Seek Returns logo

PANW vs. PATH: A Head-to-Head Stock Comparison

Updated on

Here’s a clear look at PANW and PATH, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Overview

PANW’s market capitalization of 130.55 billion USD is substantially larger than PATH’s 6.61 billion USD, indicating a significant difference in their market valuations.

With betas of 0.97 for PANW and 1.06 for PATH, both stocks show similar sensitivity to overall market movements.

SymbolPANWPATH
Company NamePalo Alto Networks, Inc.UiPath Inc.
CountryUSUS
SectorTechnologyTechnology
IndustrySoftware - InfrastructureSoftware - Infrastructure
CEONikesh AroraDaniel Solomon Dines
Price195.78 USD12.355 USD
Market Cap130.55 billion USD6.61 billion USD
Beta0.971.06
ExchangeNASDAQNYSE
IPO DateJuly 20, 2012April 21, 2021
ADRNoNo

Historical Performance

This chart compares the performance of PANW and PATH by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.

Data is adjusted for dividends and splits.

PANW vs. PATH: Growth of a $10,000 investment over the past one year.

Profitability

Return on Equity

PANW

20.06%

Software - Infrastructure Industry

Max
80.61%
Q3
29.97%
Median
2.84%
Q1
-8.35%
Min
-56.26%

PANW’s Return on Equity of 20.06% is on par with the norm for the Software - Infrastructure industry, indicating its profitability relative to shareholder equity is typical for the sector.

PATH

-3.80%

Software - Infrastructure Industry

Max
80.61%
Q3
29.97%
Median
2.84%
Q1
-8.35%
Min
-56.26%

PATH has a negative Return on Equity of -3.80%. This indicates the company is generating a loss for its shareholders, which can be a result of unprofitability or negative shareholder equity and is often a sign of financial distress.

PANW vs. PATH: A comparison of their ROE against the Software - Infrastructure industry benchmark.

Return on Invested Capital

PANW

6.24%

Software - Infrastructure Industry

Max
39.31%
Q3
11.97%
Median
1.67%
Q1
-7.10%
Min
-34.29%

PANW’s Return on Invested Capital of 6.24% is in line with the norm for the Software - Infrastructure industry, reflecting a standard level of efficiency in generating profits from its capital base.

PATH

-5.68%

Software - Infrastructure Industry

Max
39.31%
Q3
11.97%
Median
1.67%
Q1
-7.10%
Min
-34.29%

PATH has a negative Return on Invested Capital of -5.68%. This indicates that its operations are failing to generate a profit on the total capital invested, signaling significant inefficiency or value destruction.

PANW vs. PATH: A comparison of their ROIC against the Software - Infrastructure industry benchmark.

Net Profit Margin

PANW

13.95%

Software - Infrastructure Industry

Max
46.46%
Q3
14.65%
Median
2.66%
Q1
-7.70%
Min
-35.45%

PANW’s Net Profit Margin of 13.95% is aligned with the median group of its peers in the Software - Infrastructure industry. This indicates its ability to convert revenue into profit is typical for the sector.

PATH

-4.65%

Software - Infrastructure Industry

Max
46.46%
Q3
14.65%
Median
2.66%
Q1
-7.70%
Min
-35.45%

PATH has a negative Net Profit Margin of -4.65%, indicating the company is operating at a net loss as its expenses exceeded its revenues.

PANW vs. PATH: A comparison of their Net Profit Margin against the Software - Infrastructure industry benchmark.

Operating Profit Margin

PANW

11.09%

Software - Infrastructure Industry

Max
48.51%
Q3
16.56%
Median
4.48%
Q1
-6.43%
Min
-40.18%

PANW’s Operating Profit Margin of 11.09% is around the midpoint for the Software - Infrastructure industry, indicating that its efficiency in managing core business operations is typical for the sector.

PATH

-8.92%

Software - Infrastructure Industry

Max
48.51%
Q3
16.56%
Median
4.48%
Q1
-6.43%
Min
-40.18%

PATH has a negative Operating Profit Margin of -8.92%. This signifies the company is unprofitable at the operational level, as its core business expenses exceed its revenue.

PANW vs. PATH: A comparison of their Operating Margin against the Software - Infrastructure industry benchmark.

Profitability at a Glance

SymbolPANWPATH
Return on Equity (TTM)20.06%-3.80%
Return on Assets (TTM)5.63%-2.55%
Return on Invested Capital (TTM)6.24%-5.68%
Net Profit Margin (TTM)13.95%-4.65%
Operating Profit Margin (TTM)11.09%-8.92%
Gross Profit Margin (TTM)73.56%62.22%

Financial Strength

Current Ratio

PANW

0.90

Software - Infrastructure Industry

Max
3.80
Q3
2.25
Median
1.51
Q1
1.10
Min
0.23

PANW’s Current Ratio of 0.90 falls into the lower quartile for the Software - Infrastructure industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

PATH

2.95

Software - Infrastructure Industry

Max
3.80
Q3
2.25
Median
1.51
Q1
1.10
Min
0.23

PATH’s Current Ratio of 2.95 is in the upper quartile for the Software - Infrastructure industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.

PANW vs. PATH: A comparison of their Current Ratio against the Software - Infrastructure industry benchmark.

Debt-to-Equity Ratio

PANW

0.11

Software - Infrastructure Industry

Max
2.56
Q3
1.12
Median
0.33
Q1
0.05
Min
0.00

PANW’s Debt-to-Equity Ratio of 0.11 is typical for the Software - Infrastructure industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

PATH

0.04

Software - Infrastructure Industry

Max
2.56
Q3
1.12
Median
0.33
Q1
0.05
Min
0.00

Falling into the lower quartile for the Software - Infrastructure industry, PATH’s Debt-to-Equity Ratio of 0.04 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.

