Palo Alto Networks (HAM:5AP) EV-to-EBIT: 190.78 (As of Jul. 29, 2026)

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HAM:5AP Palo Alto Networks Inc HAM:5AP
74 GF Score
Price €277.45
GF Value €183.39
Valuation Significantly Overvalued
! 4 Warning Signs
View Full Analysis

What is Palo Alto Networks EV-to-EBIT?

Palo Alto Networks HAM:5AP -3.01% 74 EV-to-EBIT is 190.78 as of Jul. 29, 2026. GuruFocus rates HAM:5AP with a GF Score™ of 74/100 and a GF Value™ of €183.39 (Significantly Overvalued). The stock has 4 warning signs investors should review. Among 1,770 Software companies, Palo Alto Networks ranks worse than 95.76% on this metric.

EV-to-EBIT is calculated as Enterprise Value divided by its EBIT. As of today, Palo Alto Networks's Enterprise Value is €227,772 Mil. Palo Alto Networks's EBIT for the trailing twelve months (TTM) ended in Apr. 2026 was €1,194 Mil. Therefore, Palo Alto Networks's EV-to-EBIT for today is 190.78.

The historical rank and industry rank for Palo Alto Networks's EV-to-EBIT or its related term are showing as below:

HAM:5AP' s EV-to-EBIT Range Over the Past 10 Years
Min: -3700.81   Med: -78.25   Max: 2164.08
Current: 185.54

During the past 13 years, the highest EV-to-EBIT of Palo Alto Networks was 2164.08. The lowest was -3700.81. And the median was -78.25.

HAM:5AP's EV-to-EBIT is ranked worse than
95.76% of 1770 companies
in the Software industry
Industry Median: 14.15 vs HAM:5AP: 185.54

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt) %. Palo Alto Networks's Enterprise Value for the quarter that ended in Apr. 2026 was €124,183 Mil. Palo Alto Networks's EBIT for the trailing twelve months (TTM) ended in Apr. 2026 was €1,194 Mil. Palo Alto Networks's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Apr. 2026 was 0.96%.


Palo Alto Networks  (HAM:5AP) EV-to-EBIT Explanation

This is a more accurate valuation of companies' operation because it considers the debt and cash on its balance sheet, and non-operating items such as interest payment, tax, and one-time items are not included in the Operating Income.

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt) %.

Palo Alto Networks's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Apr. 2026 is calculated as:

Earnings Yield (Joel Greenblatt) % (Q: Apr. 2026 ) =EBIT / Enterprise Value (Q: Apr. 2026 )
=1193.871/124182.72
=0.96 %

Palo Alto Networks's Enterprise Value for the quarter that ended in Apr. 2026 was €124,183 Mil.
Palo Alto Networks's EBIT for the trailing twelve months (TTM) ended in Apr. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was €1,194 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Palo Alto Networks EV-to-EBIT Related Terms


Palo Alto Networks EV-to-EBIT Historical Data

* Premium members only.

The historical data trend for Palo Alto Networks's EV-to-EBIT can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Palo Alto Networks EV-to-EBIT Chart

Palo Alto Networks Annual Data
Trend Jul16 Jul17 Jul18 Jul19 Jul20 Jul21 Jul22 Jul23 Jul24 Jul25
EV-to-EBIT
Get a 7-Day Free Trial Premium Member Only Premium Member Only -128.55 -267.53 131.12 105.06 70.97

Palo Alto Networks Quarterly Data
Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24 Jul24 Oct24 Jan25 Apr25 Jul25 Oct25 Jan26 Apr26
EV-to-EBIT Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 91.96 70.97 90.54 64.52 103.72

HAM:5AP vs PLTR, ORCL, CRWD: EV-to-EBIT Comparison

For the Software - Infrastructure subindustry, Palo Alto Networks's EV-to-EBIT, along with its competitors' market caps and EV-to-EBIT data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Palo Alto Networks EV-to-EBIT vs Software Industry

For the Software industry and Technology sector, Palo Alto Networks's EV-to-EBIT distribution charts can be found below:

* The bar in red indicates where Palo Alto Networks's EV-to-EBIT falls into.


