Palo Alto Networks Inc (PANW)vsRapid7 Inc (RPD)
PANW
Palo Alto Networks Inc
$272.05
+1.76%
TECHNOLOGY · Cap: $241.01B
RPD
Rapid7 Inc
$7.51
-3.59%
TECHNOLOGY · Cap: $477.17M
Smart Verdict
WallStSmart Research — data-driven comparison
Palo Alto Networks Inc generates 1051% more annual revenue ($9.89B vs $859.23M). PANW leads profitability with a 13.0% profit margin vs 2.6%. RPD appears more attractively valued with a PEG of 0.39. PANW earns a higher WallStSmart Score of 57/100 (C).
PANW
Buy57
out of 100
Grade: C
RPD
Buy51
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+39.7%
Fair Value
$441.96
Current Price
$272.05
$169.91 discount
Margin of Safety
+88.8%
Fair Value
$65.86
Current Price
$7.51
$58.35 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Earnings expanding 60.5% YoY
Conservative balance sheet, low leverage
Growing faster than its price suggests
Reasonable price relative to book value
Areas to Watch
ROE of 3.0% — below average capital efficiency
Weak financial health signals
Expensive relative to growth rate
Premium valuation, high expectations priced in
Smaller company, higher risk/reward
2.6% margin — thin
Operating margin of 0.0%
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : PANW
The strongest argument for PANW centers on Market Cap, EPS Growth, Debt/Equity. Revenue growth of 14.9% demonstrates continued momentum.
Bull Case : RPD
The strongest argument for RPD centers on PEG Ratio, Price/Book. PEG of 0.39 suggests the stock is reasonably priced for its growth.
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.
Bear Case : RPD
The primary concerns for RPD are Market Cap, Profit Margin, Operating Margin. Debt-to-equity of 5.52 is elevated, increasing financial risk. Thin 2.6% margins leave little buffer for downturns.
Key Dynamics to Monitor
RPD carries more volatility with a beta of 1.02 — 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 - INFRASTRUCTURE industry trends, competitive dynamics, and regulatory changes.
Bottom Line
PANW scores higher overall (57/100 vs 51/100) and 14.9% revenue growth. RPD offers better value entry with a 88.8% 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.
Rapid7 Inc
TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA
Rapid7, Inc. provides cyber security solutions. The company is headquartered in Boston, Massachusetts.
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