CrowdStrike vs. Palo Alto Networks: Which Cybersecurity Stock Will Win 2026?

Both cybersecurity leaders have plenty of room to grow.

Mar. 13, 2026 at 3:39pm

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CrowdStrike (CRWD) and Palo Alto Networks (PANW) are two of the world's largest cybersecurity companies. Over the past 12 months, CrowdStrike's stock has risen 33%, while Palo Alto's stock has declined 4%. The article examines the differences between the two companies, their growth rates, and their valuations to determine which stock is the better buy for the rest of 2026.

Why it matters

The cybersecurity market is expected to continue expanding at a rapid pace, and CrowdStrike and Palo Alto Networks are well-positioned to benefit. However, the companies face increasing competition from tech giants like Microsoft and AI-native cybersecurity firms, making it important for investors to understand the relative strengths and weaknesses of each stock.

The details

Palo Alto Networks offers three main platforms: Strata for on-site networking services, Prisma for cloud-based services, and Cortex for AI-powered threat detection. CrowdStrike's Falcon platform is cloud-native and doesn't require on-site appliances. From fiscal 2020 to 2025, Palo Alto's revenue grew at a 22% CAGR, while CrowdStrike's revenue grew at a 41% CAGR from fiscal 2021 to 2026. Analysts expect Palo Alto's revenue and EPS to grow at CAGRs of 19% and 22% from fiscal 2025 to 2028, respectively, while CrowdStrike's revenue is expected to grow at a 22% CAGR from fiscal 2026 to 2029, with the company turning profitable in fiscal 2027.

  • Palo Alto Networks' fiscal year ends in July.
  • CrowdStrike's fiscal year ends in January.

The players

CrowdStrike

A cloud-native cybersecurity company that provides endpoint security services through its Falcon platform.

Palo Alto Networks

A cybersecurity company that offers on-site networking services, cloud-based services, and AI-powered threat detection services through its Strata, Prisma, and Cortex platforms.

Microsoft

A diversified tech giant that is bundling more endpoint security services into its software offerings.

SentinelOne

An AI-native cybersecurity company that is emerging as a competitor to CrowdStrike and Palo Alto Networks.

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The takeaway

Both CrowdStrike and Palo Alto Networks are well-positioned to benefit from the continued growth of the cybersecurity market, but Palo Alto Networks may be the better value play at the moment due to its more reasonable valuation. However, investors should closely monitor the competitive landscape as tech giants and AI-native companies enter the space.