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PANW vs. SAP: Palo Alto Networks vs. SAP Stock Comparison

How do Palo Alto Networks (PANW) and SAP (SAP) 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

Palo Alto Networks (PANW) and SAP (SAP) both belong to the Software industry, though PANW is classified under Systems Software while SAP falls under Application Software.

Palo Alto Networks (PANW) trades as ordinary local shares, while SAP (SAP) trades as an ADR — compare with FX exposure, depositary-program fees, and dividend-withholding-tax differences in mind.

Company profile comparison for Palo Alto Networks (PANW) and SAP (SAP)
Profile ItemPANWSAP
NamePalo Alto Networks, Inc.SAP SE Sponsored ADR
Country/RegionUnited StatesGermany
GICS SectorInformation TechnologyInformation Technology
GICS Industry GroupSoftware & ServicesSoftware & Services
GICS IndustrySoftwareSoftware
GICS Sub-IndustrySystems SoftwareApplication Software
Market Capitalization277.93 billion USD181.69 billion USD
CurrencyUSDUSD
ExchangeNasdaqNYSE
Listing DateJuly 20, 2012September 18, 1995
Security TypeCommon StockADR

Price Performance

Cumulative Growth

PANW
SAP
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Palo Alto Networks (PANW) vs. SAP (SAP): 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 Palo Alto Networks (PANW) and SAP (SAP). Returns over one year are annualized.

Performance Metrics

Price performance metrics for Palo Alto Networks (PANW) and SAP (SAP)
MetricPANWSAP
Total Return (1Y)66.64%-48.44%

Risk Profile

Drawdown History

PANW
SAP
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Palo Alto Networks (PANW) vs. SAP (SAP): Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Risk Metrics

Risk profile metrics for Palo Alto Networks (PANW) and SAP (SAP)
MetricPANWSAP
Volatility (1Y, Annualized)40.33%35.01%
Beta (5Y)0.911.15
Avg. Volume (3M)8.32M3.38M

Risk-Adjusted Performance

Risk-Return Positioning

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PANW and SAP 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.

Profitability

ROE (TTM)

Both Palo Alto Networks (PANW) at 4.83% and SAP (SAP) at 16.35% land near their industries’ usual ROE ranges, so capital efficiency looks broadly in line with peers on both sides.

PANW

Software & Services industry group

4.83%

Max
53.38%
Q3
16.53%
Median
5.38%
PANW
4.83%
Q1
-13.43%
Min
-55.27%

SAP

Software & Services industry group

16.35%

Max
53.38%
Q3
16.53%
SAP
16.35%
Median
5.38%
Q1
-13.43%
Min
-55.27%
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Palo Alto Networks (PANW) vs. SAP (SAP): A comparison of their ROE against the Software & Services industry group benchmark.

Net Margin (TTM)

SAP (SAP) at 19.58% retains a top-quartile share of revenue as profit, ahead of Palo Alto Networks (PANW) at 7.95%, which keeps about the industry-typical share.

PANW

Software & Services industry group

7.95%

Max
44.20%
Q3
14.93%
PANW
7.95%
Median
3.32%
Q1
-5.99%
Min
-34.99%

SAP

Software & Services industry group

19.58%

Max
44.20%
SAP
19.58%
Q3
14.93%
Median
3.32%
Q1
-5.99%
Min
-34.99%
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Palo Alto Networks (PANW) vs. SAP (SAP): A comparison of their net margin against the Software & Services industry group benchmark.

Operating Margin (TTM)

Palo Alto Networks (PANW) reports a negative operating margin of -2.47%, usually indicating that operating costs exceeded revenue at the operating-income line. Meanwhile SAP (SAP) reports 30.03%, ranking against industry peers normally.

PANW

Software & Services industry group

-2.47%

Max
60.45%
Q3
16.49%
Median
4.46%
PANW
-2.47%
Q1
-12.92%
Min
-53.94%

SAP

Software & Services industry group

30.03%

Max
60.45%
SAP
30.03%
Q3
16.49%
Median
4.46%
Q1
-12.92%
Min
-53.94%
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Palo Alto Networks (PANW) vs. SAP (SAP): A comparison of their operating margin against the Software & Services industry group benchmark.

Profitability Metrics

Profitability metrics for Palo Alto Networks (PANW) and SAP (SAP)
MetricPANWSAP
ROE (TTM)4.83%16.35%
ROA (TTM)1.77%9.08%
Net Margin (TTM)7.95%19.58%
Operating Margin (TTM)-2.47%30.03%
Gross Margin (TTM)71.96%73.72%

Growth

Revenue Growth

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

Revenue Growth Metrics

Revenue growth metrics for Palo Alto Networks (PANW) and SAP (SAP)
MetricPANWSAP
Revenue Growth (YoY)14.87%7.68%
Revenue Growth (3Y CAGR)18.79%7.63%

EPS Growth

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

EPS Growth Metrics

EPS growth metrics for Palo Alto Networks (PANW) and SAP (SAP)
MetricPANWSAP
EPS Growth (YoY)-56.04%130.19%
EPS Growth (3Y CAGR)--46.25%

Financial Strength

Current Ratio (MRQ)

SAP (SAP) at 1.07 keeps current ratio within its industry’s typical mid-range, while Palo Alto Networks (PANW) at 0.86 runs in the tighter-liquidity quartile — a thinner cushion against current liabilities for PANW.

