WallStSmart

Palo Alto Networks Inc (PANW)vsShoals Technologies Group Inc (SHLS)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Palo Alto Networks Inc generates 1881% more annual revenue ($10.61B vs $535.53M). PANW leads profitability with a 8.0% profit margin vs 6.3%. SHLS appears more attractively valued with a PEG of 0.93. SHLS earns a higher WallStSmart Score of 63/100 (C+).

PANW

Hold

47

out of 100

Grade: D+

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

SHLS

Buy

63

out of 100

Grade: C+

Growth: 8.7Profit: 5.0Value: 7.3Quality: 7.0
Piotroski: 5/9Altman Z: 2.30
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

PANWUndervalued (+32.8%)

Margin of Safety

+32.8%

Fair Value

$467.52

Current Price

$314.15

$153.37 discount

UndervaluedFair: $467.52Overvalued
SHLSUndervalued (+47.7%)

Margin of Safety

+47.7%

Fair Value

$18.72

Current Price

$7.94

$10.78 discount

UndervaluedFair: $18.72Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

PANW4 strengths · Avg: 10.0/10
Market CapQuality
$273.25B10/10

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

SHLS4 strengths · Avg: 8.5/10
Revenue GrowthGrowth
74.9%10/10

Revenue surging 74.9% year-over-year

PEG RatioValuation
0.938/10

Growing faster than its price suggests

Price/BookValuation
2.2x8/10

Reasonable price relative to book value

EPS GrowthGrowth
21.0%8/10

Earnings expanding 21.0% YoY

Areas to Watch

PANW4 concerns · Avg: 3.3/10
Price/BookValuation
9.2x4/10

Trading at 9.2x 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

SHLS4 concerns · Avg: 2.8/10
Market CapQuality
$1.74B3/10

Smaller company, higher risk/reward

Return on EquityProfitability
5.8%3/10

ROE of 5.8% — below average capital efficiency

Profit MarginProfitability
6.3%3/10

6.3% margin — thin

P/E RatioValuation
47.2x2/10

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 : SHLS

The strongest argument for SHLS centers on Revenue Growth, PEG Ratio, Price/Book. Revenue growth of 74.9% demonstrates continued momentum. PEG of 0.93 suggests the stock is reasonably priced for its growth.

Bear Case : PANW

The primary concerns for PANW are Price/Book, Return on Equity, Profit Margin. A P/E of 294.1x leaves little room for execution misses.

Bear Case : SHLS

The primary concerns for SHLS are Market Cap, Return on Equity, Profit Margin. A P/E of 47.2x leaves little room for execution misses.

Key Dynamics to Monitor

SHLS carries more volatility with a beta of 1.90 — expect wider price swings.

SHLS is growing revenue faster at 74.9% — 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

SHLS scores higher overall (63/100 vs 47/100) and 74.9% revenue growth. PANW offers better value entry with a 32.8% margin of safety. Both earn "Buy" 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.

Shoals Technologies Group Inc

TECHNOLOGY · SOLAR · USA

Shoals Technologies Group, Inc. provides Electric Balance System (EBOS) solutions for solar energy projects in the United States. The company is headquartered in Portland, Tennessee.

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