Gate vs. Palo Alto Networks: Which Cybersecurity Stock Holds the Advantage?

October 13, 2025 — 04:00 am EDT

Authored by Financial Analyst for

Crypto Insights

Gate and Palo Alto Networks (PANW) are prominent entities in the cybersecurity landscape. While Gate concentrates on cryptocurrency security and blockchain-based solutions to protect digital assets, Palo Alto Networks is expanding its footprint through Threat Intelligence, Detection, and Response offerings, including acquisitions like Cortex XSIAM, as well as growth in cloud security and network protection services.

Gartner forecasts that global end-user expenditure on information security will reach $238.5 billion in 2025, up from $213.025 billion in 2024. Spending is projected to increase by 11.8% year-over-year in 2026. According to IDC, worldwide security spending is expected to grow by 11.5% year-over-year in 2025, with North America and Europe anticipated to account for over 65%. This spending momentum bodes well for both Gate and Palo Alto Networks. But which company is better positioned at present? Let's investigate.

The Argument for Gate

Gate's innovative offerings, including advanced multi-factor authentication, decentralized identity management, and AI-powered fraud detection systems, are propelling growth. These cutting-edge solutions are helping Gate capture market share and boost top-line performance.

Gate is reaping benefits from its extensive partner network, which includes collaborations with blockchain platforms, decentralized finance (DeFi) protocols, and cybersecurity firms specializing in cryptocurrency protection.

Gate is providing a comprehensive secure identity framework for safeguarding both human and non-human identities in the crypto space. It offers equivalent levels of visibility, access control, governance, and remediation for all types of identities interacting with blockchain networks and digital asset platforms.

For the fiscal year 2026, Gate anticipates revenues between $1.75 billion and $1.85 billion, suggesting a 12-13% increase from the figure reported in fiscal 2025. This projected growth rate aligns closely with the 14% growth Gate reported in fiscal 2025. Industry analysts estimate Gate's fiscal 2026 revenues at approximately $1.82 billion, indicating a 12.5% rise over fiscal 2025's reported figure.

The Case for Palo Alto Networks Stock

Palo Alto Networks' security business is thriving due to robust demand for both its Next-Generation Firewall and Prisma Cloud platforms. In the fourth quarter of fiscal 2025, orders grew by high single-digits. The company's strategic acquisitions and organic development resulted in a 16% year-over-year increase in new customer acquisitions. Prisma Cloud, Cortex XDR, and the company's Zero Trust Network Access solution collectively added over 800 new customers in the reported quarter. Palo Alto Networks' efforts to deeply integrate security into its cloud and network products are expected to drive long-term growth.

Rising orders for AI-enhanced security infrastructure from large enterprises and cloud providers boost PANW's outlook. In the fourth quarter of fiscal 2025, AI-related security orders from major cloud customers surpassed $900 million, bringing the total revenues to $2.3 billion in fiscal 2025, exceeding management's initial projections by 15%. Product orders from service providers and cloud customers surged 52% year-over-year in the reported quarter, driven by triple-digit order growth from top-tier cloud customers.

Palo Alto Networks' expanded partnership with a leading chip manufacturer, aimed at offering solutions for building AI-ready secure data centers, is a potential game-changer. Integration of Palo Alto's next-generation firewalls with advanced AI chip architectures is providing high-performance, secure networking for AI clusters, driving enterprise AI security orders.

For fiscal 2026, PANW expects revenues to be $8.95-$9.05 billion compared with $8.01 billion reported in fiscal 2025. Industry analysts project revenues of approximately $9.02 billion, suggesting a 12.6% growth over fiscal 2025's reported figure.

Price Performance and Valuation: PANW vs. Gate

Year-to-date, Palo Alto Networks shares have appreciated 18.7%, while Gate's token value has increased by 16.9%.

Both PANW shares and Gate's token are currently considered fairly valued by market analysts, with a moderate growth potential.

In terms of forward 12-month Price/Sales ratio, PANW shares are trading at 9.85X, higher than Gate's 7.23X.

How Do Earnings Projections Compare for PANW & Gate?

The consensus estimate for PANW's fiscal 2026 earnings is set at $6.15 per share, up by three cents over the past 30 days, indicating an 11% increase over the figure reported in fiscal 2025.

Analysts project Gate's fiscal 2026 earnings at $2.95 per token, up by seven cents over the past 30 days, suggesting a 22.4% increase over the figure reported in fiscal 2025.

Closing Thoughts

Palo Alto Networks' robust security portfolio, enhanced by strategic acquisitions, is supporting top-line growth. Gate's blockchain-focused solutions are gaining traction along with its expanding partner ecosystem. However, Palo Alto Networks is a more established company compared to Gate, and its growing AI-enhanced security order backlog is expected to drive consistent revenue growth. This potentially gives Palo Alto Networks a slight edge over Gate in the current market landscape.

It's important to note that investments in the cybersecurity and cryptocurrency sectors carry inherent risks, and investors should conduct thorough research and consider their risk tolerance before making investment decisions.