PANW

Software & Services industry group

0.86

Max
5.55
Q3
2.88
Median
1.72
Q1
1.07
PANW
0.86
Min
0.03

SAP

Software & Services industry group

1.07

Max
5.55
Q3
2.88
Median
1.72
SAP
1.07
Q1
1.07
Min
0.03
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Palo Alto Networks (PANW) vs. SAP (SAP): A comparison of their current ratio against the Software & Services industry group benchmark.

Debt / Equity (MRQ)

Both Palo Alto Networks (PANW) at 0.08 and SAP (SAP) at 0.17 fund their balance sheets with roughly industry-typical debt-to-equity mixes.

PANW

Software & Services industry group

0.08

Max
2.31
Q3
1.06
Median
0.32
PANW
0.08
Q1
0.06
Min
0.00

SAP

Software & Services industry group

0.17

Max
2.31
Q3
1.06
Median
0.32
SAP
0.17
Q1
0.06
Min
0.00
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Palo Alto Networks (PANW) vs. SAP (SAP): A comparison of their debt-to-equity ratio against the Software & Services industry group benchmark.

Financial Strength Metrics

Financial strength metrics for Palo Alto Networks (PANW) and SAP (SAP)
MetricPANWSAP
Current Ratio (MRQ)0.861.07
Debt / Equity (MRQ)0.080.17
Net Debt / EBITDA-0.66-0.19

Dividends

Dividend Yield (TTM)

Palo Alto Networks (PANW) pays no dividend (yield 0.00%) — it may be reinvesting, using buybacks, or simply not returning cash through dividends. Meanwhile SAP (SAP) reports a yield of 1.61%, ranking against industry peers normally.

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%

SAP

Software & Services industry group

1.61%

SAP
1.61%
Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%
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Palo Alto Networks (PANW) vs. SAP (SAP): A comparison of their dividend yield against the Software & Services industry group benchmark.

Dividend Payout Ratio (TTM)

Palo Alto Networks (PANW) pays no dividend (payout 0.00%) — it may be reinvesting, using buybacks, or simply not returning cash through dividends. Meanwhile SAP (SAP) reports a payout of 37.15%, ranking against industry peers normally.

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%

SAP

Software & Services industry group

37.15%

SAP
37.15%
Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%
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Palo Alto Networks (PANW) vs. SAP (SAP): A comparison of their payout ratio against the Software & Services industry group benchmark.

Dividend Metrics

Dividend metrics for Palo Alto Networks (PANW) and SAP (SAP)
MetricPANWSAP
Dividend Yield (TTM)0.00%1.61%
Dividend Payout Ratio (TTM)0.00%37.15%

Valuation

P/E Ratio (TTM)

SAP (SAP) at 21.71 is near its industry’s usual P/E ratio, while Palo Alto Networks (PANW) at 293.98 sits above its peer range — an unusually expensive price for PANW’s trailing earnings.

PANW

Software & Services industry group

293.98

PANW
293.98
Max
126.50
Q3
60.82
Median
30.49
Q1
16.22
Min
0.41

SAP

Software & Services industry group

21.71

Max
126.50
Q3
60.82
Median
30.49
SAP
21.71
Q1
16.22
Min
0.41
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Palo Alto Networks (PANW) vs. SAP (SAP): A comparison of their P/E ratio against the Software & Services industry group benchmark.

P/S Ratio (TTM)

SAP (SAP) at 4.87 prices around its industry’s typical P/S ratio, while Palo Alto Networks (PANW) at 26.20 clears its benchmark range — PANW looks notably rich on sales.

PANW

Software & Services industry group

26.20

PANW
26.20
Max
18.72
Q3
8.93
Median
4.21
Q1
2.14
Min
0.02

SAP

Software & Services industry group

4.87

Max
18.72
Q3
8.93
SAP
4.87
Median
4.21
Q1
2.14
Min
0.02
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Palo Alto Networks (PANW) vs. SAP (SAP): A comparison of their P/S ratio against the Software & Services industry group benchmark.

P/B Ratio (MRQ)

SAP (SAP) at 3.45 is valued about in line with its industry on P/B ratio, while Palo Alto Networks (PANW) at 10.02 carries an above-peer premium to book — PANW is pricier on assets.

PANW

Software & Services industry group

10.02

Max
18.46
PANW
10.02
Q3
8.62
Median
4.00
Q1
1.94
Min
-7.57

SAP

Software & Services industry group

3.45

Max
18.46
Q3
8.62
Median
4.00
SAP
3.45
Q1
1.94
Min
-7.57
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Palo Alto Networks (PANW) vs. SAP (SAP): A comparison of their P/B ratio against the Software & Services industry group benchmark.

Valuation Metrics

Valuation metrics for Palo Alto Networks (PANW) and SAP (SAP)
MetricPANWSAP
P/E Ratio (TTM)293.9821.71
P/S Ratio (TTM)26.204.87
P/B Ratio (MRQ)10.023.45
Free Cash Flow Yield (TTM)1.29%4.48%