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

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

Company Profile

SymbolPANWSNOW
Company NamePalo Alto Networks, Inc.Snowflake Inc.
CountryUnited StatesUnited States
GICS SectorInformation TechnologyInformation Technology
GICS IndustrySoftwareIT Services
Market Capitalization125.31 billion USD66.86 billion USD
ExchangeNasdaqGSNYSE
Listing DateJuly 20, 2012September 16, 2020
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of PANW and SNOW 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. SNOW: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolPANWSNOW
5-Day Price Return2.34%2.93%
13-Week Price Return0.08%-2.89%
26-Week Price Return-1.79%12.65%
52-Week Price Return8.10%69.82%
Month-to-Date Return8.07%-10.34%
Year-to-Date Return3.11%29.78%
10-Day Avg. Volume11.29M4.93M
3-Month Avg. Volume6.95M4.52M
3-Month Volatility33.55%32.44%
Beta0.981.23

Profitability

Return on Equity (TTM)

PANW

16.59%

Software Industry

Max
59.01%
Q3
21.98%
Median
7.15%
Q1
-11.12%
Min
-51.24%

PANW’s Return on Equity of 16.59% is on par with the norm for the Software industry, indicating its profitability relative to shareholder equity is typical for the sector.

SNOW

-44.88%

IT Services Industry

Max
29.51%
Q3
16.98%
Median
13.47%
Q1
7.93%
Min
-3.97%

SNOW has a negative Return on Equity of -44.88%. 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. SNOW: A comparison of their Return on Equity (TTM) against their respective Software and IT Services industry benchmarks.

Net Profit Margin (TTM)

PANW

12.30%

Software Industry

Max
48.14%
Q3
18.23%
Median
5.60%
Q1
-9.22%
Min
-49.36%

PANW’s Net Profit Margin of 12.30% is aligned with the median group of its peers in the Software industry. This indicates its ability to convert revenue into profit is typical for the sector.

SNOW

-36.43%

IT Services Industry

Max
19.82%
Q3
11.49%
Median
6.67%
Q1
3.61%
Min
-4.62%

SNOW has a negative Net Profit Margin of -36.43%, indicating the company is operating at a net loss as its expenses exceeded its revenues.

PANW vs. SNOW: A comparison of their Net Profit Margin (TTM) against their respective Software and IT Services industry benchmarks.

Operating Profit Margin (TTM)

PANW

13.48%

Software Industry

Max
57.34%
Q3
20.60%
Median
7.84%
Q1
-8.72%
Min
-51.37%

PANW’s Operating Profit Margin of 13.48% is around the midpoint for the Software industry, indicating that its efficiency in managing core business operations is typical for the sector.

SNOW

-41.37%

IT Services Industry

Max
21.69%
Q3
14.50%
Median
10.06%
Q1
6.98%
Min
0.06%

SNOW has a negative Operating Profit Margin of -41.37%. This signifies the company is unprofitable at the operational level, as its core business expenses exceed its revenue.

PANW vs. SNOW: A comparison of their Operating Profit Margin (TTM) against their respective Software and IT Services industry benchmarks.

Profitability at a Glance

SymbolPANWSNOW
Return on Equity (TTM)16.59%-44.88%
Return on Assets (TTM)5.22%-17.30%
Net Profit Margin (TTM)12.30%-36.43%
Operating Profit Margin (TTM)13.48%-41.37%
Gross Profit Margin (TTM)73.41%66.58%

Financial Strength

Current Ratio (MRQ)

PANW

0.94

Software Industry

Max
3.83
Q3
2.31
Median
1.45
Q1
1.03
Min
0.24

PANW’s Current Ratio of 0.94 falls into the lower quartile for the Software industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

SNOW

1.58

IT Services Industry

Max
2.42
Q3
1.81
Median
1.47
Q1
1.09
Min
0.44

SNOW’s Current Ratio of 1.58 aligns with the median group of the IT Services industry, indicating that its short-term liquidity is in line with its sector peers.

PANW vs. SNOW: A comparison of their Current Ratio (MRQ) against their respective Software and IT Services industry benchmarks.