HAM:5AP
74GF Score
Palo Alto Networks Inc HAM:5AP
EV-to-EBIT is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Palo Alto Networks EV-to-EBIT Calculation

Palo Alto Networks's EV-to-EBIT for today is calculated as:

EV-to-EBIT=Enterprise Value (Today)/EBIT (TTM)
=227772.165/1193.871
=190.78

Palo Alto Networks's current Enterprise Value is €227,772 Mil.
Palo Alto Networks's EBIT for the trailing twelve months (TTM) ended in Apr. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was €1,194 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about EV-to-EBIT →
What does a EV-to-EBIT of 190.78 mean?
Palo Alto Networks (HAM:5AP) has a EV-to-EBIT of 190.78 as of Jul. 29, 2026. EV to EBIT ratio is the inverse of Joel Greenblatt's earnings yield definition. View historical data on Palo Alto Networks and its competitors. According to the industry distribution chart, Palo Alto Networks ranks #1695 out of 1770 companies in the Software industry, placing it in the top 95.8%.
Is Palo Alto Networks' EV-to-EBIT too high?
Palo Alto Networks' current EV-to-EBIT is 190.78. The Software industry median EV-to-EBIT is 14.15. Palo Alto Networks' value of 190.78 is 1248.3% above this industry median. Based on the distribution chart, Palo Alto Networks ranks #1695 out of 1770 companies in the Software industry, which is in the bottom quartile relative to peers. Overall, Palo Alto Networks has a GF Score™ of 74/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Palo Alto Networks' EV-to-EBIT compare to PLTR and ORCL?
According to the Software industry distribution chart, Palo Alto Networks ranks #1695 out of 1770 companies for EV-to-EBIT. This places Palo Alto Networks in the lower half of its industry. The industry median EV-to-EBIT is 14.15. Palo Alto Networks' value of 190.78 is 1248.3% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EV-to-EBIT for a Software company?
The median EV-to-EBIT among Software companies is 14.15, based on 1,770 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-EBIT significantly above this median, while those in the bottom quartile fall well below. However, EV-to-EBIT should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Palo Alto Networks's current EV-to-EBIT of 190.78 is 1248.3% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EV-to-EBIT mean?
A high EV-to-EBIT can signal that a stock is expensive relative to its fundamentals. EV to EBIT ratio is the inverse of Joel Greenblatt's earnings yield definition. View historical data on Palo Alto Networks and its competitors. For the Software industry, the median EV-to-EBIT is 14.15 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Palo Alto Networks's current EV-to-EBIT is 190.78. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Palo Alto Networks stock overvalued right now?
Based on GuruFocus' analysis, Palo Alto Networks (HAM:5AP) is currently considered Significantly Overvalued. The stock's GF Value™ is €183.39, compared to a current price of €277.45 — trading 51.3% above its estimated fair value. The current EV-to-EBIT is 190.78 and 1248.3% above the Software industry median of 14.15. Palo Alto Networks' overall GF Score™ is 74/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-EBIT calculated?
EV-to-EBIT is calculated from a company's financial statements. For Palo Alto Networks (HAM:5AP), the current EV-to-EBIT is 190.78 as of Jul. 29, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Palo Alto Networks (HAM:5AP) Overvalued in 2026?

Based on GuruFocus' analysis, Palo Alto Networks stock appears to be overvalued. The current stock price of €277.45 is trading 51.3% above its estimated GF Value™ of €183.39. GuruFocus considers Palo Alto Networks to be Significantly Overvalued.

Key valuation signals for HAM:5AP:

  • EV-to-EBIT: 190.78
  • GF Value™: €183.39 vs. price of €277.45 (51.3% above fair value)
  • GF Score™: 74/100 with 4 warning signs
  • Industry Position: 1248.3% above the Software median (#1695 of 1770)

No single metric tells the full story. See the HAM:5AP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Palo Alto Networks Business Description

Address 3000 Tannery Way, Santa Clara, CA, USA, 95054
Palo Alto Networks is a platform-based cybersecurity vendor with product offerings covering network security, cloud security, and security operations. The California-based firm has more than 80,000 enterprise customers across the world, including more than three-fourths of the Global 2000.
74GF Score

Get the complete analysis for HAM:5AP

EV-to-EBIT is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€277.45
Price
€183.39
GF Value