FTNT vs. PANW: Fortinet vs. Palo Alto Networks Stock Comparison

November 11, 2026

How do Fortinet (FTNT) and Palo Alto Networks (PANW) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.

Company Profile

Fortinet (FTNT) and Palo Alto Networks (PANW) are both classified in the Systems Software sub-industry within the broader Software industry, placing them in the closest GICS peer bucket.

Company profile comparison for Fortinet (FTNT) and Palo Alto Networks (PANW)
Profile Item	FTNT	PANW
Name	Fortinet, Inc.	Palo Alto Networks, Inc.
Country/Region	United States	United States
GICS Sector	Information Technology	Information Technology
GICS Industry Group	Software & Services	Software & Services
GICS Industry	Software	Software
GICS Sub-Industry	Systems Software	Systems Software
Market Capitalization	87.31 billion USD	256.86 billion USD
Currency	USD	USD
Exchange	Nasdaq	Nasdaq
Listing Date	November 18, 2009	July 20, 2012
Security Type	Common Stock	Common Stock

Price Performance

Cumulative Growth

FTNT

PANW

GSPC

Fortinet (FTNT) vs. Palo Alto Networks (PANW), with S&P 500 (GSPC) for reference: Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for Fortinet (FTNT) and Palo Alto Networks (PANW). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for Fortinet (FTNT) and Palo Alto Networks (PANW). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for Fortinet (FTNT) and Palo Alto Networks (PANW)
Metric	FTNT	PANW
Total Return (1Y)	49.91%	53.99%
Total Return (3Y, Annualized)	35.15%	39.16%
Total Return (5Y, Annualized)	11.92%	30.80%

Risk Profile

Drawdown History

FTNT

PANW

GSPC

Fortinet (FTNT) vs. Palo Alto Networks (PANW), with S&P 500 (GSPC) for reference: Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for Fortinet (FTNT) and Palo Alto Networks (PANW). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for Fortinet (FTNT) and Palo Alto Networks (PANW)
Metric	FTNT	PANW
Volatility (1Y, Annualized)	49.03%	51.34%
Beta (5Y)	1.07	1.00
Max Drawdown (5Y)	-38.98%	-36.01%
Avg. Volume (3M)	4.68M	6.03M

Risk-Adjusted Performance

Risk-Return Positioning

FTNT and PANW are plotted by 1-year volatility (risk) and 1-year return. The dashed Capital Allocation Line runs from the risk-free rate through the shared industry median.

Risk-Adjusted Metrics

Risk-adjusted metrics for Fortinet (FTNT) and Palo Alto Networks (PANW)
Metric	FTNT	PANW
Sharpe Ratio (1Y)	0.93	0.97
Sortino Ratio (1Y)	1.37	1.49

Profitability

ROE (TTM)

Fortinet (FTNT) at 153.08% clears its industry range for ROE, a sharper capital-efficiency signal than Palo Alto Networks (PANW) at 1.74%, which is closer to a typical peer reading.

FTNT

Software & Services industry group

153.08%

FTNT: 153.08%
Max: 53.85%
Q3: 17.90%
Median: 6.59%
Q1: -9.59%
Min: -50.52%

PANW

Software & Services industry group

1.74%

Max: 53.85%
Q3: 17.90%
Median: 6.59%
PANW: 1.74%
Q1: -9.59%
Min: -50.52%

Fortinet (FTNT) vs. Palo Alto Networks (PANW): A comparison of their ROE against the Software & Services industry group benchmark.

Net Margin (TTM)

Fortinet (FTNT) at 28.96% retains a top-quartile share of revenue as profit, ahead of Palo Alto Networks (PANW) at 2.67%, which keeps about the industry-typical share.

FTNT

Software & Services industry group

28.96%

Max: 41.17%
FTNT: 28.96%
Q3: 15.28%
Median: 4.63%
Q1: -5.42%
Min: -33.17%

PANW

Software & Services industry group

2.67%

Max: 41.17%
Q3: 15.28%
Median: 4.63%
PANW: 2.67%
Q1: -5.42%
Min: -33.17%

Fortinet (FTNT) vs. Palo Alto Networks (PANW): A comparison of their net margin against the Software & Services industry group benchmark.

