Palo Alto Networks Inc (PANW)vsSPS Commerce Inc (SPSC)
PANW
Palo Alto Networks Inc
$272.05
+0.03%
TECHNOLOGY · Cap: $241.01B
SPSC
SPS Commerce Inc
$55.47
-1.12%
TECHNOLOGY · Cap: $2.02B
Smart Verdict
WallStSmart Research — data-driven comparison
Palo Alto Networks Inc generates 1198% more annual revenue ($9.89B vs $762.08M). PANW leads profitability with a 13.0% profit margin vs 11.9%. SPSC appears more attractively valued with a PEG of 4.71. PANW earns a higher WallStSmart Score of 57/100 (C).
PANW
Buy57
out of 100
Grade: C
SPSC
Hold47
out of 100
Grade: D+
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
+70.9%
Fair Value
$235.52
Current Price
$55.47
$180.05 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
Conservative balance sheet, low leverage
Safe zone — low bankruptcy risk
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
Weak financial health signals
Expensive relative to growth rate
Earnings declined 9.0%
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 : SPSC
The strongest argument for SPSC centers on Debt/Equity, Altman Z-Score, Price/Book.
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 : SPSC
The primary concerns for SPSC are Piotroski F-Score, PEG Ratio, EPS Growth.
Key Dynamics to Monitor
PANW carries more volatility with a beta of 0.77 — 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 47/100) and 14.9% revenue growth. SPSC offers better value entry with a 70.9% 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.
SPS Commerce Inc
TECHNOLOGY · SOFTWARE - APPLICATION · USA
SPS Commerce, Inc. provides cloud-based supply chain management solutions globally. The company is headquartered in Minneapolis, Minnesota.
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