Palo Alto Networks, Inc.

SWX:PANW Stock Report

Market Cap: CHF 216.0b

Palo Alto Networks Valuation

Is PANW undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

  • Below Future Cash Flow Value

  • Significantly Below Future Cash Flow Value

  • Price-To-Sales vs Peers

  • Price-To-Sales vs Industry

  • Price-To-Sales vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of PANW when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Ultimate guide to DCF valuation for stock investing

Learn how to determine fair value like the best investors in the world.

Below Future Cash Flow Value: PANW (CHF265.35) is trading below our estimate of future cash flow value (CHF291.87)

Significantly Below Future Cash Flow Value: PANW is trading below future cash flow value, but not by a significant amount.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for PANW?

Key metric: As PANW is barely profitable we use its Price-To-Sales Ratio for relative valuation analysis.

The above table shows the Price to Sales ratio for PANW. This is calculated by dividing PANW's market cap by their current revenue.
What is PANW's PS Ratio?
PS Ratio24.9x
SalesUS$10.61b
Market CapUS$263.89b

Price to Sales Ratio vs Peers

How does PANW's PS Ratio compare to its peers?

The above table shows the PS ratio for PANW vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PSEstimated GrowthMarket Cap
Peer Average16x
ORCL Oracle
4.9x24.65%US$331.2b
CRWD CrowdStrike Holdings
36.6x16.87%US$186.6b
FTNT Fortinet
15.7x10.15%US$111.6b
NOW ServiceNow
6.9x16.02%US$102.1b
PANW Palo Alto Networks
24.9x15.35%CHF 263.9b

Price-To-Sales vs Peers: PANW is expensive based on its Price-To-Sales Ratio (24.9x) compared to the peer average (16x).

Historical Price to Sales Ratio

Historical Price to Sales Ratio compares a stock's price to its sales over time. Higher ratios indicate that investors are willing to pay more for the stock.

Fetching historical data

Price to Sales Ratio vs Industry

How does PANW's PS Ratio compare vs other companies in the European Software Industry?

45 CompaniesPrice / SalesEstimated GrowthMarket Cap
PANW 24.9xIndustry Avg. 2.3xNo. of Companies59PS0246810+
45 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Sales vs Industry: PANW is expensive based on its Price-To-Sales Ratio (24.9x) compared to the European Software industry average (2.3x).

Price to Sales Ratio vs Fair Ratio

What is PANW's PS Ratio compared to its Fair PS Ratio? This is the expected PS Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

PANW PS Ratio vs Fair Ratio.
Fair Ratio
Current PS Ratio24.9x
Fair PS Ration/a

Price-To-Sales vs Fair Ratio: Insufficient data to calculate PANW's Price-To-Sales Fair Ratio for valuation analysis.

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst PANW forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentCHF 265.35
CHF 275.54
+3.84%
17.46%CHF 354.34CHF 132.85n/a50
Jul ’27CHF 286.85
CHF 257.64
-10.18%
15.88%CHF 350.45CHF 131.39n/a50
Jun ’27CHF 229.81
CHF 185.67
-19.21%
19.04%CHF 251.72CHF 89.67n/a48
May ’27CHF 140.06
CHF 161.82
+15.54%
12.77%CHF 208.03CHF 89.49n/a50
Apr ’27CHF 126.06
CHF 165.38
+31.19%
12.47%CHF 211.89CHF 91.15n/a49
Mar ’27CHF 113.63
CHF 161.41
+42.05%
12.85%CHF 204.83CHF 88.12n/a47
Feb ’27CHF 137.66
CHF 175.10
+27.19%
10.69%CHF 204.85CHF 101.26n/a48
Jan ’27CHF 148.74
CHF 179.22
+20.49%
11.77%CHF 202.84CHF 104.20n/a49
Dec ’26CHF 150.49
CHF 181.24
+20.44%
11.74%CHF 205.92CHF 105.79n/a48
Nov ’26n/a
CHF 173.30
0%
11.30%CHF 198.85CHF 104.20n/a48
Oct ’26n/a
CHF 171.46
0%
10.95%CHF 195.39CHF 104.48n/a48
Sep ’26n/a
CHF 171.75
0%
10.86%CHF 192.82CHF 105.25n/a47
Aug ’26n/a
CHF 171.20
0%
11.15%CHF 189.20CHF 99.03n/a47
Jul ’26CHF 160.96
CHF 168.10
+4.44%
10.91%CHF 186.21CHF 97.46CHF 286.8550
Jun ’26CHF 154.70
CHF 174.34
+12.69%
10.90%CHF 193.34CHF 101.20CHF 229.8149
May ’26CHF 150.73
CHF 174.35
+15.67%
10.98%CHF 193.94CHF 101.51CHF 140.0647
Apr ’26n/a
CHF 188.42
0%
10.97%CHF 212.13CHF 108.72CHF 126.0649
Mar ’26CHF 167.56
CHF 192.45
+14.85%
11.11%CHF 215.82CHF 110.61CHF 113.6348
Feb ’26CHF 175.21
CHF 182.72
+4.29%
14.00%CHF 217.01CHF 101.72CHF 137.6649
Jan ’26CHF 168.82
CHF 185.62
+9.95%
12.14%CHF 217.77CHF 102.08CHF 148.7449
Dec ’25CHF 170.75
CHF 180.75
+5.86%
9.97%CHF 204.44CHF 121.50CHF 150.4949
Nov ’25CHF 159.75
CHF 165.97
+3.89%
8.73%CHF 194.28CHF 119.16n/a50
Oct ’25CHF 142.47
CHF 159.44
+11.91%
7.78%CHF 176.54CHF 116.01n/a48
Sep ’25CHF 147.60
CHF 160.44
+8.69%
6.83%CHF 176.18CHF 128.75n/a48
Aug ’25CHF 140.47
CHF 153.03
+8.94%
8.20%CHF 173.12CHF 121.54n/a48
Jul ’25CHF 153.23
CHF 154.18
+0.62%
7.94%CHF 172.93CHF 123.52CHF 160.9648
CHF 275.93
Fair Value
3.8% undervalued intrinsic discount
50
Number of Analysts

Analyst Forecast: Target price is less than 20% higher than the current share price.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2026/07/27 09:00
End of Day Share Price 2026/07/24 00:00
Earnings2026/04/30
Annual Earnings2025/07/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Palo Alto Networks, Inc. is covered by 75 analysts. 51 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Adam ShepherdArete Research Services LLP
Ellie BagshawArete Research Services LLP
Joseph BonnerArgus Research Company