Operating Margin (TTM)

Fortinet (FTNT) at 33.82% operates in the top operating margin quartile, ahead of Palo Alto Networks (PANW) at 5.40%, which runs around its industry’s norm.

FTNT

Software & Services industry group

33.82%

Max: 46.89%
FTNT: 33.82%
Q3: 17.64%
Median: 8.73%
Q1: -2.13%
Min: -30.45%

PANW

Software & Services industry group

5.40%

Max: 46.89%
Q3: 17.64%
Median: 8.73%
PANW: 5.40%
Q1: -2.13%
Min: -30.45%

Fortinet (FTNT) vs. Palo Alto Networks (PANW): A comparison of their operating margin against the Software & Services industry group benchmark.

Profitability Metrics

Profitability metrics for Fortinet (FTNT) and Palo Alto Networks (PANW)
Metric	FTNT	PANW
ROE (TTM)	153.08%	1.74%
ROA (TTM)	15.22%	1.40%
Net Margin (TTM)	28.96%	2.67%
Operating Margin (TTM)	33.82%	5.40%
Gross Margin (TTM)	79.75%	70.38%

Growth

Revenue Growth

Both Fortinet (FTNT) at 14.17% and Palo Alto Networks (PANW) at 24.50% land near their industries' usual revenue growth ranges, so top-line momentum looks broadly in line with peers on both sides.

Fortinet (FTNT) vs. Palo Alto Networks (PANW): A comparison of their Revenue Growth across different time periods.

EPS Growth

Fortinet (FTNT) at 7.08% is around its peer norm for EPS growth, while Palo Alto Networks (PANW) at -75.00% drops into the bottom quartile, signaling weaker earnings momentum.

Fortinet (FTNT) vs. Palo Alto Networks (PANW): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for Fortinet (FTNT) and Palo Alto Networks (PANW)
Metric	FTNT	PANW
Revenue Growth (YoY)	14.17%	24.50%
Revenue Growth (3Y CAGR)	15.46%	18.54%
EPS Growth (YoY)	7.08%	-75.00%
EPS Growth (3Y CAGR)	31.68%	-14.50%

Financial Strength

Current Ratio (MRQ)

Fortinet (FTNT) at 1.40 keeps current ratio within its industry’s typical mid-range, while Palo Alto Networks (PANW) at 0.87 runs in the tighter-liquidity quartile — a thinner cushion against current liabilities for PANW.

FTNT

Software & Services industry group

1.40

Max: 5.11
Q3: 2.77
Median: 1.67
FTNT: 1.40
Q1: 1.01
Min: 0.03

PANW

Software & Services industry group

0.87

Max: 5.11
Q3: 2.77
Median: 1.67
Q1: 1.01
PANW: 0.87
Min: 0.03

Fortinet (FTNT) vs. Palo Alto Networks (PANW): A comparison of their current ratio against the Software & Services industry group benchmark.

Debt / Equity (MRQ)

Both Fortinet (FTNT) at 0.25 and Palo Alto Networks (PANW) at 0.09 fund their balance sheets with roughly industry-typical debt-to-equity mixes.

FTNT

Software & Services industry group

0.25

Max: 2.52
Q3: 1.13
Median: 0.40
FTNT: 0.25
Q1: 0.07
Min: 0.00

PANW

Software & Services industry group

0.09

Max: 2.52
Q3: 1.13
Median: 0.40
PANW: 0.09
Q1: 0.07
Min: 0.00

Fortinet (FTNT) vs. Palo Alto Networks (PANW): A comparison of their debt-to-equity ratio against the Software & Services industry group benchmark.

Financial Strength Metrics

Financial strength metrics for Fortinet (FTNT) and Palo Alto Networks (PANW)
Metric	FTNT	PANW
Current Ratio (MRQ)	1.40	0.87
Debt / Equity (MRQ)	0.25	0.09
Net Debt / EBITDA	-1.54	-0.32

Dividends

Dividend Yield (TTM)

Neither Fortinet (FTNT) nor Palo Alto Networks (PANW) pays a dividend this period — they may reinvest, use buybacks, or simply not return cash through dividends.

