PANW vs. WDAY: Palo Alto Networks vs. Workday Stock Comparison
How do Palo Alto Networks (PANW) and Workday (WDAY) 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 Workday (WDAY) both belong to the Software industry, though PANW is classified under Systems Software while WDAY falls under Application Software.
| Profile Item | PANW | WDAY |
|---|---|---|
| Name | Palo Alto Networks, Inc. | Workday 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 | Software |
| GICS Sub-Industry | Systems Software | Application Software |
| Market Capitalization | 256.86 billion USD | 46.49 billion USD |
| Currency | USD | USD |
| Exchange | Nasdaq | Nasdaq |
| Listing Date | July 20, 2012 | October 12, 2012 |
| Security Type | Common Stock | Common Stock |
Price Performance
Cumulative Growth
Trailing Returns
Calendar-Year Returns
Performance Metrics
| Metric | PANW | WDAY |
|---|---|---|
| Total Return (1Y) | 53.99% | -14.74% |
| Total Return (3Y, Annualized) | 39.16% | -5.22% |
| Total Return (5Y, Annualized) | 30.80% | -8.14% |
Risk Profile
Drawdown History
Return Distribution
Risk Metrics
| Metric | PANW | WDAY |
|---|---|---|
| Volatility (1Y, Annualized) | 51.34% | 54.35% |
| Beta (5Y) | 1.00 | 1.01 |
| Max Drawdown (5Y) | -36.01% | -63.38% |
| Avg. Volume (3M) | 6.03M | 3.14M |
Risk-Adjusted Performance
Risk-Return Positioning
Risk-Adjusted Metrics
| Metric | PANW | WDAY |
|---|---|---|
| Sharpe Ratio (1Y) | 0.97 | -0.35 |
| Sortino Ratio (1Y) | 1.49 | -0.54 |
Profitability
ROE (TTM)
Both Palo Alto Networks (PANW) at 1.74% and Workday (WDAY) at 16.01% 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%
WDAY
Software & Services industry group
16.01%
- Max
- 53.85%
- Q3
- 17.90%
- WDAY
- 16.01%
- Median
- 6.59%
- Q1
- -9.59%
- Min
- -50.52%
Net Margin (TTM)
Both Palo Alto Networks (PANW) at 2.67% and Workday (WDAY) at 12.32% 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%
WDAY
Software & Services industry group
12.32%
- Max
- 41.17%
- Q3
- 15.28%
- WDAY
- 12.32%
- Median
- 4.63%
- Q1
- -5.42%
- Min
- -33.17%
Operating Margin (TTM)
Both Palo Alto Networks (PANW) at 5.40% and Workday (WDAY) at 11.82% 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%
WDAY
Software & Services industry group
11.82%
- Max
- 46.89%
- Q3
- 17.64%
- WDAY
- 11.82%
- Median
- 8.73%
- Q1
- -2.13%
- Min
- -30.45%
Profitability Metrics
| Metric | PANW | WDAY |
|---|---|---|
| ROE (TTM) | 1.74% | 16.01% |
| ROA (TTM) | 1.40% | 4.51% |
| Net Margin (TTM) | 2.67% | 12.32% |
| Operating Margin (TTM) | 5.40% | 11.82% |
| Gross Margin (TTM) | 70.38% | 75.80% |
Growth
Revenue Growth
Both Palo Alto Networks (PANW) at 24.50% and Workday (WDAY) at 13.10% land near their industries' usual revenue growth ranges, so top-line momentum looks broadly in line with peers on both sides.
EPS Growth
Workday (WDAY) at 32.82% is around its peer norm for EPS growth, while Palo Alto Networks (PANW) at -75.00% drops into the bottom quartile, signaling weaker earnings momentum.
Growth Metrics
| Metric | PANW | WDAY |
|---|---|---|
| Revenue Growth (YoY) | 24.50% | 13.10% |
| Revenue Growth (3Y CAGR) | 18.54% | 15.40% |
| EPS Growth (YoY) | -75.00% | 32.82% |
| EPS Growth (3Y CAGR) | -14.50% | -- |
Financial Strength
Current Ratio (MRQ)
Both Palo Alto Networks (PANW) at 0.87 and Workday (WDAY) at 0.91 run current ratio in the tighter-liquidity quartile of industry peers, leaving thinner cushions against current liabilities than typical competitors.
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
WDAY
Software & Services industry group
0.91
- Max
- 5.11
- Q3
- 2.77
- Median
- 1.67
- Q1
- 1.01
- WDAY
- 0.91
- Min
- 0.03
Debt / Equity (MRQ)
Both Palo Alto Networks (PANW) at 0.09 and Workday (WDAY) at 0.58 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
WDAY
Software & Services industry group
0.58
- Max
- 2.52
- Q3
- 1.13
- WDAY
- 0.58
- Median
- 0.40
- Q1
- 0.07
- Min
- 0.00
Financial Strength Metrics
| Metric | PANW | WDAY |
|---|---|---|
| Current Ratio (MRQ) | 0.87 | 0.91 |
| Debt / Equity (MRQ) | 0.09 | 0.58 |
| Net Debt / EBITDA | -0.32 | 0.23 |
Dividends
Dividend Yield (TTM)
Neither Palo Alto Networks (PANW) nor Workday (WDAY) 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%
WDAY
Software & Services industry group
0.00%
- WDAY
- 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 Workday (WDAY) 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%
WDAY
Software & Services industry group
0.00%
- WDAY
- 0.00%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Metrics
| Metric | PANW | WDAY |
|---|---|---|
| Dividend Yield (TTM) | 0.00% | 0.00% |
| Dividend Payout Ratio (TTM) | 0.00% | 0.00% |
Valuation
P/E Ratio (TTM)
Workday (WDAY) at 39.29 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
WDAY
Software & Services industry group
39.29
- Max
- 112.94
- Q3
- 60.32
- WDAY
- 39.29
- Median
- 32.91
- Q1
- 18.77
- Min
- 6.69
P/S Ratio (TTM)
Workday (WDAY) at 4.58 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
WDAY
Software & Services industry group
4.58
- Max
- 17.91
- Q3
- 8.78
- WDAY
- 4.58
- Median
- 4.25
- Q1
- 2.23
- Min
- 0.02
P/B Ratio (MRQ)
Workday (WDAY) at 7.20 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
WDAY
Software & Services industry group
7.20
- Max
- 16.63
- Q3
- 8.50
- WDAY
- 7.20
- Median
- 4.30
- Q1
- 1.92
- Min
- -3.90
Valuation Metrics
| Metric | PANW | WDAY |
|---|---|---|
| P/E Ratio (TTM) | 784.60 | 39.29 |
| P/S Ratio (TTM) | 22.37 | 4.58 |
| P/B Ratio (MRQ) | 9.30 | 7.20 |
| Free Cash Flow Yield (TTM) | 1.65% | 6.55% |