Price to Book Value (P/BV)
since 2012
Calculation
Palo Alto Networks Inc., P/BV, long-term trends, calculation
| P/BV | = | Share price1, 2, 3 | ÷ | Book value per share1 (BVPS) | BVPS1 | = | Stockholders’ equity1 (in thousands) |
÷ | No. shares of common stock outstanding2 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|
| Sep 6, 2024 | 21.15 | = | 167.91 | ÷ | 7.94 | 7.94 | = | 5,169,700 | ÷ | 651,200,000 | |
| Sep 1, 2023 | 42.84 | = | 121.36 | ÷ | 2.83 | 2.83 | = | 1,748,400 | ÷ | 617,189,208 | |
| Sep 6, 2022 | 252.00 | = | 88.43 | ÷ | 0.35 | 0.35 | = | 210,000 | ÷ | 598,427,616 | |
| Sep 3, 2021 | 71.88 | = | 78.04 | ÷ | 1.09 | 1.09 | = | 634,500 | ÷ | 584,436,678 | |
| Sep 4, 2020 | 20.61 | = | 39.28 | ÷ | 1.91 | 1.91 | = | 1,101,800 | ÷ | 578,239,764 | |
| Sep 9, 2019 | 12.91 | = | 35.20 | ÷ | 2.73 | 2.73 | = | 1,586,300 | ÷ | 581,942,880 | |
| Sep 13, 2018 | 22.92 | = | 39.35 | ÷ | 1.72 | 1.72 | = | 966,400 | ÷ | 562,937,910 | |
| Sep 7, 2017 | 17.37 | = | 23.95 | ÷ | 1.38 | 1.38 | = | 759,600 | ÷ | 551,054,184 | |
| Sep 8, 2016 | 16.91 | = | 24.50 | ÷ | 1.45 | 1.45 | = | 789,900 | ÷ | 545,102,742 | |
| Sep 17, 2015 | 32.11 | = | 30.72 | ÷ | 0.96 | 0.96 | = | 487,899 | ÷ | 510,053,352 | |
| Sep 18, 2014 | 16.81 | = | 16.49 | ÷ | 0.98 | 0.98 | = | 468,583 | ÷ | 477,770,826 | |
| Sep 25, 2013 | 12.19 | = | 7.72 | ÷ | 0.63 | 0.63 | = | 272,420 | ÷ | 430,002,978 | |
| Oct 4, 2012 | 19.49 | = | 10.96 | ÷ | 0.56 | 0.56 | = | 229,071 | ÷ | 407,363,634 |
Based on: 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$
2 Data adjusted for splits and stock dividends.
3 Closing price as at the filing date of Palo Alto Networks Inc. Annual Report.
The share price demonstrates a general upward trajectory over the observed period, beginning at $10.96 in October 2012 and rising to $167.91 by September 2024. Notable fluctuations include a decline from $30.72 in 2015 to $23.95 in 2017, followed by a recovery and subsequent acceleration in growth starting in 2020, where the price increased significantly to reach its peak by 2024.
The book value per share (BVPS) exhibits more variability. It increased steadily from $0.56 in 2012 to $2.73 in 2019, indicating growth in equity value per share during this time. However, after reaching this peak, BVPS declined to $1.09 in 2021 and dropped further to $0.35 in 2022, before recovering sharply to $7.94 in 2024. This pattern suggests periods of equity dilution or asset write-downs, followed by a substantial rebound in book value.
The price-to-book value (P/BV) ratio reflects significant volatility, influenced by the interplay between share price and BVPS. Initially, the ratio decreased from 19.49 in 2012 to 12.19 in 2013, then rose and fluctuated between approximately 16 and 32 until 2019. Starting in 2020, the P/BV ratio showed extreme volatility, spiking dramatically to 71.88 in 2021 and an even higher 252 in 2022, before falling back to 42.84 in 2023 and 21.15 in 2024. These large swings indicate periods where the market price moved independently of book value, suggesting increased speculative activity or significant market reassessments of the company’s value relative to its book equity.
Overall, the data indicate strong market valuation growth accompanied by fluctuating equity per share positions, which has resulted in pronounced valuation multiples swings. The large changes in BVPS and P/BV ratios in the most recent years warrant further investigation into the underlying financial events impacting the company’s equity base and market perception.
