Palo Alto Networks Inc (PANW)vsRackspace Technology Inc (RXT)
PANW
Palo Alto Networks Inc
$330.65
+13.09%
TECHNOLOGY · Cap: $270.47B
RXT
Rackspace Technology Inc
$3.22
+2.88%
TECHNOLOGY · Cap: $813.04M
Smart Verdict
WallStSmart Research — data-driven comparison
Palo Alto Networks Inc generates 325% more annual revenue ($11.48B vs $2.70B). PANW leads profitability with a 2.7% profit margin vs -5.9%. PANW appears more attractively valued with a PEG of 1.73. PANW earns a higher WallStSmart Score of 51/100 (C-).
PANW
Buy51
out of 100
Grade: C-
RXT
Hold42
out of 100
Grade: D
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+34.1%
Fair Value
$501.81
Current Price
$330.65
$171.16 discount
Intrinsic value data unavailable for RXT.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Revenue surging 34.4% year-over-year
Earnings expanding 60.5% YoY
Conservative balance sheet, low leverage
Conservative balance sheet, low leverage
Areas to Watch
Expensive relative to growth rate
Trading at 9.8x book value
ROE of 1.1% — below average capital efficiency
2.7% margin — thin
0.6% revenue growth
0.0% earnings growth
Smaller company, higher risk/reward
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull Case : PANW
The strongest argument for PANW centers on Market Cap, Revenue Growth, EPS Growth. Revenue growth of 34.4% demonstrates continued momentum.
Bull Case : RXT
The strongest argument for RXT centers on Debt/Equity.
Bear Case : PANW
The primary concerns for PANW are PEG Ratio, Price/Book, Return on Equity. A P/E of 295.2x leaves little room for execution misses. Thin 2.7% margins leave little buffer for downturns.
Bear Case : RXT
The primary concerns for RXT are Revenue Growth, EPS Growth, Market Cap.
Key Dynamics to Monitor
PANW profiles as a hypergrowth stock while RXT is a turnaround play — different risk/reward profiles.
RXT carries more volatility with a beta of 3.06 — expect wider price swings.
PANW is growing revenue faster at 34.4% — sustainability is the question.
PANW generates stronger free cash flow (788M), providing more financial flexibility.
Bottom Line
PANW scores higher overall (51/100 vs 42/100) and 34.4% 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.
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.
Rackspace Technology Inc
TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA
Rackspace Technology, Inc. is a global multi-cloud technology services company. The company is headquartered in San Antonio, Texas.
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