Is Palo Alto Networks financially healthy?

On 31 July 2026 Palo Alto Networks held 3.07B USD in cash and short-term investments against total debt of 2.50B USD. Its current ratio is 0.87: what falls due within a year against what turns into cash within a year. Over the last twelve months it generated 4.11B USD of free cash flow.

Is Palo Alto Networks growing?

Palo Alto Networks's revenue grew 22.0% a year over its last five fiscal years, from 4.26B USD in fiscal year 2021 to 11.48B USD in fiscal year 2026. Over the last twelve months it was up 24.5% on the twelve months before.

Where can I find Palo Alto Networks's annual report (10-K)?

Palo Alto Networks files its annual report (Form 10-K) and its quarterly reports (Form 10-Q) with the US Securities and Exchange Commission, on its EDGAR site; the figures on these pages come from them.

Palo Alto Networks
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Arincen ScoreBeta63/100

63/100B

318.15

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Last updated: 13 Nov, 10:29 GMT-5 · Delayed 15 min

Q1 FY2027 · Earnings report

EPS estimate 0.97Revenue estimate 3.31B

Q1 FY2027 · Earnings report

Wednesday 18 November

EPS estimate 0.97Revenue estimate 3.31B

Q1 FY2027 · Earnings report

EPS estimate 0.97Revenue estimate 3.31B

Q1 FY2027 · Earnings report

Wednesday 18 November

EPS estimate 0.97Revenue estimate 3.31B

Overview Financials News Forecast Earnings Company

Palo Alto Networks financials

Yes. Palo Alto Networks earned 307.00M USD of net income over the last twelve months, 2.7% of its revenue. It made a profit in 5 of its 18 fiscal years since 2009. Its last loss was in fiscal year 2022.

Revenue (TTM)What does TTM (trailing twelve months) mean? TTM (trailing twelve months) is a figure over the latest twelve months of reports: usually the last four quarters added together.: 11.48B USD
Net income (TTM)What is an income statement? The income statement shows a company's revenue, costs and profit over a quarter or a year, from sales at the top to net income at the bottom.: 307.00M USD
Free cash flow (TTM)What is free cash flow (FCF)? Free cash flow is the cash a company's operations bring in minus what it spends on long-term assets (capex): cash left for debt, dividends and buybacks.: 4.11B USD
Cash and short-term investments: 3.07B USD
Total debt: 2.50B USD
Shareholders' equityWhat is a balance sheet? The balance sheet lists what a company owns (assets), what it owes (liabilities) and what is left for its shareholders (equity) on one date.: 27.49B USD

Cash, debt and equity as of 31 Jul 2026.

Palo Alto Networks earnings

Next earnings · Q1 FY2027

18 Nov 2026

EPS estimate

0.97 USD

Revenue estimate

3.31B USD

Last quarter · Q4 FY2026

EPS1.02Beat +4.3%Revenue3.41BBeat +1.7%

Revenue

ReportedEstimate

EPS

ReportedEstimate

Period	Report date	EPS estimate	Reported EPS	Surprise	EPS growth	Revenue estimate	Reported revenue	Surprise	Revenue growth
Q4 FY2027	—	1.18	—	—	+15.86%	3.90B	—	—	+14.38%
Q3 FY2027	—	1.03	—	—	+20.64%	3.55B	—	—	+18.12%
Q2 FY2027	—	1.01	—	—	-2.27%	3.41B	—	—	+31.60%
Q1 FY2027	18 Nov 2026	0.97	—	—	+4.52%	3.31B	—	—	+33.67%
Q4 FY2026	1 Sept 2026	0.98	1.02	+4.29%	+7.37%	3.35B	3.41B	+1.74%	+34.45%
Q3 FY2026	2 Jun 2026	0.79	0.85	+7.19%	+6.25%	2.94B	3.00B	+2.00%	+31.15%
Q2 FY2026	17 Feb 2026	0.94	1.03	+9.69%	+27.16%	2.58B	2.59B	+0.43%	+14.91%
Q1 FY2026	19 Nov 2025	0.89	0.93	+4.38%	+19.23%	2.46B	2.47B	+0.50%	+15.66%
Q4 FY2025	18 Aug 2025	0.89	0.95	+7.34%	+26.67%	2.50B	2.54B	+1.39%	+15.84%
Q3 FY2025	20 May 2025	0.77	0.80	+3.63%	+21.21%	2.28B	2.29B	+0.43%	+15.33%

