Palo Alto Networks Inc (PANW) fair value: what the stock is really worth
As of Nov 11, 2026: fair value (intrinsic value) of Palo Alto Networks Inc stock $39.54, price $334, that is 88.2% below the price, quality 45 out of 100. Rating: strongly overvalued. Calculated from audited financials with 22 of our 26 valuation models and 37 quality factors, updated daily.
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Palo Alto Networks Inc
PANW · USFar too expensive (fair value 88% below the price) and weak company, but rising price: meets 1 of 3 rules.
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Price vs Fair Value
White line = price, green steps = our fair value per fiscal year. As of Nov 11, 2026.
How to read this chart
60‑month range $60.39 – $419.91 · fair‑value band $27.68 – $51.40 · the $334.47 price screens above the $39.54 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). As of Nov 11, 2026.
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Company profile
Palo Alto Networks, Inc. provides cybersecurity solutions in the Americas, Europe, the Middle East, Africa, the Asia Pacific, and Japan.
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It offers Prisma Access, a secure access service edge solution; Strata Cloud Manager, a network security management solution; and Prisma AIRS to protect customers' entire AI ecosystem.
It provides a comprehensive cloud native application protection platform; and Code to Cloud platform, as well as offers VM-Series and CN-Series virtual firewalls for inline network security on multi- and hybrid-cloud environments.
It provides security operation solutions through the Cortex platform that includes Cortex XSIAM, an AI-driven security operations platform; Cortex XDR to prevent, detect, and respond to cybersecurity attacks; and Cortex XSOAR for security orchestration, automation, and response; and Cortex Xpanse for attack surface management, as well as offers threat intelligence and advisory services under the Unit 42 name.
It provides subscription services covering the areas of threat prevention, malware and persistent threat, URL filtering, laptop and mobile device protection, DNS security, Internet of Things security, SaaS security API, and SaaS security inline; and threat intelligence, data loss prevention, services to resolve network disruptions, and sensitive data protection.
It offers professional services, including architecture design and planning, implementation, configuration, and firewall migration; education services, such as certifications, as well as online and in-classroom training; and support services.
It sells its products and services through its channel partners, as well as directly to enterprises, service providers, and government entities operating in various industries, including education, energy, financial services, government entities, healthcare, Internet and media, manufacturing, public sector, and telecommunications.
The company was incorporated in 2005 and is headquartered in Santa Clara, California.
Stock analysis
Palo Alto Networks Inc (PANW) currently trades at $334.47, while our model-based Fair Value estimate is $39.54, 88% below the price, so the stock looks overvalued today.
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Valuation
Bull case: the Growth DCF group reads highest at a median of $110.43 per share, and 0 of the 22 models we run sit above the $334.47 price.
Bear case: the Earnings-Based group reads lowest at $13.16, and 22 of the 22 models stay below the price. Data coverage for this calculation is low.
Scenario range: $27.68 (bear) to $51.40 (bull), the price of $334.47 sits above it. Bear and bull are the same models on cautious and optimistic assumptions, a range, not a price target.
Quality & growth
The Quality Score stands at 45/100 (below-average quality), in the Technology sector.
Mixed Growth: Revenue is growing, but margins or cash flow do not fully confirm the trend.
Palo Alto Networks Inc reported revenue of $11.5B in FY2026 versus $5.5B in FY2022, a compound +20.2%/yr. Reported net income was $307M in FY2026.
Key figures
Market cap $290B Mega · P/E ratio 815.8 · P/S ratio 25.3 · EPS (TTM) $0.4100 · Net margin 2.7% · Return on equity 1.7% · Return on assets (EBIT) 2.3% (5-year average) · Operating margin 5.4%.
Competitive moat
Our AI-assisted moat analysis scores the competitive advantage at 44 out of 100 (medium confidence).
What moves the price
The last reported earnings sit well below what analysts expect (earnings in transition, for example after write-downs or an earnings dip); whether the stock is cheap or expensive hinges on the expected recovery actually arriving. Read the fair value with that caveat.
The share trades about 20% below its 52-week high and 136% above its 52-week low, currently above its 200-day average.
For context, the median of 10 Technology peers we cover trades at −14% fair-value upside, at −88%, PANW screens richer than that median.
