PANW vs S: How Palo Alto Networks and SentinelOne Compare (2026)

Same yardstick, side by side (as of August 2026). Valuation lined up like this is most meaningful for two names in the same corner of the market, which these are. Figures are approximate; verify before investing.

Reading it: S is the cheaper of the two on forward earnings, but cheaper is not the same as better. Pair the valuation with growth (how far the forward P/E sits below the trailing P/E) and risk (beta) before you decide.

The metrics above tell you which is the marginally better business. The bigger risk for most people is not picking the slightly worse stock, it is over-concentrating. PANW and S share themes, so owning both, or adding either to what you already hold, can quietly push a large share of your portfolio into one bet.

This is the part a generic comparison page cannot answer, because it depends on what you own. Connect your brokerage and Walnut shows your real, combined PANW and S exposure, flags overlap with your existing positions, and tells you if adding one would tip you past a concentration you are comfortable with, read-only by default, with your login staying at your broker. Walnut is not an investment adviser.

Palo Alto Networks is one of the largest pure-play cybersecurity companies in the world. It protects organizations across three broad areas. Network security centers on its next-generation firewalls (hardware, virtual, and cloud-delivered) plus the Prisma Access secure-access service edge (SASE) for protecting remote and hybrid workforces. Cloud security, branded Prisma Cloud, secures applications and workloads running across public clouds. Security operations, branded Cortex, uses AI and automation to detect and respond to threats across an enterprise. Palo Alto sells mostly through subscriptions and support, increasingly bundled under a platform strategy it calls platformization, where customers consolidate multiple security tools onto its integrated stack in exchange for better pricing and tighter integration. Founded in 2005 and headquartered in Santa Clara, California, Palo Alto has grown organically and through many acquisitions into a broad platform spanning network, cloud, and operations security, positioned as a consolidator in a fragmented industry.

Full PANW guide

SentinelOne (S) is a cybersecurity company specializing in AI-driven endpoint and cloud security. Its Singularity platform protects endpoints (laptops, servers, cloud workloads) by using machine learning to detect, block, and automatically respond to threats like malware and ransomware in real time, without relying solely on signature databases or human analysts. A distinctive feature is autonomous response: the platform can isolate and remediate attacks on its own, and it offers one-click rollback to undo ransomware damage.

Full S guide

Both fit overlapping themes, but they are not interchangeable. The useful comparison is which set of drivers and risks you want exposure to.

• PANW drivers: Platformization and consolidation; AI-driven security operations.
• S drivers: AI-native endpoint protection; Platform expansion.

A faster-growing, richer-valued name usually swings harder, so it suits a longer horizon and a higher tolerance for volatility; a steadier, more cash-generative business suits a more conservative or income-minded investor. The honest test is which set of risks you could hold through a drawdown: Cybersecurity is intensely competitive, with rivals like CrowdStrike, Zscaler, Fortinet, and Microsoft contesting different parts of Palo Alto's platform. For S, sentinelOne competes head-to-head with CrowdStrike, which is larger, profitable, and has a strong brand, plus Microsoft, which bundles endpoint security into broad licensing at attractive prices.

Growth-minded investors who believe the theme has years to run tend to accept the richer multiple for more upside; value-minded investors lean toward the cheaper forward earnings and steadier profile. Pick PANW if you believe its drivers more; S if you believe its. Many investors hold both, but since they share themes, that is a concentrated bet, not diversification. Decide deliberately and check overlap. For the full detail, see the PANW and S guides.

PANW. Palo Alto is a large, profitable, cash-generative security platform with strong free cash flow and a big backlog. Its premium valuation reflects scale, consolidation strategy, and AI-security positioning, balanced against intense competition, the optics of platformization on near-term growth, and macro sensitivity in enterprise security budgets.

S. SentinelOne trades as a high-growth cybersecurity name valued on ARR growth and platform expansion rather than current GAAP earnings. The premium price-to-sales multiple reflects strong recurring-revenue growth and improving margins, balanced against GAAP losses, dilution, and direct competition with CrowdStrike and Microsoft. Valuation is highly sensitive to growth-rate changes and the path to profitability.

Headline figures (approximate, early 2026): PANW shows revenue (ttm) ~$9 billion, revenue growth mid-teens %, non-gaap operating margin ~28%+, gaap profitability profitable, improving; S shows revenue (ttm) ~$850 million, annual recurring revenue Growing rapidly (around or above $900 million), revenue growth Strong (high double-digit, decelerating from very high), gross margin High (improving, ~75%+ non-GAAP).

PANW and S are related but distinct: same themes, different businesses and risks. Neither wins in the abstract; the right pick is whichever thesis you actually believe, sized so you are not over-concentrated in one theme. Walnut can show your combined PANW and S exposure against your real portfolio. It is not an investment adviser.