Period	EPS estimate	Reported EPS	Surprise	EPS growth	Revenue estimate	Reported revenue	Surprise	Revenue growth
FY2029	5.62	—	—	+15.73%	18.39B	—	—	+13.59%
FY2028	4.86	—	—	+16.13%	16.19B	—	—	+14.28%
FY2027	4.18	—	—	+9.26%	14.17B	—	—	+23.40%
FY2026	3.78	3.83	+1.32%	+14.67%	11.42B	11.48B	+0.52%	+24.49%
FY2025	3.27	3.34	+2.02%	+18.02%	9.19B	9.22B	+0.38%	+14.88%
FY2024	2.27	2.83	+24.45%	+8.02%	8.19B	8.03B	-1.94%	+16.46%
FY2023	2.13	2.62	+22.79%	+107.94%	6.90B	6.89B	-0.05%	+25.29%

Palo Alto Networks growth and profitability

Full income statement

Revenue (TTM)What does TTM (trailing twelve months) mean? TTM (trailing twelve months) is a figure over the latest twelve months of reports: usually the last four quarters added together.: 11.48B USD
Net income (TTM)What is an income statement? The income statement shows a company's revenue, costs and profit over a quarter or a year, from sales at the top to net income at the bottom.: 307.00M USD
Gross marginWhat are gross, operating and net profit margins? A profit margin is the share of revenue kept as profit: gross margin after the cost of sales, operating margin after running costs, net margin after all costs.: 70.36%
Operating margin: 6.03%
Net margin: 2.67%

Revenue / Net income

Revenue Net income Net margin

Period	Revenue	Growth	Net income	Growth	Gross margin	Operating margin	Net margin	EBITDA	Growth
FY2026	11.48B	+24.49%	307.00M	-72.93%	70.36%	6.05%	2.67%	1.39B	-28.32%
FY2025	9.22B	+14.87%	1.13B	-56.01%	73.41%	13.48%	12.30%	1.94B	+52.04%
FY2024	8.03B	+16.46%	2.58B	+486.22%	74.35%	8.52%	32.11%	1.28B	+46.88%
FY2023	6.89B	+25.29%	439.70M	—	72.29%	5.62%	6.38%	869.00M	+809.00%
FY2022	5.50B	+29.26%	-267.00M	—	68.76%	-3.43%	-4.85%	95.60M	—

Period	Revenue	Net income	Gross margin	Operating margin	Net margin
Q4 FY2026	3.41B	-282.00M	67.57%	4.96%	-8.27%
Q3 FY2026	3.00B	-177.00M	67.55%	-6.10%	-5.90%
Q2 FY2026	2.59B	432.00M	73.59%	15.30%	16.65%
Q1 FY2026	2.47B	334.00M	74.21%	12.49%	13.50%
Q4 FY2025	2.54B	253.80M	73.23%	19.60%	10.01%

How Palo Alto Networks makes its moneyWhat is an income statement? The income statement shows a company's revenue, costs and profit over a quarter or a year, from sales at the top to net income at the bottom.

Subscription6.24B 54.3%

Support2.96B 25.8%

Product2.28B 19.9%

Revenue11.48B 100.0%

Cost of revenue3.40B 29.6%

Gross profit8.08B 70.4%

Research and development2.55B 22.2%

Selling and administration4.83B 42.1%

Operating income695.00M 6.1%

Tax229.00M 2.0%

Other expense159.00M 1.4%

Net income307.00M 2.7%

FY2026, in USD. Each band is as wide as its money; the percentage is its share of revenue.

