GWRE vs. PANW: Guidewire Software vs. Palo Alto Networks Stock Comparison
How do Guidewire Software (GWRE) 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
Guidewire Software (GWRE) and Palo Alto Networks (PANW) both belong to the Software industry, though GWRE is classified under Application Software while PANW falls under Systems Software.
| Profile Item | GWRE | PANW |
|---|---|---|
| Name | Guidewire Software 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 | Application Software | Systems Software |
| Market Capitalization | 13.34 billion USD | 256.86 billion USD |
| Currency | USD | USD |
| Exchange | NYSE | Nasdaq |
| Listing Date | January 25, 2012 | July 20, 2012 |
| Security Type | Common Stock | Common Stock |
Price Performance
Cumulative Growth
Trailing Returns
Calendar-Year Returns
Performance Metrics
| Metric | GWRE | PANW |
|---|---|---|
| Total Return (1Y) | -25.97% | 53.99% |
| Total Return (3Y, Annualized) | 21.68% | 39.16% |
| Total Return (5Y, Annualized) | 4.78% | 30.80% |
Risk Profile
Drawdown History
Return Distribution
Risk Metrics
| Metric | GWRE | PANW |
|---|---|---|
| Volatility (1Y, Annualized) | 62.03% | 51.34% |
| Beta (5Y) | 0.99 | 1.00 |
| Max Drawdown (5Y) | -60.79% | -36.01% |
| Avg. Volume (3M) | 1.29M | 6.03M |
Risk-Adjusted Performance
Risk-Return Positioning
Risk-Adjusted Metrics
| Metric | GWRE | PANW |
|---|---|---|
| Sharpe Ratio (1Y) | -0.49 | 0.97 |
| Sortino Ratio (1Y) | -0.68 | 1.49 |
Profitability
ROE (TTM)
Both Guidewire Software (GWRE) at 10.51% and Palo Alto Networks (PANW) at 1.74% land near their industries’ usual ROE ranges, so capital efficiency looks broadly in line with peers on both sides.
GWRE
Software & Services industry group
10.51%
- Max
- 53.85%
- Q3
- 17.90%
- GWRE
- 10.51%
- 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%
Net Margin (TTM)
Both Guidewire Software (GWRE) at 9.44% and Palo Alto Networks (PANW) at 2.67% keep about the typical share of revenue as profit for their industries — neither bottom line stands out from peers.
GWRE
Software & Services industry group
9.44%
- Max
- 41.17%
- Q3
- 15.28%
- GWRE
- 9.44%
- 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%
Operating Margin (TTM)
Both Guidewire Software (GWRE) at 15.16% and Palo Alto Networks (PANW) at 5.40% run core operations about as efficiently as their industries’ norm — neither stands out on operating profitability.
GWRE
Software & Services industry group
15.16%
- Max
- 46.89%
- Q3
- 17.64%
- GWRE
- 15.16%
- 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%
Profitability Metrics
| Metric | GWRE | PANW |
|---|---|---|
| ROE (TTM) | 10.51% | 1.74% |
| ROA (TTM) | 3.54% | 1.40% |
| Net Margin (TTM) | 9.44% | 2.67% |
| Operating Margin (TTM) | 15.16% | 5.40% |
| Gross Margin (TTM) | 64.21% | 70.38% |
Growth
Revenue Growth
Both Guidewire Software (GWRE) at 22.70% 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.
EPS Growth
Guidewire Software (GWRE) at 101.23% sits in the top EPS growth quartile, while Palo Alto Networks (PANW) at -75.00% is in the bottom quartile, showing a clear gap in earnings momentum.
Growth Metrics
| Metric | GWRE | PANW |
|---|---|---|
| Revenue Growth (YoY) | 22.70% | 24.50% |
| Revenue Growth (3Y CAGR) | 17.68% | 18.54% |
| EPS Growth (YoY) | 101.23% | -75.00% |
| EPS Growth (3Y CAGR) | -- | -14.50% |
Financial Strength
Current Ratio (MRQ)
Guidewire Software (GWRE) at 1.79 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.
GWRE
Software & Services industry group
1.79
- Max
- 5.11
- Q3
- 2.77
- GWRE
- 1.79
- Median
- 1.67
- 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
Debt / Equity (MRQ)
Both Guidewire Software (GWRE) at 0.60 and Palo Alto Networks (PANW) at 0.09 fund their balance sheets with roughly industry-typical debt-to-equity mixes.
GWRE
Software & Services industry group
0.60
- Max
- 2.52
- Q3
- 1.13
- GWRE
- 0.60
- Median
- 0.40
- 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
Financial Strength Metrics
| Metric | GWRE | PANW |
|---|---|---|
| Current Ratio (MRQ) | 1.79 | 0.87 |
| Debt / Equity (MRQ) | 0.60 | 0.09 |
| Net Debt / EBITDA | -0.38 | -0.32 |
Dividends
Dividend Yield (TTM)
Neither Guidewire Software (GWRE) nor Palo Alto Networks (PANW) pays a dividend this period — they may reinvest, use buybacks, or simply not return cash through dividends.
GWRE
Software & Services industry group
0.00%
- GWRE
- 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%
Dividend Payout Ratio (TTM)
Neither Guidewire Software (GWRE) nor Palo Alto Networks (PANW) pays a dividend this period — they may reinvest, use buybacks, or simply not return cash through dividends.
GWRE
Software & Services industry group
0.00%
- GWRE
- 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%
Dividend Metrics
| Metric | GWRE | PANW |
|---|---|---|
| Dividend Yield (TTM) | 0.00% | 0.00% |
| Dividend Payout Ratio (TTM) | 0.00% | 0.00% |
Valuation
P/E Ratio (TTM)
Both look expensive on trailing earnings: Guidewire Software (GWRE) at 99.02 sits in the richer P/E ratio quartile, and Palo Alto Networks (PANW) at 784.60 is richer still, above its industry range.
GWRE
Software & Services industry group
99.02
- Max
- 112.94
- GWRE
- 99.02
- Q3
- 60.32
- 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
P/S Ratio (TTM)
Both look expensive on sales: Guidewire Software (GWRE) at 9.04 sits in the upper P/S ratio quartile, and Palo Alto Networks (PANW) at 22.37 prices even higher, above its industry range.
GWRE
Software & Services industry group
9.04
- Max
- 17.91
- GWRE
- 9.04
- 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
P/B Ratio (MRQ)
Both Guidewire Software (GWRE) at 11.09 and Palo Alto Networks (PANW) at 9.30 carry a premium to book value versus peers, sitting in the upper P/B ratio quartile of their industries.
GWRE
Software & Services industry group
11.09
- Max
- 16.63
- GWRE
- 11.09
- 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
Valuation Metrics
| Metric | GWRE | PANW |
|---|---|---|
| P/E Ratio (TTM) | 99.02 | 784.60 |
| P/S Ratio (TTM) | 9.04 | 22.37 |
| P/B Ratio (MRQ) | 11.09 | 9.30 |
| Free Cash Flow Yield (TTM) | 2.57% | 1.65% |