Fair Value models
All 22 models by family
Quality Score breakdown
It rates the business: profits, how they develop, real cash, balance sheet, investing and share count.
Insider trades
In the last 6 months, 8 officers or directors sold shares worth $67.9M and none bought.
- SaleWilliam D Jenkins JrPresident4× since Dec 26, 2025: 63,336 shares, avg. $335.68$21.3MNov 4, 202610b5-1 plan
- SaleAparna BawaDirector6× since Jun 10, 2026: 4,745 shares, avg. $330.84$1.6MOct 9, 2026
- SaleJosh D. PaulChief Accounting Officer10× since Dec 1, 2025: 8,900 shares, avg. $251.83$2.2MOct 1, 202610b5-1 plan
- SaleDipak GolechhaEVP, Chief Financial Officer4× since Dec 23, 2025: 42,500 shares, avg. $328.47$14.0MSep 24, 202610b5-1 plan
- SaleJames J GoetzDirector4× since Dec 8, 2025: 87,684 shares, avg. $247.95$21.7MSep 17, 2026
- SaleJohn P. KeyDirector3× since Apr 8, 2026: 11,572 shares, avg. $285.76$3.3MSep 14, 2026
- SaleHelle Thorning-SchmidtDirector700 shares at $346.85$242,795Jul 7, 2026
- SaleLee KlarichEVP Chief Product & Tech Ofcr, Director3× since Dec 3, 2025: 304,446 shares, avg. $205.35$62.5MMay 22, 202610b5-1 plan
- BuyNikesh AroraChief Executive Officer, Director68,085 shares at $146.87$10.0MMar 27, 2026
Plus 13 other filings such as grants, option exercises or tax withholding. They are not market purchases or sales.
Sales are often planned (taxes, diversification, 10b5-1 plans). Purchases with their own money are seen as the stronger sign. For information only: not part of the quality score or Fair Value.
Source: SEC Form 4, as of Nov 10, 2026. All filings at the SEC ↗
Revenue & earnings trend
Growth Forecast
PANW screens overvalued: fair value 88% below the price. Compare with Microsoft Corporation →
Recent news
- PANW vs. NET: Which Cybersecurity Stock Should You Buy Right Now?
- Citi Sees Powerful Upside for Palo Alto Network Stock
- Can Software Firewall Demand Boost PANW's Network Security Growth?
- Palo Alto Networks (PANW) Registers a Bigger Fall Than the Market: Important Facts to Note
Compare Palo Alto Networks Inc with another stock
Price, fair value, quality and upside side by side.
Peer GroupⓘHow this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.Software - Infrastructure · 410 stocks
Valuation Multiplesvs Software - Infrastructure median · lower = cheaper
Strength profile in five axes (Snowflake)
VALUE 0: the price sits above our fair-value range.
Context: sector, industry, market
- Nasdaq 100 Companies: all with fair value
- S&P 500 Companies: all with fair value
- Is the Information Technology sector expensive or cheap?
- P/E, EV/EBITDA and margins by industry (reference tables)
- EV/EBITDA by industry
- Dividend yield by industry
- PEG screener for stocks with fair value
- Undervalued stocks: US Stocks
- Valuation of the USA market
Values & ESG
Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.
Similar stocks
10 more Software - Infrastructure stocks, each showing price versus our Fair Value estimate.
| Stock | Price | Fair Value | vs Fair Value | Compare |
|---|---|---|---|---|
| Microsoft Corporation MSFT | $521.13 | $599.70 | +15% | vs PANW |
| Fortinet, Inc FTNT | $128.10 | $135.93 | +6% | vs PANW |
| Block, Inc XYZ | $85.72 | $76.43 | −11% | vs PANW |
| Oracle Corporation ORCL | $128.38 | $111.97 | −13% | vs PANW |
| NetApp, Inc NTAP | $183.12 | $156.80 | −14% | vs PANW |
| Okta, Inc OKTA | $182.25 | $142.12 | −22% | vs PANW |
| Synopsys, Inc SNPS | $462.12 | $288.23 | −38% | vs PANW |
| Zscaler, Inc ZS | $193.80 | $101.45 | −48% | vs PANW |
| Palantir Technologies Inc PLTR | $172.40 | $42.20 | −76% | vs PANW |
| CrowdStrike Holdings CRWD | $229.06 | $37.97 | −83% | vs PANW |
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