WallStSmart

Palo Alto Networks Inc (PANW)vsSkyworks Solutions Inc (SWKS)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Palo Alto Networks Inc generates 144% more annual revenue ($9.89B vs $4.05B). PANW leads profitability with a 13.0% profit margin vs 9.7%. SWKS appears more attractively valued with a PEG of 1.74. 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

SWKS

Hold

47

out of 100

Grade: D+

Growth: 2.0Profit: 5.5Value: 6.0Quality: 7.3
Piotroski: 4/9Altman Z: 3.61
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

PANWUndervalued (+60.8%)

Margin of Safety

+60.8%

Fair Value

$457.02

Current Price

$179.32

$277.70 discount

UndervaluedFair: $457.02Overvalued
SWKSUndervalued (+28.0%)

Margin of Safety

+28.0%

Fair Value

$88.40

Current Price

$70.17

$18.23 discount

UndervaluedFair: $88.40Overvalued

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
$145.43B9/10

Large-cap with strong market position

SWKS2 strengths · Avg: 9.0/10
Altman Z-ScoreHealth
3.6110/10

Safe zone — low bankruptcy risk

Price/BookValuation
1.8x8/10

Reasonable price relative to book value

Areas to Watch

PANW4 concerns · Avg: 2.8/10
Price/BookValuation
13.4x4/10

Trading at 13.4x book value

Piotroski F-ScoreQuality
1/93/10

Weak financial health signals

PEG RatioValuation
3.052/10

Expensive relative to growth rate

P/E RatioValuation
100.2x2/10

Premium valuation, high expectations priced in

SWKS4 concerns · Avg: 2.8/10
PEG RatioValuation
1.744/10

Expensive relative to growth rate

Return on EquityProfitability
6.5%3/10

ROE of 6.5% — below average capital efficiency

Revenue GrowthGrowth
-3.1%2/10

Revenue declined 3.1%

EPS GrowthGrowth
-47.0%2/10

Earnings declined 47.0%

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 : SWKS

The strongest argument for SWKS centers on Altman Z-Score, Price/Book.

Bear Case : PANW

The primary concerns for PANW are Price/Book, Piotroski F-Score, PEG Ratio. A P/E of 100.2x leaves little room for execution misses.

Bear Case : SWKS

The primary concerns for SWKS are PEG Ratio, Return on Equity, Revenue Growth.

Key Dynamics to Monitor

SWKS carries more volatility with a beta of 1.30 — 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.

Monitor SOFTWARE - INFRASTRUCTURE industry trends, competitive dynamics, and regulatory changes.

Bottom Line

PANW scores higher overall (56/100 vs 47/100) and 14.9% revenue growth. SWKS offers better value entry with a 28.0% margin of safety. 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.

Skyworks Solutions Inc

TECHNOLOGY · SEMICONDUCTORS · USA

Skyworks Solutions, Inc. is an American semiconductor company headquartered in Irvine, California, United States. Skyworks manufactures semiconductors for use in Radio Frequency (RF) and mobile communications systems.

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