WallStSmart

Dropbox Inc (DBX)vsPalo Alto Networks Inc (PANW)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Palo Alto Networks Inc generates 292% more annual revenue ($9.89B vs $2.52B). DBX leads profitability with a 20.2% profit margin vs 13.0%. PANW appears more attractively valued with a PEG of 3.09. DBX earns a higher WallStSmart Score of 58/100 (C).

DBX

Buy

58

out of 100

Grade: C

Growth: 4.7Profit: 8.0Value: 6.7Quality: 3.8
Piotroski: 4/9Altman Z: 0.35

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

DBXUndervalued (+50.0%)

Margin of Safety

+50.0%

Fair Value

$48.86

Current Price

$28.90

$19.96 discount

UndervaluedFair: $48.86Overvalued
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

DBX4 strengths · Avg: 8.3/10
Profit MarginProfitability
20.2%9/10

Keeps 20 of every $100 in revenue as profit

P/E RatioValuation
13.5x8/10

Attractively priced relative to earnings

Operating MarginProfitability
24.9%8/10

Strong operational efficiency at 24.9%

EPS GrowthGrowth
27.2%8/10

Earnings expanding 27.2% YoY

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

DBX3 concerns · Avg: 2.0/10
PEG RatioValuation
12.172/10

Expensive relative to growth rate

Revenue GrowthGrowth
-1.2%2/10

Revenue declined 1.2%

Altman Z-ScoreHealth
0.352/10

Distress zone — elevated risk

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 : DBX

The strongest argument for DBX centers on Profit Margin, P/E Ratio, Operating Margin. Profitability is solid with margins at 20.2% and operating margin at 24.9%.

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 : DBX

The primary concerns for DBX are PEG Ratio, Revenue Growth, Altman Z-Score.

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

DBX profiles as a declining stock while PANW is a value play — different risk/reward profiles.

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 (470M), providing more financial flexibility.

Bottom Line

DBX scores higher overall (58/100 vs 56/100), backed by strong 20.2% 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.

Dropbox Inc

TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA

Dropbox, Inc. provides a worldwide collaboration platform. The company is headquartered in San Francisco, California.

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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