PANW vs. PATH: A comparison of their D/E Ratio against the Software - Infrastructure industry benchmark.

Interest Coverage Ratio

PANW

378.50

Software - Infrastructure Industry

Max
32.21
Q3
5.24
Median
0.95
Q1
-17.99
Min
-50.82

With an Interest Coverage Ratio of 378.50, PANW demonstrates a superior capacity to service its debt, placing it well above the typical range for the Software - Infrastructure industry. This stems from either robust earnings or a conservative debt load.

PATH

--

Software - Infrastructure Industry

Max
32.21
Q3
5.24
Median
0.95
Q1
-17.99
Min
-50.82

Interest Coverage Ratio data for PATH is currently unavailable.

PANW vs. PATH: A comparison of their Interest Coverage against the Software - Infrastructure industry benchmark.

Financial Strength at a Glance

SymbolPANWPATH
Current Ratio (TTM)0.902.95
Quick Ratio (TTM)0.902.95
Debt-to-Equity Ratio (TTM)0.110.04
Debt-to-Asset Ratio (TTM)0.040.03
Net Debt-to-EBITDA Ratio (TTM)-0.955.51
Interest Coverage Ratio (TTM)378.50--

Growth

The following charts compare key year-over-year (YoY) growth metrics for PANW and PATH. These metrics are based on the companies’ annual financial reports.

Revenue Growth

PANW vs. PATH: A comparison of their annual year-over-year Revenue Growth.

Earnings Per Share (EPS) Growth

PANW vs. PATH: A comparison of their annual year-over-year Earnings Per Share (EPS) Growth.

Free Cash Flow Growth

PANW vs. PATH: A comparison of their annual year-over-year Free Cash Flow Growth.

Dividend

Dividend Yield

PANW

0.00%

Software - Infrastructure Industry

Max
4.07%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

PANW currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

PATH

0.00%

Software - Infrastructure Industry

Max
4.07%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

PATH currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

PANW vs. PATH: A comparison of their Dividend Yield against the Software - Infrastructure industry benchmark.

Dividend Payout Ratio

PANW

0.00%

Software - Infrastructure Industry

Max
48.68%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

PANW has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

PATH

0.00%

Software - Infrastructure Industry

Max
48.68%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

PATH has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

PANW vs. PATH: A comparison of their Payout Ratio against the Software - Infrastructure industry benchmark.

Dividend at a Glance

SymbolPANWPATH
Dividend Yield (TTM)0.00%0.00%
Dividend Payout Ratio (TTM)0.00%0.00%

Valuation

Price-to-Earnings Ratio

PANW

105.20

Software - Infrastructure Industry

Max
107.77
Q3
54.40
Median
28.10
Q1
18.03
Min
5.32

A P/E Ratio of 105.20 places PANW in the upper quartile for the Software - Infrastructure industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.

PATH

-100.37

Software - Infrastructure Industry

Max
107.77
Q3
54.40
Median
28.10
Q1
18.03
Min
5.32

PATH has a negative P/E Ratio of -100.37. This occurs when a company has negative earnings (a net loss), making the ratio unsuitable for valuation analysis.

PANW vs. PATH: A comparison of their P/E Ratio against the Software - Infrastructure industry benchmark.

Forward P/E to Growth Ratio

PANW

-1.05

Software - Infrastructure Industry

Max
8.12
Q3
3.94
Median
2.13
Q1
0.94
Min
0.01

PANW has a negative Forward PEG Ratio of -1.05. This typically results from negative earnings or forecasts of declining future earnings, making the ratio not meaningful for valuation.

PATH

-8.86

Software - Infrastructure Industry

Max
8.12
Q3
3.94
Median
2.13
Q1
0.94
Min
0.01

PATH has a negative Forward PEG Ratio of -8.86. This typically results from negative earnings or forecasts of declining future earnings, making the ratio not meaningful for valuation.

PANW vs. PATH: A comparison of their Forward PEG Ratio against the Software - Infrastructure industry benchmark.

Price-to-Sales Ratio

PANW

14.71

Software - Infrastructure Industry

Max
18.25
Q3
9.05
Median
4.77
Q1
2.30
Min
0.11

PANW’s P/S Ratio of 14.71 is in the upper echelon for the Software - Infrastructure industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

PATH

4.56

Software - Infrastructure Industry

Max
18.25
Q3
9.05
Median
4.77
Q1
2.30
Min
0.11

PATH’s P/S Ratio of 4.56 aligns with the market consensus for the Software - Infrastructure industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

PANW vs. PATH: A comparison of their P/S Ratio against the Software - Infrastructure industry benchmark.

Price-to-Book Ratio

PANW

18.01

Software - Infrastructure Industry

Max
19.94
Q3
10.91
Median
6.33
Q1
2.95
Min
0.51

The P/B Ratio is often not a primary valuation metric for the Software - Infrastructure industry.

PATH

3.99

Software - Infrastructure Industry

Max
19.94
Q3
10.91
Median
6.33
Q1
2.95
Min
0.51

The P/B Ratio is often not a primary valuation metric for the Software - Infrastructure industry.

PANW vs. PATH: A comparison of their P/B Ratio against the Software - Infrastructure industry benchmark.

Valuation at a Glance

SymbolPANWPATH
Price-to-Earnings Ratio (P/E, TTM)105.20-100.37
Forward PEG Ratio (TTM)-1.05-8.86
Price-to-Sales Ratio (P/S, TTM)14.714.56
Price-to-Book Ratio (P/B, TTM)18.013.99
Price-to-Free Cash Flow Ratio (P/FCF, TTM)53.5021.12
EV-to-EBITDA (TTM)77.65-52.52
EV-to-Sales (TTM)14.534.12