Palo Alto NetworksXTER:5AP +1.86%68 OCF Margin % is 29.01% as of Apr. 2026, which is 28% below its 10-year median of 40.30. GuruFocus rates XTER:5AP with a GF Score™ of 68/100 and a GF Value™ of €186.48 (Significantly Overvalued). The stock has 7 warning signs investors should review. Among 2,816 Software companies, Palo Alto Networks ranks better than 94.57% on this metric.
The historical rank and industry rank for Palo Alto Networks's OCF Margin % or its related term are showing as below:
XTER:5AP'
s OCF Margin % Range Over the Past 10 Years
Min: 30.39 Med: 40.3 Max: 49.5
Current: 39.81
During the past 13 years, the highest OCF Margin % of Palo Alto Networks was 49.50%. The lowest was 30.39%. And the median was 40.30%.
XTER:5AP's OCF Margin % is ranked better than 94.57% of 2816
companies
in the Software industry
Industry Median: 6.77
vs XTER:5AP: 39.81
Palo Alto Networks OCF Margin % Related Terms
Palo Alto Networks OCF Margin % Historical Data
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The historical data trend for Palo Alto Networks's OCF Margin % 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.
XTER:5AP vs CRWD, FTNT, SNPS: OCF Margin % Comparison
For the Software - Infrastructure subindustry, Palo Alto Networks's OCF Margin %, along with its competitors' market caps and OCF Margin % 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 OCF Margin % vs Software Industry
For the Software industry and Technology sector, Palo Alto Networks's OCF Margin % distribution charts can be found below:
* The bar in red indicates where Palo Alto Networks's OCF Margin % falls into.
* 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 (XTER:5AP) has a OCF Margin % of 29.01% as of Apr. 2026. OCF Margin is the ratio of Cash Flow from Operations to Total Revenue. View historical data on Palo Alto Networks and its competitors. This is 28% below median its historical median of 40.30. Over the past decade, Palo Alto Networks' OCF Margin % has ranged from 30.39 to 49.50. According to the industry distribution chart, Palo Alto Networks ranks #153 out of 2816 companies in the Software industry, placing it in the top 5.4%.
Is Palo Alto Networks' OCF Margin % too high?
Palo Alto Networks' current OCF Margin % of 29.01% is 28% below median its 10-year median of 40.30. Over the past 10 years, this metric has ranged from a low of 30.39 to a high of 49.50. The Software industry median OCF Margin % is 6.77. Palo Alto Networks' value of 29.01% is 328.5% above this industry median. Based on the distribution chart, Palo Alto Networks ranks #153 out of 2816 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, Palo Alto Networks has a GF Score™ of 68/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Palo Alto Networks' OCF Margin % compare to CRWD and FTNT?
According to the Software industry distribution chart, Palo Alto Networks ranks #153 out of 2816 companies for OCF Margin %. This places Palo Alto Networks in the top 5% of its industry — outperforming the majority of peers. The industry median OCF Margin % is 6.77. Palo Alto Networks' value of 29.01% is 328.5% above this benchmark. Historically, Palo Alto Networks' own OCF Margin % has ranged from 30.39 to 49.50 over the past decade. While the company's 10-year median is 40.30 vs. the industry median of 6.77, Palo Alto Networks has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good OCF Margin % for a Software company?
The median OCF Margin % among Software companies is 6.77, based on 2,816 companies in the industry. Companies in the top quartile (top 25%) have a OCF Margin % significantly above this median, while those in the bottom quartile fall well below. However, OCF Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Palo Alto Networks's current OCF Margin % of 29.01% is 328.5% 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 OCF Margin % mean?
A high OCF Margin % can signal that a stock is expensive relative to its fundamentals. OCF Margin is the ratio of Cash Flow from Operations to Total Revenue. View historical data on Palo Alto Networks and its competitors. For the Software industry, the median OCF Margin % is 6.77 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Palo Alto Networks's current OCF Margin % is 29.01%, which is 28% below median its own 10-year median of 40.30. 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 (XTER:5AP) is currently considered Significantly Overvalued. The stock's GF Value™ is €186.48, compared to a current price of €257.45 — trading 38.1% above its estimated fair value. The current OCF Margin % is 29.01%, which is 28% below median its 10-year median of 40.30 and 328.5% above the Software industry median of 6.77. Palo Alto Networks' overall GF Score™ is 68/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is OCF Margin % calculated?
OCF Margin % is calculated from a company's financial statements. For Palo Alto Networks (XTER:5AP), the current OCF Margin % is 29.01% as of Apr. 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 (XTER:5AP) Overvalued in 2026?
Based on GuruFocus' analysis, Palo Alto Networks stock appears to be overvalued.
The current stock price of €257.45 is trading 38.1% above its estimated GF Value™ of €186.48.
GuruFocus considers Palo Alto Networks to be Significantly Overvalued.
Key valuation signals for XTER:5AP:
OCF Margin %: 29.01% (28% below median its 10-year median of 40.30)
GF Value™: €186.48 vs. price of €257.45 (38.1% above fair value)
Industry Position: 328.5% above the Software median (#153 of 2816)
No single metric tells the full story. See the XTER:5AP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
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.
68GF Score
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