Palo Alto Networks revenue breakdown

By product

FY2026

54.3%Subscription25.8%Support19.9%Product

Segment	Revenue	Share of revenue	Change on the year
Subscription	6.24B	54.3%	+25.4%
Support	2.96B	25.8%	+21.1%
Product	2.28B	19.9%	+26.5%

By region

FY2026

66.9%Americas21.1%EMEA12.0%Asia Pacific

Region	Revenue	Share of revenue	Change on the year
Americas	7.68B	66.9%	+23.8%
EMEA	2.43B	21.1%	+26.6%
Asia Pacific	1.37B	12.0%	+24.9%

Operating and free cash flow

Full cash flow statement

Operating cash flow Free cash flow

Fiscal year	Operating cash flow	Free cash flow
FY2026	4.55B	4.11B
FY2025	3.72B	3.47B
FY2024	3.26B	3.10B
FY2023	2.78B	2.63B
FY2022	1.98B	1.79B
FY2021	1.50B	1.39B
FY2020	1.04B	821.30M
FY2019	1.06B	924.40M
FY2018	1.04B	925.00M
FY2017	868.50M	705.10M

Palo Alto Networks financial health

Full balance sheet

Cash and short-term investments: 3.07B USD
Total debt: 2.50B USD
Net cash: 571.00M USD
Free cash flow (TTM)What is free cash flow (FCF)? Free cash flow is the cash a company's operations bring in minus what it spends on long-term assets (capex): cash left for debt, dividends and buybacks.: 4.11B USD
Current ratioWhat is the current ratio? The current ratio is current assets divided by current liabilities: whether what a company will turn into cash within a year covers what it owes within a year.: 0.87
Debt to equityWhat is the debt to equity ratio? Debt to equity is a company's total debt divided by its shareholders' equity: how much it has borrowed for each dollar its owners have in the business.: 0.09
Piotroski scoreWhat is the Piotroski F-Score? The Piotroski F-Score rates a company's financial strength from 0 to 9: one point for each of nine tests of profit, debt and efficiency it passes.: 4 / 9
Altman Z-scoreWhat is the Altman Z-Score? The Altman Z-Score rolls five financial ratios into one number that signals a company's risk of bankruptcy: over 3 is safe, under 1.8 is distress.: 7.67

Cash, debt and free cash flow

Cash and short-term investments Total debt Free cash flow

Fiscal year	Cash and short-term investments	Total debt	Free cash flow
FY2026	3.07B	2.50B	4.11B
FY2025	2.90B	338.20M	3.47B
FY2024	2.58B	1.34B	3.10B
FY2023	2.39B	2.27B	2.63B
FY2022	3.63B	3.95B	1.79B

Assets, liabilities and equity

Total assets Total liabilities Shareholders' equity

Fiscal year	Total assets	Total liabilities	Shareholders' equity
FY2026	48.46B	20.97B	27.49B
FY2025	23.58B	15.75B	7.82B
FY2024	19.99B	14.82B	5.17B
FY2023	14.50B	12.75B	1.75B
FY2022	12.25B	12.04B	210.00M
FY2021	10.24B	9.48B	763.60M
FY2020	9.07B	7.96B	1.10B
FY2019	6.59B	5.01B	1.59B
FY2018	5.82B	4.83B	988.30M
FY2017	3.44B	2.68B	759.60M

Palo Alto Networks valuation

Price to earnings ratio (TTM)What is the P/E ratio? The P/E ratio divides a share's price by its earnings per share over the last year: what you pay for each dollar of profit.: 691.63
Forward P/E (FY2027)What is the forward P/E ratio? Forward P/E divides a share's price by the earnings per share analysts expect in the coming year, rather than last year's actual earnings.: 76.03
Price to sales (TTM)What is the P/S ratio? The price-to-sales ratio compares a company's market value with its revenue over the last year: what you pay for each dollar of sales.: 22.68
Price to bookWhat is the P/B ratio? The price-to-book ratio compares a company's market value with its book value, the shareholders' equity on its balance sheet.: 9.47
EV / EBITDA (TTM)What is EV/EBITDA? EV/EBITDA compares a company's whole value, debt included and cash taken off, with a year of its earnings before interest, tax and depreciation.: 168.71

Capital structureWhat is enterprise value? Enterprise value is what the whole business costs: the market value of its shares plus its debt minus its cash. It is the price behind EV/EBITDA.

