Current Ratio
since 2012
Calculation
Palo Alto Networks Inc., current ratio, long-term trends, calculation
| Current ratio | = | Current assets1 | ÷ | Current liabilities1 | |
|---|---|---|---|---|---|
| Jul 31, 2026 | 0.87 | = | 8,643) | ÷ | 9,923) |
| Jul 31, 2025 | 0.94 | = | 7,523) | ÷ | 7,988) |
| Jul 31, 2024 | 0.89 | = | 6,850) | ÷ | 7,683) |
| Jul 31, 2023 | 0.78 | = | 6,048) | ÷ | 7,738) |
| Jul 31, 2022 | 0.77 | = | 6,415) | ÷ | 8,306) |
| Jul 31, 2021 | 0.91 | = | 4,647) | ÷ | 5,117) |
| Jul 31, 2020 | 1.91 | = | 5,129) | ÷ | 2,692) |
| Jul 31, 2019 | 1.78 | = | 3,665) | ÷ | 2,053) |
| Jul 31, 2018 | 1.93 | = | 4,132) | ÷ | 2,139) |
| Jul 31, 2017 | 1.65 | = | 1,976) | ÷ | 1,201) |
| Jul 31, 2016 | 2.03 | = | 1,719) | ÷ | 847) |
| Jul 31, 2015 | 1.04 | = | 1,074) | ÷ | 1,032) |
| Jul 31, 2014 | 2.75 | = | 958) | ÷ | 348) |
| Jul 31, 2013 | 2.57 | = | 530) | ÷ | 206) |
| Jul 31, 2012 | 3.13 | = | 382) | ÷ | 122) |
Based on: 10-K (reporting date: 2026-07-31), 10-K (reporting date: 2025-07-31), 10-K (reporting date: 2024-07-31), 10-K (reporting date: 2023-07-31), 10-K (reporting date: 2022-07-31), 10-K (reporting date: 2021-07-31), 10-K (reporting date: 2020-07-31), 10-K (reporting date: 2019-07-31), 10-K (reporting date: 2018-07-31), 10-K (reporting date: 2017-07-31), 10-K (reporting date: 2016-07-31), 10-K (reporting date: 2015-07-31), 10-K (reporting date: 2014-07-31), 10-K (reporting date: 2013-07-31), 10-K (reporting date: 2012-07-31).
1 US$ in millions
The liquidity position has transitioned from a state of significant excess to a sustained period of working capital deficit. While both current assets and current liabilities have grown substantially in absolute terms over the observed period, the growth rate of liabilities has outpaced that of assets in recent years, leading to a structural decline in the current ratio.
- Phase of High Liquidity (2012–2014)
- An initial period of strong short-term solvency is observed, with the current ratio peaking at 3.13 in 2012. During this time, current assets significantly exceeded current liabilities, providing a substantial cushion for short-term obligations.
- Mid-Term Volatility and Stabilization (2015–2020)
- A sharp contraction occurred in 2015, where the ratio fell to 1.04. This was followed by a recovery and a period of relative stability between 2016 and 2020, with the ratio fluctuating between 1.65 and 2.03, indicating a balanced approach to liquidity management.
- Persistent Liquidity Constraint (2021–2026)
- A notable shift occurred starting in 2021, as the current ratio dropped below 1.0. The lowest liquidity level was recorded in 2022 at 0.77. Although there is a marginal recovery toward 0.94 by 2025, the ratio remains consistently below parity through 2026, signifying that current liabilities now exceed current assets.
