Palo Alto Networks, Inc.Opportunity Rank #176(PANW) Intrinsic Value & DCF Analysis (2026)
Current Price
$358.68
Last updated: Jul 20, 2026
Price vs Intrinsic Value
Fundamental Score
Weighted across 6 signals
Narrative Score
No change vs previous
Trend Score
As of 2026-07-17
The intrinsic value of Palo Alto Networks, Inc. (PANW) is estimated at $127.81 per share based on a 10-year discounted cash flow (DCF) analysis. At the current price of $358.68, the stock appears overvalued relative to its projected cash flow fundamentals. This estimate assumes a 7.57% long-term growth rate and an 8.66% discount rate, reflecting expected future free cash flow and cost of capital.
The intrinsic value of Palo Alto Networks, Inc. (PANW) is estimated at $127.81 per share based on a 10-year discounted cash flow (DCF) analysis. At the current price of $358.68, the stock appears overvalued relative to its projected cash flow fundamentals. This estimate assumes a 7.57% long-term growth rate and an 8.66% discount rate, reflecting expected future free cash flow and cost of capital.Valuation Details
Capital Efficiency
The company is earning below its required return. This may indicate inefficient use of capital or excess cash that isn't being reinvested.
Fundamental Details
Narrative Details
Trend Details
Investment Coach
- Price moves to at least a mid-teens discount to fair value.
- Sustained improvement in ROIC versus WACC spread.
- Meaningful shifts in the narrative score direction.
Free Cash Flow (in millions)
How Intrinziq Estimates Fair Value
Intrinziq estimates Palo Alto Networks, Inc.'s intrinsic value using a discounted cash flow (DCF) model based on free cash flow trends and a market-based discount rate. The model projects future cash flows over ten years and discounts them using a market return assumption to estimate fair value.
Palo Alto Networks, Inc.Technology
Palo Alto Networks, Inc. is a global leader in providing advanced cybersecurity solutions. The company's core product line includes both hardware and software-based firewalls. It also offers Panorama, a sophisticated security management platform designed for centralized control of these firewall deployments, whether they are physical appliances, virtual instances, or situated in public or private cloud environments. Additionally, the firm provides virtual system upgrades to enhance the capacity of its physical firewall units. Complementing its core products, Palo Alto Networks delivers an extensive range of subscription services. These encompass robust threat prevention, protection against malware and advanced persistent threats, URL filtering, and security for both laptop and mobile devices. Further specialized subscriptions include DNS security, Internet of Things (IoT) security, SaaS security (via API and inline methods), threat intelligence, and data loss prevention. Beyond its product and subscription offerings, the company extends various expert services, such as cloud security, secure access solutions, security analytics and automation tools, and specialized cybersecurity consulting, often integrated with threat intelligence. Its professional services cover critical areas like architectural design and planning, system implementation, configuration, and seamless firewall migration. Educational resources, including certifications and both online and in-classroom training, are also available, alongside comprehensive support services. Palo Alto Networks distributes its security solutions both directly and through an extensive network of channel partners. Its diverse clientele primarily comprises medium to large-scale enterprises, service providers, and governmental organizations across a wide array of industries. These sectors include education, energy, financial services, healthcare, internet and media, manufacturing, the broader public sector, and telecommunications. Established in 2005, Palo Alto Networks maintains its corporate headquarters in Santa Clara, California.