Market capitalization

260.39B USD

Total debt

2.50B USD

−

Cash and short-term investments

3.07B USD

Enterprise value

259.82B USD

Valuation over time

P/EForward P/EForward P/E · EstimateEstimate

Fiscal year	P/E	Forward P/E	P/S	P/B	EV/EBITDA
FY2029 (est.)	56.57	—	—	—	—
FY2028 (est.)	65.47	56.57	—	—	—
FY2027 (est.)	76.03	65.47	—	—	—
Now (TTM)	691.63	72.66	22.68	9.47	168.71
FY2026	721.37	79.30	21.65	9.04	178.67
FY2025	101.52	45.96	12.47	14.70	58.27
FY2024	40.19	49.58	12.91	20.05	81.06
FY2023	171.21	54.97	11.00	43.35	88.52
FY2022	-188.02	39.09	9.09	238.12	542.25

Palo Alto Networks against its own historyWhat does "against its own history" show? The company's latest margins, return on equity, growth, debt and P/E against its own last 5 years: the low, the median and the high, and whether this year is better or worse than usual.

Each figure in the latest fiscal year against the same figure from FY2022 to FY2026: the range, its median (the line) and the latest (the dot, green on the good side of the median). The P/E is today's against its daily readings of five years.

Its peers: CrowdStrike Holdings, Oracle, Palantir Technologies, Cloudflare, Fortinet, and Synopsys, the US Software - Infrastructure companies closest to it in size, each in its own latest fiscal year: their median (the line) and its rank among them, first being the best.

Gross marginBelow its median70.4%
68.8%74.3%
Against its peers: 6 of 7Peers' median 75.8%
Operating marginAt its median6.1%
-3.4%13.5%
Against its peers: 5 of 7Peers' median 21.8%
Net marginBelow its median2.7%
-4.9%32.1%
Against its peers: 5 of 7Peers' median 22.1%
Return on equityBelow its median1.1%
-127.1%49.9%
Against its peers: 5 of 7Peers' median 13.4%
Free cash flow marginBelow its median35.8%
32.6%38.6%
Against its peers: 2 of 7Peers' median 23.2%
Revenue growthAt its median24.5%
14.9%29.3%
Against its peers: 3 of 7Peers' median 19.5%
EPS growthLowest in 5 years-75.0%
-75.0%468.8%
Against its peers: 5 of 5Peers' median 20.9%
Debt to EBITDAAt its median1.80×
0.17×41.35×
Against its peers: 3 of 7Peers' median 4.58×
Current ratioAt its median0.87
0.770.89
Against its peers: 7 of 7Peers' median 1.69

Figure	FY2026	5-year low – high	Against its history	Against its peers
Gross margin	70.4%	68.8%74.3%	Below its median	6 of 7
Operating margin	6.1%	-3.4%13.5%	At its median	5 of 7
Net margin	2.7%	-4.9%32.1%	Below its median	5 of 7
Return on equity	1.1%	-127.1%49.9%	Below its median	5 of 7
Free cash flow margin	35.8%	32.6%38.6%	Below its median	2 of 7
Revenue growth	24.5%	14.9%29.3%	At its median	3 of 7
EPS growth	-75.0%	-75.0%468.8%	Lowest in 5 years	5 of 5
Debt to EBITDA	1.80×	0.17×41.35×	At its median	3 of 7
Current ratio	0.87	0.770.89	At its median	7 of 7

Peers: US companies of the same industry (of its sector when the industry has too few) from a tenth to ten times its market value, the six closest in size. Updated weekly.

