WallStSmart

Palo Alto Networks Inc (PANW)vsSoundHound AI Inc (SOUN)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Palo Alto Networks Inc generates 5757% more annual revenue ($9.89B vs $168.92M). PANW leads profitability with a 13.0% profit margin vs -8.3%. PANW earns a higher WallStSmart Score of 56/100 (C).

PANW

Buy

56

out of 100

Grade: C

Growth: 8.0Profit: 7.0Value: 4.7Quality: 5.0
Piotroski: 1/9Altman Z: 1.02

SOUN

Avoid

27

out of 100

Grade: F

Growth: 8.0Profit: 2.0Value: 5.3Quality: 6.5
Piotroski: 2/9Altman Z: -1.43
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

PANWUndervalued (+59.5%)

Margin of Safety

+59.5%

Fair Value

$455.52

Current Price

$184.56

$270.96 discount

UndervaluedFair: $455.52Overvalued
SOUNUndervalued (+13.5%)

Margin of Safety

+13.5%

Fair Value

$9.20

Current Price

$9.56

$0.36 discount

UndervaluedFair: $9.20Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

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
$146.86B9/10

Large-cap with strong market position

SOUN2 strengths · Avg: 10.0/10
Revenue GrowthGrowth
59.4%10/10

Revenue surging 59.4% year-over-year

Debt/EquityHealth
0.0110/10

Conservative balance sheet, low leverage

Areas to Watch

PANW4 concerns · Avg: 2.8/10
Price/BookValuation
13.8x4/10

Trading at 13.8x book value

Piotroski F-ScoreQuality
1/93/10

Weak financial health signals

PEG RatioValuation
3.042/10

Expensive relative to growth rate

P/E RatioValuation
101.2x2/10

Premium valuation, high expectations priced in

SOUN4 concerns · Avg: 3.3/10
Price/BookValuation
8.7x4/10

Trading at 8.7x book value

EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

Return on EquityProfitability
-4.3%2/10

ROE of -4.3% — below average capital efficiency

Comparative Analysis Report

WallStSmart Research

Bull 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 : SOUN

The strongest argument for SOUN centers on Revenue Growth, Debt/Equity. Revenue growth of 59.4% demonstrates continued momentum.

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 : SOUN

The primary concerns for SOUN are Price/Book, EPS Growth, Piotroski F-Score.

Key Dynamics to Monitor

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

SOUN carries more volatility with a beta of 2.97 — expect wider price swings.

SOUN is growing revenue faster at 59.4% — sustainability is the question.

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

Bottom Line

PANW scores higher overall (56/100 vs 27/100) 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.

SoundHound AI Inc

TECHNOLOGY · SOFTWARE - APPLICATION · USA

SoundHound AI, Inc. develops an independent voice artificial intelligence (AI) platform that enables businesses in all industries to deliver high-quality conversational experiences to their customers. The company is headquartered in Santa Clara, California.

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