Palo Alto Networks Inc (PANW)vsRed Violet Inc (RDVT)
PANW
Palo Alto Networks Inc
$330.65
-2.32%
TECHNOLOGY · Cap: $270.47B
RDVT
Red Violet Inc
$75.02
+2.70%
TECHNOLOGY · Cap: $1.23B
Smart Verdict
WallStSmart Research — data-driven comparison
Palo Alto Networks Inc generates 11493% more annual revenue ($11.48B vs $99.02M). RDVT leads profitability with a 16.5% profit margin vs 2.7%. RDVT trades at a lower P/E of 62.6x. RDVT earns a higher WallStSmart Score of 56/100 (C).
PANW
Buy51
out of 100
Grade: C-
RDVT
Buy56
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+34.1%
Fair Value
$501.81
Current Price
$330.65
$171.16 discount
Margin of Safety
-18.4%
Fair Value
$34.73
Current Price
$75.02
$40.29 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Revenue surging 34.4% year-over-year
Earnings expanding 60.5% YoY
Conservative balance sheet, low leverage
Earnings expanding 88.9% YoY
Conservative balance sheet, low leverage
Safe zone — low bankruptcy risk
Strong operational efficiency at 23.0%
Revenue surging 22.7% year-over-year
Areas to Watch
Expensive relative to growth rate
Trading at 9.8x book value
ROE of 1.1% — below average capital efficiency
2.7% margin — thin
Trading at 10.1x book value
Smaller company, higher risk/reward
Premium valuation, high expectations priced in
Comparative Analysis Report
WallStSmart ResearchBull Case : PANW
The strongest argument for PANW centers on Market Cap, Revenue Growth, EPS Growth. Revenue growth of 34.4% demonstrates continued momentum.
Bull Case : RDVT
The strongest argument for RDVT centers on EPS Growth, Debt/Equity, Altman Z-Score. Profitability is solid with margins at 16.5% and operating margin at 23.0%. Revenue growth of 22.7% demonstrates continued momentum.
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.
Bear Case : RDVT
The primary concerns for RDVT are Price/Book, Market Cap, P/E Ratio. A P/E of 62.6x leaves little room for execution misses.
Key Dynamics to Monitor
PANW profiles as a hypergrowth stock while RDVT is a growth play — different risk/reward profiles.
RDVT carries more volatility with a beta of 1.80 — expect wider price swings.
PANW is growing revenue faster at 34.4% — sustainability is the question.
PANW generates stronger free cash flow (788M), providing more financial flexibility.
Bottom Line
RDVT scores higher overall (56/100 vs 51/100), backed by strong 16.5% margins and 22.7% revenue growth. PANW offers better value entry with a 34.1% margin of safety. Both earn "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.
Red Violet Inc
TECHNOLOGY · SOFTWARE - APPLICATION · USA
Red Violet, Inc., a software and services company, specializes in proprietary technologies and applies analytical capabilities to deliver identity intelligence in the United States. The company is headquartered in Boca Raton, Florida.
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