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Comparison to Competitors
Palo Alto Networks Inc., current ratio, long-term trends, comparison to competitors
| Palo Alto Networks Inc. | Accenture PLC | Adobe Inc. | AppLovin Corp. | Cadence Design Systems Inc. | Datadog Inc. | International Business Machines Corp. | Intuit Inc. | Microsoft Corp. | Oracle Corp. | Palantir Technologies Inc. | Salesforce Inc. | ServiceNow Inc. | Synopsys Inc. | Workday Inc. | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Jul 31, 2026 | 0.87 | — | — | — | — | — | — | 1.51 | 1.23 | 1.12 | — | 0.76 | — | — | 1.32 |
| Jul 31, 2025 | 0.94 | 1.42 | 1.00 | 3.32 | 2.86 | 3.38 | 0.96 | 1.36 | 1.35 | 0.75 | 7.11 | 1.06 | 1.00 | 1.62 | 1.90 |
| Jul 31, 2024 | 0.89 | 1.10 | 1.07 | 2.19 | 2.93 | 2.64 | 1.04 | 1.29 | 1.27 | 0.72 | 5.96 | 1.09 | 1.10 | 2.44 | 1.97 |
| Jul 31, 2023 | 0.78 | 1.30 | 1.34 | 1.71 | 1.24 | 3.17 | 0.96 | 1.47 | 1.77 | 0.91 | 5.55 | 1.02 | 1.06 | 1.15 | 1.75 |
| Jul 31, 2022 | 0.77 | 1.23 | 1.11 | 3.35 | 1.27 | 3.09 | 0.92 | 1.39 | 1.78 | 1.62 | 5.17 | 1.05 | 1.11 | 1.09 | 1.03 |
| Jul 31, 2021 | 0.91 | 1.25 | 1.25 | 5.05 | 1.77 | 3.54 | 0.88 | 1.94 | 2.08 | 2.30 | 4.34 | 1.23 | 1.05 | 1.16 | 1.12 |
| Jul 31, 2020 | 1.91 | 1.40 | 1.48 | — | 1.86 | 5.77 | 0.98 | 2.26 | 2.52 | 3.03 | 3.74 | 1.08 | 1.21 | 1.19 | 1.04 |
| Jul 31, 2019 | 1.78 | 1.40 | 0.79 | — | 1.74 | 4.51 | 1.02 | 1.83 | 2.53 | 2.49 | — | 0.95 | 1.03 | 0.99 | 1.11 |
| Jul 31, 2018 | 1.93 | 1.34 | 1.13 | — | 1.34 | — | 1.29 | 1.14 | 2.90 | 3.96 | — | 0.92 | 1.17 | 0.73 | 1.92 |
| Jul 31, 2017 | 1.65 | 1.23 | 2.05 | — | 1.53 | — | 1.33 | 0.73 | 2.48 | 3.08 | — | 0.83 | 1.15 | 1.04 | 1.93 |
| Jul 31, 2016 | 2.03 | 1.35 | 2.08 | — | 1.20 | — | 1.21 | 0.72 | 2.35 | 3.74 | — | 0.77 | 1.25 | 1.00 | 2.56 |
| Jul 31, 2015 | 1.04 | 1.36 | 2.18 | — | 1.80 | — | 1.24 | 1.47 | 2.50 | 4.13 | — | 0.81 | 1.48 | 0.99 | 3.29 |
| Jul 31, 2014 | 2.75 | 1.46 | 1.85 | — | 1.33 | — | 1.25 | 1.84 | 2.50 | 3.35 | — | 0.67 | 1.79 | 1.09 | 4.80 |
| Jul 31, 2013 | 2.57 | 1.45 | 2.65 | — | 1.06 | — | 1.28 | 1.87 | 2.71 | 3.24 | — | 0.69 | 2.43 | 1.18 | 3.47 |
| Jul 31, 2012 | 3.13 | 1.55 | 3.41 | — | 1.14 | — | 1.13 | 1.20 | 2.60 | 2.60 | — | 0.72 | 1.99 | 0.91 | — |
Based on: 10-K (reporting date: 2026-07-31), 10-K (reporting date: 2025-07-31), 10-K (reporting date: 2024-07-31), 10-K (reporting date: 2023-07-31), 10-K (reporting date: 2022-07-31), 10-K (reporting date: 2021-07-31), 10-K (reporting date: 2020-07-31), 10-K (reporting date: 2019-07-31), 10-K (reporting date: 2018-07-31), 10-K (reporting date: 2017-07-31), 10-K (reporting date: 2016-07-31), 10-K (reporting date: 2015-07-31), 10-K (reporting date: 2014-07-31), 10-K (reporting date: 2013-07-31), 10-K (reporting date: 2012-07-31).
