Horizon Quantum Computing Pte. (NASDAQ:HQ) versus Palo Alto Networks (NASDAQ:PANW) Critical Analysis

Palo Alto Networks (NASDAQ:PANWGet Free Report) and Horizon Quantum Computing Pte. (NASDAQ:HQGet Free Report) are both technology companies, but which is the superior investment? We will contrast the two companies based on the strength of their profitability, institutional ownership, risk, dividends, analyst recommendations, earnings and valuation.

Insider and Institutional Ownership

79.8% of Palo Alto Networks shares are held by institutional investors. Comparatively, 72.9% of Horizon Quantum Computing Pte. shares are held by institutional investors. 1.4% of Palo Alto Networks shares are held by insiders. Comparatively, 36.5% of Horizon Quantum Computing Pte. shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of current ratings and target prices for Palo Alto Networks and Horizon Quantum Computing Pte., as provided by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Palo Alto Networks 0 12 38 0 2.76
Horizon Quantum Computing Pte. 1 0 2 0 2.33

Palo Alto Networks currently has a consensus target price of $389.68, indicating a potential upside of 7.18%. Horizon Quantum Computing Pte. has a consensus target price of $20.50, indicating a potential upside of 51.40%. Given Horizon Quantum Computing Pte.’s higher possible upside, analysts plainly believe Horizon Quantum Computing Pte. is more favorable than Palo Alto Networks.

Earnings and Valuation

This table compares Palo Alto Networks and Horizon Quantum Computing Pte.”s top-line revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Palo Alto Networks $11.48 billion 25.91 $307.00 million $0.51 712.90
Horizon Quantum Computing Pte. $360,000.00 1,939.91 -$17.82 million ($0.46) -29.43

Palo Alto Networks has higher revenue and earnings than Horizon Quantum Computing Pte.. Horizon Quantum Computing Pte. is trading at a lower price-to-earnings ratio than Palo Alto Networks, indicating that it is currently the more affordable of the two stocks.

Risk and Volatility

Palo Alto Networks has a beta of 0.91, meaning that its share price is 9% less volatile than the S&P 500. Comparatively, Horizon Quantum Computing Pte. has a beta of 0.33, meaning that its share price is 67% less volatile than the S&P 500.

Profitability

This table compares Palo Alto Networks and Horizon Quantum Computing Pte.’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Palo Alto Networks 2.67% 8.50% 4.35%
Horizon Quantum Computing Pte. N/A -103.04% -29.31%

Summary

Palo Alto Networks beats Horizon Quantum Computing Pte. on 11 of the 14 factors compared between the two stocks.

About Palo Alto Networks

(Get Free Report)

Palo Alto Networks, Inc. provides cybersecurity solutions worldwide. The company offers firewall appliances and software; and Panorama, a security management solution for the global control of network security platform as a virtual or a physical appliance. It also provides subscription services covering the areas of threat prevention, malware and persistent threat, URL filtering, laptop and mobile device protection, DNS security, Internet of Things security, SaaS security API, and SaaS security inline, as well as threat intelligence, and data loss prevention. In addition, the company offers cloud security, secure access, security operations, and threat intelligence and security consulting; professional services, including architecture design and planning, implementation, configuration, and firewall migration; education services, such as certifications, as well as online and in-classroom training; and support services. It sells its products and services through its channel partners, as well as directly to medium to large enterprises, service providers, and government entities operating in various industries, including education, energy, financial services, government entities, healthcare, Internet and media, manufacturing, public sector, and telecommunications. Palo Alto Networks, Inc. was incorporated in 2005 and is headquartered in Santa Clara, California.

About Horizon Quantum Computing Pte.

(Get Free Report)

dMY Squared Technology Group Inc. is a blank check company. It formed for the purpose to effect a merger, capital stock exchange, asset acquisition, stock purchase, reorganization or similar business combination with one or more businesses. dMY Squared Technology Group Inc. is based in LAS VEGAS.

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