Palo Alto Networks ownership

InstitutionsWhat is institutional ownership? Institutional ownership is the share of a company's stock held by funds, banks and other investment managers, as they report it each quarter on Form 13F.: 92.60%
Institutional holders: 3,058 (+465)
Free floatWhat is free float? Free float is the part of a company's shares that anyone can buy and sell: all its shares minus those held by insiders, founders and owners of over 5%.: 99.09%

Who owns the shares

Institutions 92.6% Others 7.4%

As of 30 Jun 2026

Shares free to trade

Free float 810.98M shares ·99.1% Closely held 7.46M shares ·0.9%

Closely held shares belong to insiders, founders and owners of more than 5%, and seldom change hands. The free float is the rest: the shares anyone can buy and sell.

Insider trading

Quarter	Purchases	Sales	Shares acquired	Shares disposed of
Q4 2026	0	49	1.81M	937.91K
Q3 2026	0	28	7.21K	87.14K
Q2 2026	0	37	0.00	1.04M
Q1 2026	2	10	186.72K	238.87K

Shares outstanding

Basic shares Diluted shares Change in diluted shares

Fiscal year	Basic shares	Diluted shares	Change in diluted shares
FY2026	749.00M	764.00M	+7.71%
FY2025	662.50M	709.30M	+0.18%
FY2024	638.40M	708.00M	+3.42%
FY2023	606.40M	684.60M	+15.84%
FY2022	591.00M	591.00M	+2.18%

Common questions about Palo Alto Networks's financials

Source: Financial Modeling Prep

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Palo Alto Networks financials

Palo Alto Networks earnings

Revenue

EPS

Palo Alto Networks growth and profitability

Revenue / Net income

How Palo Alto Networks makes its moneyWhat is an income statement? The income statement shows a company's revenue, costs and profit over a quarter or a year, from sales at the top to net income at the bottom.

Palo Alto Networks revenue breakdown

By product

By region

Operating and free cash flow

Palo Alto Networks financial health

Cash, debt and free cash flow

Assets, liabilities and equity

Palo Alto Networks valuation

Capital structureWhat is enterprise value? Enterprise value is what the whole business costs: the market value of its shares plus its debt minus its cash. It is the price behind EV/EBITDA.

Valuation over time

Palo Alto Networks against its own historyWhat does "against its own history" show? The company's latest margins, return on equity, growth, debt and P/E against its own last 5 years: the low, the median and the high, and whether this year is better or worse than usual.

Palo Alto Networks ownership

Who owns the shares

Shares free to trade

Insider trading

Shares outstanding

Common questions about Palo Alto Networks's financials

Is Palo Alto Networks profitable?

Is Palo Alto Networks financially healthy?

Is Palo Alto Networks growing?

Where can I find Palo Alto Networks's annual report (10-K)?

Need help?

Palo Alto Networks DQuotes are delayed by 15 minutes

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Palo Alto Networks financials

Palo Alto Networks earnings

Revenue

EPS

Palo Alto Networks growth and profitability

Revenue / Net income

How Palo Alto Networks makes its moneyWhat is an income statement? The income statement shows a company's revenue, costs and profit over a quarter or a year, from sales at the top to net income at the bottom.

Palo Alto Networks revenue breakdown

By product

By region

Operating and free cash flow

Palo Alto Networks financial health

Cash, debt and free cash flow

Assets, liabilities and equity

Palo Alto Networks valuation

Capital structureWhat is enterprise value? Enterprise value is what the whole business costs: the market value of its shares plus its debt minus its cash. It is the price behind EV/EBITDA.

Valuation over time

Palo Alto Networks against its own historyWhat does "against its own history" show? The company's latest margins, return on equity, growth, debt and P/E against its own last 5 years: the low, the median and the high, and whether this year is better or worse than usual.

Palo Alto Networks ownership

Who owns the shares

Shares free to trade

Insider trading

Shares outstanding

Common questions about Palo Alto Networks's financials

Is Palo Alto Networks profitable?

Is Palo Alto Networks financially healthy?

Is Palo Alto Networks growing?

Where can I find Palo Alto Networks's annual report (10-K)?

Need help?

Palo Alto Networks
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Quotes are delayed by 15 minutes