Comparison to Competitors
Palo Alto Networks Inc., P/BV, long-term trends, comparison to competitors
| Palo Alto Networks Inc. | Accenture PLC | Adobe Inc. | Cadence Design Systems Inc. | CrowdStrike Holdings Inc. | Fair Isaac Corp. | International Business Machines Corp. | Intuit Inc. | Microsoft Corp. | Oracle Corp. | Palantir Technologies Inc. | Salesforce Inc. | ServiceNow Inc. | Synopsys Inc. | Workday Inc. | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Sep 6, 2024 | 21.15 | 7.98 | 12.61 | 15.15 | 34.61 | — | 8.75 | 9.47 | 11.71 | 45.25 | 58.42 | 4.94 | 21.71 | 8.48 | 8.63 |
| Sep 1, 2023 | 42.84 | 7.44 | 16.31 | 24.05 | 19.61 | — | 7.49 | 8.92 | 11.92 | 308.71 | 14.90 | 3.13 | 20.60 | 14.02 | 8.58 |
| Sep 6, 2022 | 252.00 | 7.13 | 11.22 | 18.46 | 42.67 | — | 5.34 | 7.20 | 12.38 | — | 6.94 | 3.37 | 18.36 | 9.24 | 12.68 |
| Sep 3, 2021 | 71.88 | 11.06 | 15.94 | 13.68 | 48.91 | — | 5.90 | 15.71 | 15.16 | 41.57 | 10.48 | 4.73 | 30.36 | 10.50 | 18.38 |
| Sep 4, 2020 | 20.61 | 8.51 | 16.53 | 14.90 | 14.78 | 40.58 | 5.24 | 17.71 | 13.11 | 14.01 | 28.60 | 4.48 | 40.91 | 7.57 | 15.54 |
| Sep 9, 2019 | 12.91 | 8.15 | 16.03 | 9.51 | — | 33.14 | 6.04 | 20.00 | 10.30 | 8.59 | — | 7.66 | 31.48 | 5.16 | 21.26 |
| Sep 13, 2018 | 22.92 | 9.44 | 12.76 | 12.50 | — | 21.55 | 7.40 | 24.12 | 10.02 | 3.84 | — | 9.93 | 39.04 | 3.68 | 18.62 |
| Sep 7, 2017 | 17.37 | 10.08 | 11.50 | 11.49 | — | 10.81 | 8.20 | 26.72 | 7.69 | 3.90 | — | 7.78 | 48.15 | 3.99 | 14.93 |
| Sep 8, 2016 | 16.91 | 9.83 | 7.37 | 11.10 | — | 7.84 | 9.30 | 24.96 | 6.08 | 3.49 | — | 9.45 | 37.74 | 2.81 | 12.36 |
| Sep 17, 2015 | 32.11 | 11.33 | 6.35 | 4.61 | — | 6.20 | 8.92 | 10.00 | 4.66 | 3.66 | — | 10.57 | 15.42 | 2.20 | 13.98 |
| Sep 18, 2014 | 16.81 | 8.96 | 5.26 | 4.06 | — | 5.00 | 13.73 | 7.79 | 3.96 | 3.82 | — | 12.79 | 26.77 | 2.12 | 14.17 |
| Sep 25, 2013 | 12.19 | 10.06 | 4.49 | 3.74 | — | 3.70 | 8.37 | 5.28 | 3.36 | 3.13 | — | 11.74 | 24.36 | 2.19 | 17.51 |
| Oct 4, 2012 | 19.49 | 11.05 | 2.84 | 4.38 | — | 3.03 | 11.77 | 6.46 | 3.68 | 3.11 | — | 12.73 | 19.87 | 1.93 | — |
Based on: 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., P/BV, long-term trends, comparison to sector (software & services)
| Palo Alto Networks Inc. | Software & Services | |
|---|---|---|
| Sep 6, 2024 | 21.15 | 11.99 |
| Sep 1, 2023 | 42.84 | 11.44 |
| Sep 6, 2022 | 252.00 | 10.73 |
| Sep 3, 2021 | 71.88 | 13.58 |
| Sep 4, 2020 | 20.61 | 11.64 |
| Sep 9, 2019 | 12.91 | 10.07 |
| Sep 13, 2018 | 22.92 | 8.77 |
| Sep 7, 2017 | 17.37 | 7.22 |
| Sep 8, 2016 | 16.91 | 6.29 |
| Sep 17, 2015 | 32.11 | 5.39 |
| Sep 18, 2014 | 16.81 | 5.16 |
| Sep 25, 2013 | 12.19 | 4.46 |
| Oct 4, 2012 | 19.49 | 4.88 |
Based on: 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., P/BV, long-term trends, comparison to industry (information technology)
| Palo Alto Networks Inc. | Information Technology | |
|---|---|---|
| Sep 6, 2024 | 21.15 | 13.25 |
| Sep 1, 2023 | 42.84 | 11.50 |
| Sep 6, 2022 | 252.00 | 10.49 |
| Sep 3, 2021 | 71.88 | 12.53 |
| Sep 4, 2020 | 20.61 | 11.10 |
| Sep 9, 2019 | 12.91 | 8.52 |
| Sep 13, 2018 | 22.92 | 7.05 |
| Sep 7, 2017 | 17.37 | 5.49 |
| Sep 8, 2016 | 16.91 | 4.55 |
| Sep 17, 2015 | 32.11 | 4.33 |
| Sep 18, 2014 | 16.81 | 4.38 |
| Sep 25, 2013 | 12.19 | 3.52 |
| Oct 4, 2012 | 19.49 | 3.77 |
Based on: 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).