WallStSmart

Palo Alto Networks Inc (PANW)vsUltra Clean Holdings Inc (UCTT)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Palo Alto Networks Inc generates 382% more annual revenue ($9.89B vs $2.05B). PANW leads profitability with a 13.0% profit margin vs -8.8%. UCTT appears more attractively valued with a PEG of 1.17. PANW earns a higher WallStSmart Score of 56/100 (C).

PANW

Buy

56

out of 100

Grade: C

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

UCTT

Hold

37

out of 100

Grade: F

Growth: 2.0Profit: 3.0Value: 6.3Quality: 6.8
Piotroski: 2/9Altman Z: 2.12
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
UCTTUndervalued (+22.6%)

Margin of Safety

+22.6%

Fair Value

$72.22

Current Price

$78.15

$5.93 discount

UndervaluedFair: $72.22Overvalued

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

UCTT0 strengths · Avg: 0/10

No standout strengths identified

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

UCTT4 concerns · Avg: 2.5/10
Operating MarginProfitability
2.1%3/10

Operating margin of 2.1%

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Return on EquityProfitability
-20.0%2/10

ROE of -20.0% — below average capital efficiency

Revenue GrowthGrowth
-10.0%2/10

Revenue declined 10.0%

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 : UCTT

PEG of 1.17 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 : UCTT

The primary concerns for UCTT are Operating Margin, Piotroski F-Score, Return on Equity.

Key Dynamics to Monitor

PANW profiles as a value stock while UCTT is a turnaround play — different risk/reward profiles.

UCTT carries more volatility with a beta of 1.81 — expect wider price swings.

PANW is growing revenue faster at 14.9% — sustainability is the question.

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

Bottom Line

PANW scores higher overall (56/100 vs 37/100) and 14.9% revenue growth. UCTT offers better value entry with a 22.6% 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.

Ultra Clean Holdings Inc

TECHNOLOGY · SEMICONDUCTOR EQUIPMENT & MATERIALS · USA

Ultra Clean Holdings, Inc. designs, designs and manufactures production tools, modules and subsystems for the semiconductor and display capital equipment markets in the United States and internationally. The company is headquartered in Hayward, California.

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