PANW

$154.77

Public overview and default valuation.

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Valuation Details
Default assumptions: 10Y forecast, 9% market return, 2.5% terminal growth, 10.00% trendline growth.
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$183.91

With 20% Margin of Safety (MoS):

$147.13
-4.94% downside
Capital Efficiency
Average Quarterly ROIC
6.35%
Cost of Capital (estimated)10%
Value StatusUnderperforming Capital

The company is earning below its required return. This may indicate inefficient use of capital or excess cash that isn't being reinvested.

Complete historical ROIC is available with
.
Fundamental Score
58
NeutralWeighted across 6 signals
DCF Discount
4.9% premium to price
42
FCF Yield
3.8% trailing FCF yield
45
ROIC vs WACC
ROIC 6.4% vs WACC 10.0% (0.6x)
32
Net Debt / FCF
Net cash position
100
Buybacks
Share count flat
50
FCF CAGR (5Y)
26.3% 5Y FCF CAGR
100
Strengths: Net Debt / FCF, FCF CAGR (5Y). Concerns: ROIC vs WACC.
Narrative Score
80
Strong
Weighted across 5 recent drivers · Last 30 daysVs 6-Month Baseline: High (91th pct)
Trend: Improving upConfidence: 95%Updated: 3h ago
Sources: 154 (News 126 · Analyst 28)
Drivers
80 regulatory scrutiny+3.7
46 news sentiment+1.3
Analyst upgrades+0.0
Analyst downgrades-0.0
26 analyst reiterations0.0
Other Metrics
P/E94.1
Profit Margin11.7%
Owner Earnings$1.51b
One Dollar Premise0.00%
Debt/Equity1.99
Current Ratio0.90
PEG-32.358
Free Cash Flow (in millions)
20092010201120122013201420152016201720182019202020212022202320242025
-$12-$1$45$92$137$125$384$731$1,032$1,149$1,187$1,250$1,619$2,178$2,924$3,414$4,017
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. provides cybersecurity solutions worldwide. The company offers firewall appliances and software; Panorama, a security management solution for the control of firewall appliances and software deployed on an end-customer's network and instances in public or private cloud environments, as a virtual or a physical appliance; and virtual system upgrades, which are available as extensions to the virtual system capacity that ships with physical appliances. It also provides subscription services covering the areas of threat prevention, malware and persistent threat, uniform resource locator filtering, laptop and mobile device protection, and firewall; and DNS security, Internet of Things security, SaaS security API, and SaaS security inline, as well as threat intelligence, and data loss prevention. In addition, the company offers cloud security, secure access, security analytics and automation, and threat intelligence and cyber security consulting; 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. Palo Alto Networks, Inc. sells its products and services through its channel partners, as well as directly to medium to large 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.

Last updated: Feb 06, 2026
Data sources: Financial Modeling Prep
This valuation is based on assumptions and publicly available data. It is not financial advice or a recommendation to buy or sell any security. Always do your own research before making investment decisions.