Palo Alto Networks Inc (PANW)vsSemtech Corporation (SMTC)
PANW
Palo Alto Networks Inc
$183.68
-0.16%
TECHNOLOGY · Cap: $146.86B
SMTC
Semtech Corporation
$119.19
+5.50%
TECHNOLOGY · Cap: $10.04B
Smart Verdict
WallStSmart Research — data-driven comparison
Palo Alto Networks Inc generates 842% more annual revenue ($9.89B vs $1.05B). PANW leads profitability with a 13.0% profit margin vs -3.9%. SMTC appears more attractively valued with a PEG of 1.21. PANW earns a higher WallStSmart Score of 56/100 (C).
PANW
Buy56
out of 100
Grade: C
SMTC
Avoid33
out of 100
Grade: F
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+59.5%
Fair Value
$454.04
Current Price
$183.68
$270.36 discount
Margin of Safety
-69.6%
Fair Value
$52.21
Current Price
$119.19
$66.98 premium
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
No standout strengths identified
Areas to Watch
Trading at 13.7x book value
Weak financial health signals
Expensive relative to growth rate
Premium valuation, high expectations priced in
Trading at 20.1x book value
ROE of -7.4% — below average capital efficiency
Earnings declined 32.7%
Distress zone — elevated risk
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 : SMTC
PEG of 1.21 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 101.2x leaves little room for execution misses.
Bear Case : SMTC
The primary concerns for SMTC are Price/Book, Return on Equity, EPS Growth.
Key Dynamics to Monitor
PANW profiles as a value stock while SMTC is a turnaround play — different risk/reward profiles.
SMTC carries more volatility with a beta of 2.06 — 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
PANW scores higher overall (56/100 vs 33/100) and 14.9% revenue growth. Both earn "Buy" and "Avoid" 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.
Semtech Corporation
TECHNOLOGY · SEMICONDUCTORS · USA
Semtech Corporation designs, develops, manufactures, and markets mixed-signal and analog semiconductor products and advanced algorithms. The company is headquartered in Camarillo, California.
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