WallStSmart

Palo Alto Networks Inc (PANW)vsSanmina Corporation (SANM)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Sanmina Corporation generates 15% more annual revenue ($11.34B vs $9.89B). PANW leads profitability with a 13.0% profit margin vs 2.3%. SANM appears more attractively valued with a PEG of 0.97. SANM earns a higher WallStSmart Score of 68/100 (B-).

PANW

Buy

56

out of 100

Grade: C

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

SANM

Strong Buy

68

out of 100

Grade: B-

Growth: 8.0Profit: 5.5Value: 6.7Quality: 5.8
Piotroski: 4/9Altman Z: 1.87
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
SANMUndervalued (+18.9%)

Margin of Safety

+18.9%

Fair Value

$184.12

Current Price

$217.82

$33.70 discount

UndervaluedFair: $184.12Overvalued

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

SANM3 strengths · Avg: 8.7/10
Revenue GrowthGrowth
102.3%10/10

Revenue surging 102.3% year-over-year

PEG RatioValuation
0.978/10

Growing faster than its price suggests

EPS GrowthGrowth
46.6%8/10

Earnings expanding 46.6% YoY

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

SANM3 concerns · Avg: 3.0/10
Altman Z-ScoreHealth
1.874/10

Grey zone — moderate risk

Profit MarginProfitability
2.3%3/10

2.3% margin — thin

P/E RatioValuation
45.6x2/10

Premium valuation, high expectations priced in

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 : SANM

The strongest argument for SANM centers on Revenue Growth, PEG Ratio, EPS Growth. Revenue growth of 102.3% demonstrates continued momentum. PEG of 0.97 suggests the stock is reasonably priced for its growth.

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 : SANM

The primary concerns for SANM are Altman Z-Score, Profit Margin, P/E Ratio. A P/E of 45.6x leaves little room for execution misses. Thin 2.3% margins leave little buffer for downturns.

Key Dynamics to Monitor

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

SANM carries more volatility with a beta of 1.05 — expect wider price swings.

SANM is growing revenue faster at 102.3% — sustainability is the question.

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

Bottom Line

SANM scores higher overall (68/100 vs 56/100) and 102.3% 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.

Sanmina Corporation

TECHNOLOGY · ELECTRONIC COMPONENTS · USA

Sanmina Corporation offers integrated solutions for manufacturing, components, products and repair, logistics and after-sales services globally. The company is headquartered in San Jose, California.

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