PANW vs. TWLO: Palo Alto Networks vs. Twilio Stock Comparison
How do Palo Alto Networks (PANW) and Twilio (TWLO) 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 Twilio (TWLO) both fall under the Software & Services industry group, but PANW is classified in Software while TWLO is classified in IT Services.
| Profile Item | PANW | TWLO |
|---|---|---|
| Name | Palo Alto Networks, Inc. | Twilio Inc. Class A Common Stock |
| Country/Region | United States | United States |
| GICS Sector | Information Technology | Information Technology |
| GICS Industry Group | Software & Services | Software & Services |
| GICS Industry | Software | IT Services |
| GICS Sub-Industry | Systems Software | Internet Services & Infrastructure |
| Market Capitalization | 256.86 billion USD | 31.26 billion USD |
| Currency | USD | USD |
| Exchange | Nasdaq | NYSE |
| Listing Date | July 20, 2012 | June 23, 2016 |
| Security Type | Common Stock | Common Stock |
Price Performance
Cumulative Growth
Trailing Returns
Calendar-Year Returns
Performance Metrics
| Metric | PANW | TWLO |
|---|---|---|
| Total Return (1Y) | 53.99% | 61.15% |
| Total Return (3Y, Annualized) | 39.16% | 54.31% |
| Total Return (5Y, Annualized) | 30.80% | -7.91% |
Risk Profile
Drawdown History
Return Distribution
Risk Metrics
| Metric | PANW | TWLO |
|---|---|---|
| Volatility (1Y, Annualized) | 51.34% | 63.75% |
| Beta (5Y) | 1.00 | 1.48 |
| Max Drawdown (5Y) | -36.01% | -86.25% |
| Avg. Volume (3M) | 6.03M | 3.05M |
Risk-Adjusted Performance
Risk-Return Positioning
Risk-Adjusted Metrics
| Metric | PANW | TWLO |
|---|---|---|
| Sharpe Ratio (1Y) | 0.97 | 0.89 |
| Sortino Ratio (1Y) | 1.49 | 1.49 |
Profitability
ROE (TTM)
Both Palo Alto Networks (PANW) at 1.74% and Twilio (TWLO) at 14.92% 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%
TWLO
Software & Services industry group
14.92%
- Max
- 53.85%
- Q3
- 17.90%
- TWLO
- 14.92%
- Median
- 6.59%
- Q1
- -9.59%
- Min
- -50.52%
Net Margin (TTM)
Twilio (TWLO) at 21.82% retains a top-quartile share of revenue as profit, ahead of Palo Alto Networks (PANW) at 2.67%, which keeps about the industry-typical share.
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%
TWLO
Software & Services industry group
21.82%
- Max
- 41.17%
- TWLO
- 21.82%
- Q3
- 15.28%
- Median
- 4.63%
- Q1
- -5.42%
- Min
- -33.17%
Operating Margin (TTM)
Both Palo Alto Networks (PANW) at 5.40% and Twilio (TWLO) at 9.53% 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%
TWLO
Software & Services industry group
9.53%
- Max
- 46.89%
- Q3
- 17.64%
- TWLO
- 9.53%
- Median
- 8.73%
- Q1
- -2.13%
- Min
- -30.45%
Profitability Metrics
| Metric | PANW | TWLO |
|---|---|---|
| ROE (TTM) | 1.74% | 14.92% |
| ROA (TTM) | 1.40% | 2.69% |
| Net Margin (TTM) | 2.67% | 21.82% |
| Operating Margin (TTM) | 5.40% | 9.53% |
| Gross Margin (TTM) | 70.38% | 48.61% |
Growth
Revenue Growth
Both Palo Alto Networks (PANW) at 24.50% and Twilio (TWLO) at 13.66% land near their industries' usual revenue growth ranges, so top-line momentum looks broadly in line with peers on both sides.
EPS Growth
Only one side can be read here: Palo Alto Networks (PANW) reports EPS growth of -75.00%, ranked against its industry; Twilio (TWLO) has no EPS growth figure this period.
Growth Metrics
| Metric | PANW | TWLO |
|---|---|---|
| Revenue Growth (YoY) | 24.50% | 13.66% |
| Revenue Growth (3Y CAGR) | 18.54% | 9.82% |
| EPS Growth (YoY) | -75.00% | -- |
| EPS Growth (3Y CAGR) | -14.50% | -- |
Financial Strength
Current Ratio (MRQ)
Twilio (TWLO) at 4.47 carries current ratio above its industry’s typical mid-range, while Palo Alto Networks (PANW) at 0.87 runs in the tighter-liquidity quartile — different working-capital profiles, both worth examining.
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
TWLO
Software & Services industry group
4.47
- Max
- 5.11
- TWLO
- 4.47
- Q3
- 2.77
- Median
- 1.67
- Q1
- 1.01
- Min
- 0.03
Debt / Equity (MRQ)
Both Palo Alto Networks (PANW) at 0.09 and Twilio (TWLO) at 0.12 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
TWLO
Software & Services industry group
0.12
- Max
- 2.52
- Q3
- 1.13
- Median
- 0.40
- TWLO
- 0.12
- Q1
- 0.07
- Min
- 0.00
Financial Strength Metrics
| Metric | PANW | TWLO |
|---|---|---|
| Current Ratio (MRQ) | 0.87 | 4.47 |
| Debt / Equity (MRQ) | 0.09 | 0.12 |
| Net Debt / EBITDA | -0.32 | -3.13 |
Dividends
Dividend Yield (TTM)
Neither Palo Alto Networks (PANW) nor Twilio (TWLO) 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%
TWLO
Software & Services industry group
0.00%
- TWLO
- 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 Twilio (TWLO) 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%
TWLO
Software & Services industry group
0.00%
- TWLO
- 0.00%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Metrics
| Metric | PANW | TWLO |
|---|---|---|
| Dividend Yield (TTM) | 0.00% | 0.00% |
| Dividend Payout Ratio (TTM) | 0.00% | 0.00% |
Valuation
P/E Ratio (TTM)
Twilio (TWLO) at 25.38 is near its industry’s usual P/E ratio, while Palo Alto Networks (PANW) at 784.60 sits above its peer range — an unusually expensive price for PANW’s trailing earnings.
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
TWLO
Software & Services industry group
25.38
- Max
- 112.94
- Q3
- 60.32
- Median
- 32.91
- TWLO
- 25.38
- Q1
- 18.77
- Min
- 6.69
P/S Ratio (TTM)
Twilio (TWLO) at 5.36 prices around its industry’s typical P/S ratio, while Palo Alto Networks (PANW) at 22.37 clears its benchmark range — PANW looks notably rich on sales.
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
TWLO
Software & Services industry group
5.36
- Max
- 17.91
- Q3
- 8.78
- TWLO
- 5.36
- Median
- 4.25
- Q1
- 2.23
- Min
- 0.02
P/B Ratio (MRQ)
Twilio (TWLO) at 3.41 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
TWLO
Software & Services industry group
3.41
- Max
- 16.63
- Q3
- 8.50
- Median
- 4.30
- TWLO
- 3.41
- Q1
- 1.92
- Min
- -3.90
Valuation Metrics
| Metric | PANW | TWLO |
|---|---|---|
| P/E Ratio (TTM) | 784.60 | 25.38 |
| P/S Ratio (TTM) | 22.37 | 5.36 |
| P/B Ratio (MRQ) | 9.30 | 3.41 |
| Free Cash Flow Yield (TTM) | 1.65% | 3.45% |