Palo Alto Networks, Inc.’s cost of capital profile
Analyze capital structure weights, cost of equity, and after-tax cost of debt for Palo Alto Networks, Inc.. Adjust the inputs to align with your valuation horizon and benchmark discount rates.
Capital structure snapshot
Latest market and filing data
Equity value, debt, and beta metrics prefill automatically. Adjust assumptions to describe a forward-looking cost of capital.
Assumptions
Set weights and component costs
Weighted average cost of capital
7.86%
Equity weight: 100.00%
Debt weight: 0.00%
WACC blends the cost of equity and cost of debt according to capital structure weights after tax. Use it as your hurdle rate for discounted cash flow models, NPV analysis, and capital budgeting.
Component breakdown
| Component | Value | Weight | Cost |
|---|---|---|---|
| Equity | $115.01B | 100.00% | 7.86% |
| Net debt | $0.00 | 0.00% | 3.95% |
Methodology & resources
Cost of equity uses the Capital Asset Pricing Model with a 4% U.S. 10-year risk-free rate and 5% market premium. Cost of debt derives from reported interest expense relative to total debt, adjusted for taxes. Update inputs to match your capital structure and jurisdiction.
Frequently asked questions
What is Palo Alto Networks, Inc.'s latest WACC?
Palo Alto Networks, Inc. (PANW) currently carries a weighted average cost of capital near 7.86%, blending equity and debt requirements.
How are Palo Alto Networks, Inc.'s capital weights split?
Roughly 100.00% of Palo Alto Networks, Inc.'s capital stack is equity while 0.00% is debt, based on market values.
What discount rate should I use in a DCF?
Use 7.86% as the baseline discount rate in a discounted cash flow model. Adjust if your risk outlook differs from the market blend.
How are the cost of equity and debt calculated?
The cost of equity is seeded by CAPM inputs (7.86%) while the after-tax cost of debt reflects interest expense versus outstanding debt (5.00%).
Need a valuation model?
Pair cost of capital homework with the DCF dashboard to complete your intrinsic value analysis.