WallStSmart

Capital One Financial Corporation (COF)vsPalo Alto Networks Inc (PANW)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Capital One Financial Corporation generates 267% more annual revenue ($36.31B vs $9.89B). PANW leads profitability with a 13.0% profit margin vs 8.9%. COF appears more attractively valued with a PEG of 0.20. COF earns a higher WallStSmart Score of 65/100 (C+).

COF

Buy

65

out of 100

Grade: C+

Growth: 7.3Profit: 6.0Value: 5.7Quality: 5.0

PANW

Buy

56

out of 100

Grade: C

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

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for COF.

PANWUndervalued (+56.7%)

Margin of Safety

+56.7%

Fair Value

$454.04

Current Price

$207.88

$246.16 discount

UndervaluedFair: $454.04Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

COF6 strengths · Avg: 9.2/10
PEG RatioValuation
0.2010/10

Growing faster than its price suggests

Price/BookValuation
1.1x10/10

Reasonable price relative to book value

Revenue GrowthGrowth
46.3%10/10

Revenue surging 46.3% year-over-year

Market CapQuality
$122.14B9/10

Large-cap with strong market position

Operating MarginProfitability
28.6%8/10

Strong operational efficiency at 28.6%

Free Cash FlowQuality
$5.47B8/10

Generating 5.5B in free cash flow

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
$159.39B9/10

Large-cap with strong market position

Areas to Watch

COF3 concerns · Avg: 2.3/10
Return on EquityProfitability
3.3%3/10

ROE of 3.3% — below average capital efficiency

P/E RatioValuation
59.3x2/10

Premium valuation, high expectations priced in

EPS GrowthGrowth
-4.3%2/10

Earnings declined 4.3%

PANW4 concerns · Avg: 2.8/10
Price/BookValuation
15.6x4/10

Trading at 15.6x book value

Piotroski F-ScoreQuality
1/93/10

Weak financial health signals

PEG RatioValuation
3.092/10

Expensive relative to growth rate

P/E RatioValuation
109.2x2/10

Premium valuation, high expectations priced in

Comparative Analysis Report

WallStSmart Research

Bull Case : COF

The strongest argument for COF centers on PEG Ratio, Price/Book, Revenue Growth. Revenue growth of 46.3% demonstrates continued momentum. PEG of 0.20 suggests the stock is reasonably priced for its growth.

Bull Case : PANW

The strongest argument for PANW centers on EPS Growth, Debt/Equity, Market Cap. Revenue growth of 14.9% demonstrates continued momentum.

Bear Case : COF

The primary concerns for COF are Return on Equity, P/E Ratio, EPS Growth. A P/E of 59.3x leaves little room for execution misses.

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.

Key Dynamics to Monitor

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

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

COF is growing revenue faster at 46.3% — sustainability is the question.

COF generates stronger free cash flow (5.5B), providing more financial flexibility.

Bottom Line

COF scores higher overall (65/100 vs 56/100) and 46.3% revenue growth. 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.

Capital One Financial Corporation

FINANCIAL SERVICES · CREDIT SERVICES · USA

Capital One Financial Corporation is an American bank holding company specializing in credit cards, auto loans, banking, and savings accounts, headquartered in McLean, Virginia with operations primarily in the United States.

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.

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