FTNT

Software & Services industry group

0.00%

FTNT: 0.00%
Max: 0.00%
Q3: 0.00%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

PANW

Software & Services industry group

0.00%

PANW: 0.00%
Max: 0.00%
Q3: 0.00%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

Fortinet (FTNT) vs. Palo Alto Networks (PANW): A comparison of their dividend yield against the Software & Services industry group benchmark.

Dividend Payout Ratio (TTM)

Neither Fortinet (FTNT) nor Palo Alto Networks (PANW) pays a dividend this period — they may reinvest, use buybacks, or simply not return cash through dividends.

FTNT

Software & Services industry group

0.00%

FTNT: 0.00%
Max: 0.00%
Q3: 0.00%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

PANW

Software & Services industry group

0.00%

PANW: 0.00%
Max: 0.00%
Q3: 0.00%
Median: 0.00%
Q1: 0.00%
Min: 0.00%

Fortinet (FTNT) vs. Palo Alto Networks (PANW): A comparison of their payout ratio against the Software & Services industry group benchmark.

Dividend Metrics

Dividend metrics for Fortinet (FTNT) and Palo Alto Networks (PANW)
Metric	FTNT	PANW
Dividend Yield (TTM)	0.00%	0.00%
Dividend Payout Ratio (TTM)	0.00%	0.00%

Valuation

P/E Ratio (TTM)

Fortinet (FTNT) at 38.84 is near its industry’s usual P/E ratio, while Palo Alto Networks (PANW) at 784.60 sits above its peer range — an unusually expensive price for PANW’s trailing earnings.

FTNT

Software & Services industry group

38.84

Max: 112.94
Q3: 60.32
FTNT: 38.84
Median: 32.91
Q1: 18.77
Min: 6.69

PANW

Software & Services industry group

784.60

PANW: 784.60
Max: 112.94
Q3: 60.32
Median: 32.91
Q1: 18.77
Min: 6.69

Fortinet (FTNT) vs. Palo Alto Networks (PANW): A comparison of their P/E ratio against the Software & Services industry group benchmark.

P/S Ratio (TTM)

Both look expensive on sales: Fortinet (FTNT) at 11.08 sits in the upper P/S ratio quartile, and Palo Alto Networks (PANW) at 22.37 prices even higher, above its industry range.

FTNT

Software & Services industry group

11.08

Max: 17.91
FTNT: 11.08
Q3: 8.78
Median: 4.25
Q1: 2.23
Min: 0.02

PANW

Software & Services industry group

22.37

PANW: 22.37
Max: 17.91
Q3: 8.78
Median: 4.25
Q1: 2.23
Min: 0.02

Fortinet (FTNT) vs. Palo Alto Networks (PANW): A comparison of their P/S ratio against the Software & Services industry group benchmark.

P/B Ratio (MRQ)

Both look rich against book: Palo Alto Networks (PANW) at 9.30 sits in the upper P/B ratio quartile, and Fortinet (FTNT) at 38.85 prices even higher, above its industry range.

FTNT

Software & Services industry group

38.85

FTNT: 38.85
Max: 16.63
Q3: 8.50
Median: 4.30
Q1: 1.92
Min: -3.90

PANW

Software & Services industry group

9.30

Max: 16.63
PANW: 9.30
Q3: 8.50
Median: 4.30
Q1: 1.92
Min: -3.90

Fortinet (FTNT) vs. Palo Alto Networks (PANW): A comparison of their P/B ratio against the Software & Services industry group benchmark.

Valuation Metrics

Valuation metrics for Fortinet (FTNT) and Palo Alto Networks (PANW)
Metric	FTNT	PANW
P/E Ratio (TTM)	38.84	784.60
P/S Ratio (TTM)	11.08	22.37
P/B Ratio (MRQ)	38.85	9.30
Free Cash Flow Yield (TTM)	2.85%	1.65%