Debt-to-Equity Ratio (MRQ)

PANW

0.00

Software Industry

Max
2.14
Q3
0.90
Median
0.29
Q1
0.00
Min
0.00

PANW’s Debt-to-Equity Ratio of 0.00 is typical for the Software industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

SNOW

0.94

IT Services Industry

Max
2.33
Q3
1.17
Median
0.54
Q1
0.15
Min
0.00

SNOW’s Debt-to-Equity Ratio of 0.94 is typical for the IT Services industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

PANW vs. SNOW: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Software and IT Services industry benchmarks.

Interest Coverage Ratio (TTM)

PANW

532.90

Software Industry

Max
67.02
Q3
19.86
Median
0.70
Q1
-12.50
Min
-53.00

With an Interest Coverage Ratio of 532.90, PANW demonstrates a superior capacity to service its debt, placing it well above the typical range for the Software industry. This stems from either robust earnings or a conservative debt load.

SNOW

--

IT Services Industry

Max
144.50
Q3
84.49
Median
13.76
Q1
2.59
Min
-28.13

Interest Coverage Ratio data for SNOW is currently unavailable.

PANW vs. SNOW: A comparison of their Interest Coverage Ratio (TTM) against their respective Software and IT Services industry benchmarks.

Financial Strength at a Glance

SymbolPANWSNOW
Current Ratio (MRQ)0.941.58
Quick Ratio (MRQ)0.881.50
Debt-to-Equity Ratio (MRQ)0.000.94
Interest Coverage Ratio (TTM)532.90--

Growth

Revenue Growth

PANW vs. SNOW: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

PANW vs. SNOW: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

PANW

0.00%

Software Industry

Max
0.08%
Q3
0.03%
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.

SNOW

0.00%

IT Services Industry

Max
2.80%
Q3
1.74%
Median
0.62%
Q1
0.00%
Min
0.00%

SNOW 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. SNOW: A comparison of their Dividend Yield (TTM) against their respective Software and IT Services industry benchmarks.

Dividend Payout Ratio (TTM)

PANW

0.00%

Software Industry

Max
1.32%
Q3
0.53%
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.

SNOW

0.00%

IT Services Industry

Max
147.75%
Q3
63.58%
Median
24.63%
Q1
0.00%
Min
0.00%

SNOW 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. SNOW: A comparison of their Dividend Payout Ratio (TTM) against their respective Software and IT Services industry benchmarks.

Dividend at a Glance

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

Valuation

Price-to-Earnings Ratio (TTM)

PANW

106.88

Software Industry

Max
149.35
Q3
100.21
Median
47.97
Q1
26.77
Min
11.68

A P/E Ratio of 106.88 places PANW in the upper quartile for the Software industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.

SNOW

--

IT Services Industry

Max
41.55
Q3
31.54
Median
23.25
Q1
18.12
Min
6.57

P/E Ratio data for SNOW is currently unavailable.

PANW vs. SNOW: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Software and IT Services industry benchmarks.

Price-to-Sales Ratio (TTM)

PANW

13.14

Software Industry

Max
25.24
Q3
13.52
Median
8.15
Q1
4.87
Min
0.98

PANW’s P/S Ratio of 13.14 aligns with the market consensus for the Software industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

SNOW

16.88

IT Services Industry

Max
6.61
Q3
4.37
Median
2.02
Q1
1.20
Min
0.19

With a P/S Ratio of 16.88, SNOW trades at a valuation that eclipses even the highest in the IT Services industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

PANW vs. SNOW: A comparison of their Price-to-Sales Ratio (TTM) against their respective Software and IT Services industry benchmarks.

Price-to-Book Ratio (MRQ)

PANW

14.79

Software Industry

Max
30.95
Q3
14.91
Median
7.75
Q1
3.60
Min
0.38

PANW’s P/B Ratio of 14.79 is within the conventional range for the Software industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

SNOW

22.13

IT Services Industry

Max
11.19
Q3
6.38
Median
3.47
Q1
2.31
Min
0.96

At 22.13, SNOW’s P/B Ratio is at an extreme premium to the IT Services industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

PANW vs. SNOW: A comparison of their Price-to-Book Ratio (MRQ) against their respective Software and IT Services industry benchmarks.

Valuation at a Glance

SymbolPANWSNOW
Price-to-Earnings Ratio (TTM)106.88--
Price-to-Sales Ratio (TTM)13.1416.88
Price-to-Book Ratio (MRQ)14.7922.13
Price-to-Free Cash Flow Ratio (TTM)40.3988.05