Palo Alto Networks Inc (PANW)vsQualcomm Incorporated (QCOM)
PANW
Palo Alto Networks Inc
$207.88
+5.78%
TECHNOLOGY · Cap: $159.39B
QCOM
Qualcomm Incorporated
$219.09
+8.17%
TECHNOLOGY · Cap: $230.92B
Smart Verdict
WallStSmart Research — data-driven comparison
Qualcomm Incorporated generates 350% more annual revenue ($44.49B vs $9.89B). QCOM leads profitability with a 22.3% profit margin vs 13.0%. QCOM appears more attractively valued with a PEG of 0.82. QCOM earns a higher WallStSmart Score of 71/100 (B).
PANW
Buy56
out of 100
Grade: C
QCOM
Strong Buy71
out of 100
Grade: B
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
+8.0%
Fair Value
$220.25
Current Price
$219.09
$1.16 discount
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
Mega-cap, among the largest globally
Every $100 of equity generates 36 in profit
Earnings expanding 173.0% YoY
Safe zone — low bankruptcy risk
Keeps 22 of every $100 in revenue as profit
Growing faster than its price suggests
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 10.2x book value
Revenue declined 3.5%
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 : QCOM
The strongest argument for QCOM centers on Market Cap, Return on Equity, EPS Growth. Profitability is solid with margins at 22.3% and operating margin at 22.1%. PEG of 0.82 suggests the stock is reasonably priced for its growth.
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 : QCOM
The primary concerns for QCOM are Price/Book, Revenue Growth.
Key Dynamics to Monitor
PANW profiles as a value stock while QCOM is a declining play — different risk/reward profiles.
QCOM carries more volatility with a beta of 1.49 — expect wider price swings.
PANW is growing revenue faster at 14.9% — sustainability is the question.
QCOM generates stronger free cash flow (1.9B), providing more financial flexibility.
Bottom Line
QCOM scores higher overall (71/100 vs 56/100), backed by strong 22.3% margins. PANW offers better value entry with a 56.7% margin of safety. Both earn "Strong 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.
Qualcomm Incorporated
TECHNOLOGY · SEMICONDUCTORS · USA
Qualcomm is an American multinational corporation headquartered in San Diego, California, and incorporated in Delaware. It creates semiconductors, software, and services related to wireless technology. It owns patents critical to the 5G, 4G, CDMA2000, TD-SCDMA and WCDMA mobile communications standards.
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