Question 1

What is Palo Alto Networks's P/S ratio?

Accepted Answer

Palo Alto Networks (PANW) P/S ratio is 23.5× as of July 22, 2026. The ratio is calculated by dividing market capitalisation by trailing twelve-month revenue, using USD-normalised financials (IAS 21 exchange-rate translation for non-USD reporters).

Question 2

How is the P/S ratio calculated?

Accepted Answer

P/S = Market Capitalisation ÷ Trailing Twelve-Month (TTM) Revenue, or equivalently Share Price ÷ TTM Revenue Per Share. All inputs are sourced from audited GAAP/IFRS filings and translated to USD using period-end exchange rates so the multiple is comparable across companies and currencies.

Question 3

What is the P/S ratio?

Accepted Answer

The price-to-sales (P/S) ratio compares a company's market capitalisation to its trailing twelve-month (TTM) revenue. It is calculated as market cap ÷ TTM revenue (equivalent to share price ÷ TTM revenue per share). Because the denominator (revenue) cannot be negative, P/S is widely used to value unprofitable or pre-profit companies and to make cross-sector comparisons.

Question 4

What is a good P/S ratio for Palo Alto Networks?

Accepted Answer

A "good" P/S depends heavily on profit margin and growth: software and other high-margin businesses often command 5–15× sales, while low-margin retailers and commodity producers typically trade below 1×. Compare against sector peers rather than absolute thresholds. For Palo Alto Networks specifically, the relevant sector benchmark is the current sector median of 5.8×.

Question 5

Is Palo Alto Networks's P/S ratio high or low?

Accepted Answer

Palo Alto Networks's P/S ratio of 23.5× is above its own 5-year average of 11.7× and above the sector median of 5.8×. That places the current reading at the 99th percentile of its 10-year history. A higher multiple usually reflects stronger expected growth, lower perceived risk, or higher returns on capital; a lower multiple reflects the opposite.

Question 6

What is Palo Alto Networks's historical P/S ratio range?

Accepted Answer

In the available daily series, Palo Alto Networks (PANW) P/S ratio has ranged from a low of 5.8× in 2020 to a high of 25.2× in 2026. The 5-year average is 11.7× and the 5-year median is 11.6×.

Question 7

What was Palo Alto Networks's P/S ratio in 2025?

Accepted Answer

Palo Alto Networks (PANW) P/S ratio at the end of 2025 was 12.6×. Annual values reflect the multiple on the last trading day of each calendar year, using the trailing twelve-month revenue figure available at that date.

Question 8

Why does Palo Alto Networks's P/S ratio change over time?

Accepted Answer

Valuation multiples move with two inputs: the numerator (market capitalisation, which tracks the share price) and the denominator (revenue). Share-price changes — driven by interest rates, earnings expectations, risk appetite, and broader market sentiment — typically dominate short-term moves, while changes in the underlying fundamental drive the longer-term trend. As a result, the ratio can rise during stock-price rallies even if the business itself has not become more valuable, and fall during sell-offs even when fundamentals are improving.


2025	$116B	$9.22B	12.6×	-1.7×	Jul 31, 2025
2024	$115B	$8.03B	14.3×	+3.2×	Jul 31, 2024
2023	$76.7B	$6.89B	11.1×	+0.8×	Jul 31, 2023
2022	$56.9B	$5.5B	10.3×	+1.2×	Jul 31, 2022
2021	$38.8B	$4.26B	9.1×	+1.9×	Jul 31, 2021
2020	$24.6B	$3.41B	7.2×	-0.3×	Jul 31, 2020
2019	$21.7B	$2.9B	7.5×	-0.6×	Jul 31, 2019
2018	$18.4B	$2.27B	8.1×	+1.3×	Jul 31, 2018
2017	$12B	$1.76B	6.8×	-1.5×	Jul 31, 2017
2016	$11.4B	$1.38B	8.3×	-8.5×	Jul 31, 2016
2015	$15.6B	$928M	16.8×	+6.3×	Jul 31, 2015
2014	$6.29B	$598M	10.5×	+1.8×	Jul 31, 2014
2013	$3.47B	$396M	8.7×	-6.2×	Jul 31, 2013
2012	$3.81B	$255M	14.9×	—	Jul 31, 2012


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P/S Ratio for Palo Alto Networks (PANW) 2012-2026

P/S Ratio daily chart for Palo Alto Networks (PANW)

Historical P/S Ratio for Palo Alto Networks (PANW) from 2012 to 2025

About P/S Ratio at Palo Alto Networks (PANW)

Palo Alto Networks P/S Ratio by Year

Palo Alto Networks P/S Ratio 2025: 12.6×

Palo Alto Networks P/S Ratio 2024: 14.3×

Palo Alto Networks P/S Ratio 2023: 11.1×

Palo Alto Networks P/S Ratio 2022: 10.3×

Palo Alto Networks P/S Ratio 2021: 9.1×

Sector peers by P/S Ratio — chart

Sector peers by P/S Ratio — table

Frequently asked questions

Palo Alto Networks (PANW) Key Financials