PANW vs SMCI: Which Is the Better Buy?
Side-by-side comparison of Palo Alto Networks, Inc. and Super Micro Computer, Inc. — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-04-22.
Palo Alto Networks, Inc. · Technology
$174.96
+15.2% upside to fair value
Grade B
High Quality
VS
Super Micro Computer, Inc. · Technology
$28.56
+435.6% upside to fair value
Grade C
QuantHub Verdict
SMCI has more upside to fair value
(+435.6%).
SMCI trades at a lower forward P/E
(19.5x).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
PANW |
SMCI |
| Current Price |
$174.96 |
$28.56 |
| Fair Value Estimate |
$201.61 |
$152.97 |
| Upside to Fair Value |
+15.2%
|
+435.6%
|
| Market Cap |
$119.2B |
$17.1B |
| Forward P/E |
94.9x
|
19.5x
|
| EV / EBITDA |
52.4x
|
15.0x
|
| Price / Sales |
12.1x
|
0.6x
|
| Price / FCF |
29.3x
|
38.9x
|
| Revenue Growth YoY |
+14.9%
|
+123.4%
|
| Gross Margin |
73.5%
|
8.0%
|
| Operating Margin |
14.4%
|
3.7%
|
| Return on Equity |
15.5%
|
13.3%
|
| Dividend Yield |
0% |
0% |
| FCF Yield |
3.41%
|
2.57%
|
| Analyst Consensus |
Strong Buy
|
Hold
|
Investment Thesis
Palo Alto Networks is a leading cybersecurity company specializing in AI-driven cloud security platforms, subscription services, and hardware products. The company benefits from a durable competitive moat driven by its platform transformation under CEO Nikesh Arora, with over 50% of revenue from high-margin subscription services growing at 25.6% year-over-year in fiscal 2024. Despite a premium va…
Super Micro Computer, Inc. is a technology company specializing in server and storage systems with a strong focus on AI GPU platforms, which represent over 70% of its server revenue. The company benefits from a long-tenured leadership team and a durable competitive position in liquid cooling technology with a 70-80% market share. Despite strong revenue growth of 123.4% in the most recent quarter …
Accumulation Zones
| Metric |
PANW |
SMCI |
| Zone Low |
$151.21 |
$114.73 |
| Zone High |
$171.37 |
$130.02 |
| In Buy Zone? |
No
|
Yes
|