PANW vs. SNPS: Palo Alto Networks vs. Synopsys Stock Comparison
How do Palo Alto Networks (PANW) and Synopsys (SNPS) 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 Synopsys (SNPS) both belong to the Software industry, though PANW is classified under Systems Software while SNPS falls under Application Software.
| Profile Item | PANW | SNPS |
|---|---|---|
| Name | Palo Alto Networks, Inc. | Synopsys 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 | Application Software |
| Market Capitalization | 256.86 billion USD | 86.32 billion USD |
| Currency | USD | USD |
| Exchange | Nasdaq | Nasdaq |
| Listing Date | July 20, 2012 | February 26, 1992 |
| Security Type | Common Stock | Common Stock |
Price Performance
Cumulative Growth
Trailing Returns
Calendar-Year Returns
Performance Metrics
| Metric | PANW | SNPS |
|---|---|---|
| Total Return (1Y) | 53.99% | 18.77% |
| Total Return (3Y, Annualized) | 39.16% | -2.57% |
| Total Return (5Y, Annualized) | 30.80% | 6.06% |
Risk Profile
Drawdown History
Return Distribution
Risk Metrics
| Metric | PANW | SNPS |
|---|---|---|
| Volatility (1Y, Annualized) | 51.34% | 45.03% |
| Beta (5Y) | 1.00 | 1.17 |
| Max Drawdown (5Y) | -36.01% | -43.02% |
| Avg. Volume (3M) | 6.03M | 2.11M |
Risk-Adjusted Performance
Risk-Return Positioning
Risk-Adjusted Metrics
| Metric | PANW | SNPS |
|---|---|---|
| Sharpe Ratio (1Y) | 0.97 | 0.32 |
| Sortino Ratio (1Y) | 1.49 | 0.49 |
Profitability
ROE (TTM)
Both Palo Alto Networks (PANW) at 1.74% and Synopsys (SNPS) at 3.66% land near their industries’ usual ROE ranges, so capital efficiency looks broadly in line with peers on both sides.
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%
SNPS
Software & Services industry group
3.66%
- Max
- 53.85%
- Q3
- 17.90%
- Median
- 6.59%
- SNPS
- 3.66%
- Q1
- -9.59%
- Min
- -50.52%
Net Margin (TTM)
Both Palo Alto Networks (PANW) at 2.67% and Synopsys (SNPS) at 11.43% keep about the typical share of revenue as profit for their industries — neither bottom line stands out from peers.
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%
SNPS
Software & Services industry group
11.43%
- Max
- 41.17%
- Q3
- 15.28%
- SNPS
- 11.43%
- Median
- 4.63%
- Q1
- -5.42%
- Min
- -33.17%
Operating Margin (TTM)
Both Palo Alto Networks (PANW) at 5.40% and Synopsys (SNPS) at 14.52% run core operations about as efficiently as their industries’ norm — neither stands out on operating profitability.
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%
SNPS
Software & Services industry group
14.52%
- Max
- 46.89%
- Q3
- 17.64%
- SNPS
- 14.52%
- Median
- 8.73%
- Q1
- -2.13%
- Min
- -30.45%
Profitability Metrics
| Metric | PANW | SNPS |
|---|---|---|
| ROE (TTM) | 1.74% | 3.66% |
| ROA (TTM) | 1.40% | 1.35% |
| Net Margin (TTM) | 2.67% | 11.43% |
| Operating Margin (TTM) | 5.40% | 14.52% |
| Gross Margin (TTM) | 70.38% | 82.92% |
Growth
Revenue Growth
Both Palo Alto Networks (PANW) at 24.50% and Synopsys (SNPS) at 15.12% land near their industries' usual revenue growth ranges, so top-line momentum looks broadly in line with peers on both sides.
EPS Growth
Both Palo Alto Networks (PANW) at -75.00% and Synopsys (SNPS) at -44.59% post bottom-quartile EPS growth versus peers, pointing to weaker earnings momentum than typical rivals.
Growth Metrics
| Metric | PANW | SNPS |
|---|---|---|
| Revenue Growth (YoY) | 24.50% | 15.12% |
| Revenue Growth (3Y CAGR) | 18.54% | 15.19% |
| EPS Growth (YoY) | -75.00% | -44.59% |
| EPS Growth (3Y CAGR) | -14.50% | 8.53% |
Financial Strength
Current Ratio (MRQ)
Synopsys (SNPS) at 1.34 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.
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
SNPS
Software & Services industry group
1.34
- Max
- 5.11
- Q3
- 2.77
- Median
- 1.67
- SNPS
- 1.34
- Q1
- 1.01
- Min
- 0.03
Debt / Equity (MRQ)
Both Palo Alto Networks (PANW) at 0.09 and Synopsys (SNPS) at 0.35 fund their balance sheets with roughly industry-typical debt-to-equity mixes.
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
SNPS
Software & Services industry group
0.35
- Max
- 2.52
- Q3
- 1.13
- Median
- 0.40
- SNPS
- 0.35
- Q1
- 0.07
- Min
- 0.00
Financial Strength Metrics
| Metric | PANW | SNPS |
|---|---|---|
| Current Ratio (MRQ) | 0.87 | 1.34 |
| Debt / Equity (MRQ) | 0.09 | 0.35 |
| Net Debt / EBITDA | -0.32 | 3.49 |
Dividends
Dividend Yield (TTM)
Neither Palo Alto Networks (PANW) nor Synopsys (SNPS) pays a dividend this period — they may reinvest, use buybacks, or simply not return cash through dividends.
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%
SNPS
Software & Services industry group
0.00%
- SNPS
- 0.00%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Payout Ratio (TTM)
Neither Palo Alto Networks (PANW) nor Synopsys (SNPS) pays a dividend this period — they may reinvest, use buybacks, or simply not return cash through dividends.
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%
SNPS
Software & Services industry group
0.00%
- SNPS
- 0.00%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Metrics
| Metric | PANW | SNPS |
|---|---|---|
| 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: Synopsys (SNPS) at 79.59 sits in the richer P/E ratio quartile, and Palo Alto Networks (PANW) at 784.60 is richer still, above its industry range.
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
SNPS
Software & Services industry group
79.59
- Max
- 112.94
- SNPS
- 79.59
- Q3
- 60.32
- Median
- 32.91
- Q1
- 18.77
- Min
- 6.69
P/S Ratio (TTM)
Both look expensive on sales: Synopsys (SNPS) at 9.17 sits in the upper P/S ratio quartile, and Palo Alto Networks (PANW) at 22.37 prices even higher, above its industry range.
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
SNPS
Software & Services industry group
9.17
- Max
- 17.91
- SNPS
- 9.17
- Q3
- 8.78
- Median
- 4.25
- Q1
- 2.23
- Min
- 0.02
P/B Ratio (MRQ)
Synopsys (SNPS) at 2.77 is valued about in line with its industry on P/B ratio, while Palo Alto Networks (PANW) at 9.30 carries an above-peer premium to book — PANW is pricier on assets.
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
SNPS
Software & Services industry group
2.77
- Max
- 16.63
- Q3
- 8.50
- Median
- 4.30
- SNPS
- 2.77
- Q1
- 1.92
- Min
- -3.90
Valuation Metrics
| Metric | PANW | SNPS |
|---|---|---|
| P/E Ratio (TTM) | 784.60 | 79.59 |
| P/S Ratio (TTM) | 22.37 | 9.17 |
| P/B Ratio (MRQ) | 9.30 | 2.77 |
| Free Cash Flow Yield (TTM) | 1.65% | 3.97% |