFair: $457.02Overvalued
PTCSignificantly Overvalued (-53.8%)

Margin of Safety

-53.8%

Fair Value

$101.16

Current Price

$136.30

$35.14 premium

UndervaluedFair: $101.16Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

PANW3 strengths · Avg: 9.7/10
EPS GrowthGrowth
60.5%10/10

Earnings expanding 60.5% YoY

Debt/EquityHealth
0.0410/10

Conservative balance sheet, low leverage

Market CapQuality
$145.43B9/10

Large-cap with strong market position

PTC5 strengths · Avg: 9.2/10
Operating MarginProfitability
33.8%10/10

Strong operational efficiency at 33.8%

EPS GrowthGrowth
104.4%10/10

Earnings expanding 104.4% YoY

Return on EquityProfitability
23.1%9/10

Every $100 of equity generates 23 in profit

Profit MarginProfitability
28.6%9/10

Keeps 29 of every $100 in revenue as profit

Revenue GrowthGrowth
21.4%8/10

Revenue surging 21.4% year-over-year

Areas to Watch

PANW4 concerns · Avg: 2.8/10
Price/BookValuation
13.4x4/10

Trading at 13.4x book value

Piotroski F-ScoreQuality
1/93/10

Weak financial health signals

PEG RatioValuation
3.052/10

Expensive relative to growth rate

P/E RatioValuation
100.2x2/10

Premium valuation, high expectations priced in

PTC0 concerns · Avg: 0/10

No major concerns identified

Comparative Analysis Report

WallStSmart Research

Bull Case : PANW

The strongest argument for PANW centers on EPS Growth, Debt/Equity, Market Cap. Revenue growth of 14.9% demonstrates continued momentum.

Bull Case : PTC

The strongest argument for PTC centers on Operating Margin, EPS Growth, Return on Equity. Profitability is solid with margins at 28.6% and operating margin at 33.8%. Revenue growth of 21.4% demonstrates continued momentum.

Bear Case : PANW

The primary concerns for PANW are Price/Book, Piotroski F-Score, PEG Ratio. A P/E of 100.2x leaves little room for execution misses.

Bear Case : PTC

No major red flags identified for PTC, but monitor valuation.

Key Dynamics to Monitor

PANW profiles as a value stock while PTC is a growth play — different risk/reward profiles.

PTC carries more volatility with a beta of 1.06 — expect wider price swings.

PTC is growing revenue faster at 21.4% — sustainability is the question.

PANW generates stronger free cash flow (470M), providing more financial flexibility.

Bottom Line

PTC scores higher overall (79/100 vs 56/100), backed by strong 28.6% margins and 21.4% revenue growth. PANW offers better value entry with a 60.8% 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.

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.

PTC Inc

TECHNOLOGY · SOFTWARE - APPLICATION · USA

PTC Inc. is an American computer software and services company founded in 1985 and headquartered in Boston, Massachusetts.

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