WallStSmart

Cloudflare Inc (NET)vsPalo Alto Networks Inc (PANW)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Palo Alto Networks Inc generates 356% more annual revenue ($9.89B vs $2.17B). PANW leads profitability with a 13.0% profit margin vs -4.7%. PANW appears more attractively valued with a PEG of 2.17. PANW earns a higher WallStSmart Score of 58/100 (C).

NET

Hold

35

out of 100

Grade: F

Growth: 8.0Profit: 2.0Value: 6.7Quality: 5.0

PANW

Buy

58

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 NET.

PANWSignificantly Overvalued (-99.7%)

Margin of Safety

-99.7%

Fair Value

$84.71

Current Price

$168.91

$84.20 premium

UndervaluedFair: $84.71Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

NET2 strengths · Avg: 9.5/10
Revenue GrowthGrowth
33.6%10/10

Revenue surging 33.6% year-over-year

Market CapQuality
$74.78B9/10

Large-cap with strong market position

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
$136.64B9/10

Large-cap with strong market position

Areas to Watch

NET4 concerns · Avg: 3.0/10
PEG RatioValuation
2.364/10

Expensive relative to growth rate

EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Price/BookValuation
53.3x2/10

Trading at 53.3x book value

Return on EquityProfitability
-8.2%2/10

ROE of -8.2% — below average capital efficiency

PANW4 concerns · Avg: 3.3/10
PEG RatioValuation
2.174/10

Expensive relative to growth rate

Price/BookValuation
12.6x4/10

Trading at 12.6x book value

Piotroski F-ScoreQuality
1/93/10

Weak financial health signals

P/E RatioValuation
92.5x2/10

Premium valuation, high expectations priced in

Comparative Analysis Report

WallStSmart Research

Bull Case : NET

The strongest argument for NET centers on Revenue Growth, Market Cap. Revenue growth of 33.6% demonstrates continued momentum.

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 : NET

The primary concerns for NET are PEG Ratio, EPS Growth, Price/Book.

Bear Case : PANW

The primary concerns for PANW are PEG Ratio, Price/Book, Piotroski F-Score. A P/E of 92.5x leaves little room for execution misses.

Key Dynamics to Monitor

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

NET carries more volatility with a beta of 2.03 — expect wider price swings.

NET is growing revenue faster at 33.6% — sustainability is the question.

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

Bottom Line

PANW scores higher overall (58/100 vs 35/100) and 14.9% revenue growth. 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.

Cloudflare Inc

TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA

CloudFlare, Inc. operates a cloud platform that offers a range of network services to companies around the world. 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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