WallStSmart

Palo Alto Networks Inc (PANW)vsVeriSign Inc (VRSN)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Palo Alto Networks Inc generates 488% more annual revenue ($9.89B vs $1.68B). VRSN leads profitability with a 50.0% profit margin vs 13.0%. VRSN appears more attractively valued with a PEG of 3.38. PANW earns a higher WallStSmart Score of 57/100 (C).

PANW

Buy

57

out of 100

Grade: C

Growth: 8.0Profit: 6.0Value: 4.7Quality: 4.5
Piotroski: 1/9Altman Z: 1.02

VRSN

Buy

52

out of 100

Grade: C-

Growth: 6.0Profit: 8.5Value: 3.7Quality: 5.5
Piotroski: 6/9Altman Z: -8.96
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

PANWUndervalued (+39.7%)

Margin of Safety

+39.7%

Fair Value

$441.96

Current Price

$272.05

$169.91 discount

UndervaluedFair: $441.96Overvalued

Intrinsic value data unavailable for VRSN.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

PANW3 strengths · Avg: 10.0/10
Market CapQuality
$241.01B10/10

Mega-cap, among the largest globally

EPS GrowthGrowth
60.5%10/10

Earnings expanding 60.5% YoY

Debt/EquityHealth
0.0710/10

Conservative balance sheet, low leverage

VRSN3 strengths · Avg: 10.0/10
Profit MarginProfitability
50.0%10/10

Keeps 50 of every $100 in revenue as profit

Operating MarginProfitability
68.4%10/10

Strong operational efficiency at 68.4%

Debt/EquityHealth
-0.8110/10

Conservative balance sheet, low leverage

Areas to Watch

PANW4 concerns · Avg: 2.5/10
Return on EquityProfitability
3.0%3/10

ROE of 3.0% — below average capital efficiency

Piotroski F-ScoreQuality
1/93/10

Weak financial health signals

PEG RatioValuation
5.042/10

Expensive relative to growth rate

P/E RatioValuation
256.2x2/10

Premium valuation, high expectations priced in

VRSN4 concerns · Avg: 2.8/10
P/E RatioValuation
31.0x4/10

Premium valuation, high expectations priced in

Return on EquityProfitability
0.0%3/10

ROE of 0.0% — below average capital efficiency

PEG RatioValuation
3.382/10

Expensive relative to growth rate

Altman Z-ScoreHealth
-8.962/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : PANW

The strongest argument for PANW centers on Market Cap, EPS Growth, Debt/Equity. Revenue growth of 14.9% demonstrates continued momentum.

Bull Case : VRSN

The strongest argument for VRSN centers on Profit Margin, Operating Margin, Debt/Equity. Profitability is solid with margins at 50.0% and operating margin at 68.4%.

Bear Case : PANW

The primary concerns for PANW are Return on Equity, Piotroski F-Score, PEG Ratio. A P/E of 256.2x leaves little room for execution misses.

Bear Case : VRSN

The primary concerns for VRSN are P/E Ratio, Return on Equity, PEG Ratio.

Key Dynamics to Monitor

PANW profiles as a value stock while VRSN is a mature play — different risk/reward profiles.

PANW carries more volatility with a beta of 0.77 — expect wider price swings.

PANW is growing revenue faster at 14.9% — sustainability is the question.

PANW generates stronger free cash flow (788M), providing more financial flexibility.

Bottom Line

PANW scores higher overall (57/100 vs 52/100) and 14.9% revenue growth. Both earn "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.

VeriSign Inc

TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA

Verisign Inc. is an American company based in Reston, Virginia, United States that operates a diverse array of network infrastructure, including two of the Internet's thirteen root nameservers. Verisign also offers a range of security services, including managed DNS, distributed denial-of-service (DDoS) attack mitigation and cyber-threat reporting.

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