Comparison to Sector (Software & Services)
Palo Alto Networks Inc., current ratio, long-term trends, comparison to sector (software & services)
| Palo Alto Networks Inc. | Software & Services | |
|---|---|---|
| Jul 31, 2026 | 0.87 | — |
| Jul 31, 2025 | 0.94 | 1.25 |
| Jul 31, 2024 | 0.89 | 1.19 |
| Jul 31, 2023 | 0.78 | 1.40 |
| Jul 31, 2022 | 0.77 | 1.43 |
| Jul 31, 2021 | 0.91 | 1.68 |
| Jul 31, 2020 | 1.91 | 1.92 |
| Jul 31, 2019 | 1.78 | 1.84 |
| Jul 31, 2018 | 1.93 | 2.23 |
| Jul 31, 2017 | 1.65 | 2.06 |
| Jul 31, 2016 | 2.03 | 2.03 |
| Jul 31, 2015 | 1.04 | 2.15 |
| Jul 31, 2014 | 2.75 | 2.01 |
| Jul 31, 2013 | 2.57 | 2.04 |
| Jul 31, 2012 | 3.13 | 1.84 |
Based on: 10-K (reporting date: 2026-07-31), 10-K (reporting date: 2025-07-31), 10-K (reporting date: 2024-07-31), 10-K (reporting date: 2023-07-31), 10-K (reporting date: 2022-07-31), 10-K (reporting date: 2021-07-31), 10-K (reporting date: 2020-07-31), 10-K (reporting date: 2019-07-31), 10-K (reporting date: 2018-07-31), 10-K (reporting date: 2017-07-31), 10-K (reporting date: 2016-07-31), 10-K (reporting date: 2015-07-31), 10-K (reporting date: 2014-07-31), 10-K (reporting date: 2013-07-31), 10-K (reporting date: 2012-07-31).
Comparison to Industry (Information Technology)
Palo Alto Networks Inc., current ratio, long-term trends, comparison to industry (information technology)
| Palo Alto Networks Inc. | Information Technology | |
|---|---|---|
| Jul 31, 2026 | 0.87 | — |
| Jul 31, 2025 | 0.94 | 1.39 |
| Jul 31, 2024 | 0.89 | 1.24 |
| Jul 31, 2023 | 0.78 | 1.41 |
| Jul 31, 2022 | 0.77 | 1.37 |
| Jul 31, 2021 | 0.91 | 1.55 |
| Jul 31, 2020 | 1.91 | 1.71 |
| Jul 31, 2019 | 1.78 | 1.66 |
| Jul 31, 2018 | 1.93 | 1.88 |
| Jul 31, 2017 | 1.65 | 2.04 |
| Jul 31, 2016 | 2.03 | 2.01 |
| Jul 31, 2015 | 1.04 | 2.04 |
| Jul 31, 2014 | 2.75 | 1.98 |
| Jul 31, 2013 | 2.57 | 2.20 |
| Jul 31, 2012 | 3.13 | 2.08 |
Based on: 10-K (reporting date: 2026-07-31), 10-K (reporting date: 2025-07-31), 10-K (reporting date: 2024-07-31), 10-K (reporting date: 2023-07-31), 10-K (reporting date: 2022-07-31), 10-K (reporting date: 2021-07-31), 10-K (reporting date: 2020-07-31), 10-K (reporting date: 2019-07-31), 10-K (reporting date: 2018-07-31), 10-K (reporting date: 2017-07-31), 10-K (reporting date: 2016-07-31), 10-K (reporting date: 2015-07-31), 10-K (reporting date: 2014-07-31), 10-K (reporting date: 2013-07-31), 10-K (reporting date: 2012-07-31).