Palo Alto Networks Inc (PANW)vsUnion Pacific Corporation (UNP)
PANW
Palo Alto Networks Inc
$207.88
+5.78%
TECHNOLOGY · Cap: $159.39B
UNP
Union Pacific Corporation
$264.65
-0.09%
INDUSTRIALS · Cap: $157.27B
Smart Verdict
WallStSmart Research — data-driven comparison
Union Pacific Corporation generates 150% more annual revenue ($24.70B vs $9.89B). UNP leads profitability with a 29.2% profit margin vs 13.0%. PANW appears more attractively valued with a PEG of 3.09. UNP earns a higher WallStSmart Score of 60/100 (C).
PANW
Buy56
out of 100
Grade: C
UNP
Buy60
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+56.7%
Fair Value
$454.04
Current Price
$207.88
$246.16 discount
Margin of Safety
-76.6%
Fair Value
$150.01
Current Price
$264.65
$114.64 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Earnings expanding 60.5% YoY
Conservative balance sheet, low leverage
Large-cap with strong market position
Every $100 of equity generates 41 in profit
Strong operational efficiency at 40.4%
Large-cap with strong market position
Keeps 29 of every $100 in revenue as profit
Generating 1.5B in free cash flow
Areas to Watch
Trading at 15.6x book value
Weak financial health signals
Expensive relative to growth rate
Premium valuation, high expectations priced in
Trading at 8.5x book value
3.2% revenue growth
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull 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 : UNP
The strongest argument for UNP centers on Return on Equity, Operating Margin, Market Cap. Profitability is solid with margins at 29.2% and operating margin at 40.4%.
Bear Case : PANW
The primary concerns for PANW are Price/Book, Piotroski F-Score, PEG Ratio. A P/E of 109.2x leaves little room for execution misses.
Bear Case : UNP
The primary concerns for UNP are Price/Book, Revenue Growth, PEG Ratio.
Key Dynamics to Monitor
UNP carries more volatility with a beta of 0.99 — expect wider price swings.
PANW is growing revenue faster at 14.9% — sustainability is the question.
UNP generates stronger free cash flow (1.5B), providing more financial flexibility.
Monitor SOFTWARE - INFRASTRUCTURE industry trends, competitive dynamics, and regulatory changes.
Bottom Line
UNP scores higher overall (60/100 vs 56/100), backed by strong 29.2% margins. PANW offers better value entry with a 56.7% 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.
Union Pacific Corporation
INDUSTRIALS · RAILROADS · USA
The Union Pacific Corporation (Union Pacific) is a publicly traded railroad holding company. It was incorporated in Utah in 1969 and is headquartered in Omaha, Nebraska. It is the parent company of the current, Delaware-registered, form of the Union Pacific Railroad.
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