Fundamental analysis · SEC EDGAR · as of 31/07/2026
PANW · Nasdaq · Technology
Fundamental quality
62
out of 100
Palo Alto Networks Inc earns a fundamental-quality score of 62 out of 100, profiling it as a company of reasonable quality. Its score rests mainly on its financial strength (net debt -1.62× EBITDA). Its weakest area is its growth (revenue +22%/yr). Whether it's cheap or expensive depends on the current price, which you can compute in the tool.
Palo Alto Networks is one of the world's cybersecurity leaders. It protects companies from cyberattacks with firewalls, cloud security and AI-based tools. It increasingly sells by subscription, giving it recurring revenue.
EPS growth: -14.5% · Revenue growth: 22%
Net margin: 2.7% · ROE: 1.1% · ROIC: 1.8%
Net debt/EBITDA: -1.62x · FCF: 35.8%
Source: SEC EDGAR · as of 31/07/2026
The score combines growth, profitability and financial strength. Here its financial strength weighs in its favor, while its growth drags it down the most.
Percentile against the other 100 Technology companies in our coverage: how far it beats them on each metric (100 = best in sector).
Computed from the daily dataset scores. A high percentile places the company among the best in its sector on that metric; it is not a buy recommendation.
Key concepts
What do these metrics mean? Fundamental analysis · What is the P/E · What is EPS · What is ROE · Net & gross margin · Free cash flow
| Year | Revenue | Net income | Free cash flow | Net debt |
|---|---|---|---|---|
| 2021 | 4,256 | -499 | 1,387 | 1,352 |
| 2022 | 5,502 | -267 | 1,792 | 1,558 |
| 2023 | 6,893 | 440 | 2,631 | 856 |
| 2024 | 8,027 | 2,578 | 3,101 | -1,535 |
| 2025 | 9,221 | 1,134 | 3,469 | -2,269 |
| 2026 | 11,480 | 307 | 4,113 | -2,514 |
Between 2021 and 2026, revenue went from $4,256M to $11,480M (+170%) and net income went from -$499M to $307M (+162%). It has also reduced its net debt over the period.
Annual figures in millions of U.S. dollars ($M) per SEC filings. Net debt is total debt minus cash.
Latest results
Compared with the previous close (April 30, 2026), this is what moved in its accounts:
Automatic comparison between the two most recent periods filed with the SEC. One quarter doesn't make a trend: read it alongside the historical evolution above.
This company doesn't pay a dividend: it reinvests all its earnings back into the business.
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Is Palo Alto Networks Inc cheap or expensive?
That depends on the current price. Look it up, enter it in the tool and get the full valuation verdict (P/E against its sector).
Compute the valuation →Is Palo Alto Networks Inc a good company to invest in?
In terms of business quality, Palo Alto Networks Inc scores 62 out of 100 in our analysis, placing it as a company of reasonable quality. That said, this isn't a recommendation: whether it's a good investment also depends on its current price and your goals.
Is Palo Alto Networks Inc a profitable company?
Palo Alto Networks Inc is profitable, with a net margin of 2.7%, though a thin one.
Does Palo Alto Networks Inc have a lot of debt?
No. Palo Alto Networks Inc has a net cash position: more cash than debt.
Is Palo Alto Networks Inc growing?
Its revenue has grown 22% annualized in recent years, and without interruption since 2021.
Does Palo Alto Networks Inc generate cash?
Yes. It converts about 35.8% of its revenue into free cash flow, and has done so positively year after year.
The thresholds are general and the system doesn't judge qualitative factors. See the full methodology and use this analysis as a first filter, never as a final decision.
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Who's behind the methodology and model · how the score is computed
Data: see Palo Alto Networks Inc's filings on EDGAR
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