NETGEAR Inc (NTGR)vsPalo Alto Networks Inc (PANW)
NTGR
NETGEAR Inc
$18.88
-0.79%
TECHNOLOGY · Cap: $495.66M
PANW
Palo Alto Networks Inc
$314.67
-0.26%
TECHNOLOGY · Cap: $299.44B
Smart Verdict
WallStSmart Research — data-driven comparison
Palo Alto Networks Inc generates 1595% more annual revenue ($11.48B vs $677.19M). PANW leads profitability with a 2.7% profit margin vs -4.9%. NTGR appears more attractively valued with a PEG of 0.74. PANW earns a higher WallStSmart Score of 51/100 (C-).
NTGR
Hold44
out of 100
Grade: D
PANW
Buy51
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-6.1%
Fair Value
$19.35
Current Price
$18.88
$0.47 premium
Margin of Safety
+26.6%
Fair Value
$498.68
Current Price
$314.67
$184.01 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Conservative balance sheet, low leverage
Growing faster than its price suggests
Mega-cap, among the largest globally
Revenue surging 34.5% year-over-year
Earnings expanding 60.5% YoY
Conservative balance sheet, low leverage
Generating 1.3B in free cash flow
Areas to Watch
Smaller company, higher risk/reward
ROE of -8.9% — below average capital efficiency
Revenue declined 9.3%
Earnings declined 68.7%
Expensive relative to growth rate
Trading at 9.3x book value
ROE of 1.1% — below average capital efficiency
2.7% margin — thin
Comparative Analysis Report
WallStSmart ResearchBull Case : NTGR
The strongest argument for NTGR centers on Price/Book, Debt/Equity, PEG Ratio. PEG of 0.74 suggests the stock is reasonably priced for its growth.
Bull Case : PANW
The strongest argument for PANW centers on Market Cap, Revenue Growth, EPS Growth. Revenue growth of 34.5% demonstrates continued momentum.
Bear Case : NTGR
The primary concerns for NTGR are Market Cap, Return on Equity, Revenue Growth.
Bear Case : PANW
The primary concerns for PANW are PEG Ratio, Price/Book, Return on Equity. A P/E of 914.7x leaves little room for execution misses. Thin 2.7% margins leave little buffer for downturns.
Key Dynamics to Monitor
NTGR profiles as a turnaround stock while PANW is a hypergrowth play — different risk/reward profiles.
NTGR carries more volatility with a beta of 1.22 — expect wider price swings.
PANW is growing revenue faster at 34.5% — sustainability is the question.
PANW generates stronger free cash flow (1.3B), providing more financial flexibility.
Bottom Line
PANW scores higher overall (51/100 vs 44/100) and 34.5% 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.
NETGEAR Inc
TECHNOLOGY · COMMUNICATION EQUIPMENT · USA
NETGEAR, Inc. designs, develops, and markets Internet-connected products and networks for consumers, businesses, and service providers. The company is headquartered in San Jose, California.
Visit Website →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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