Adobe Systems Incorporated (ADBE)vsAnalog Devices Inc (ADI)
ADBE
Adobe Systems Incorporated
$237.25
-0.68%
TECHNOLOGY · Cap: $98.06B
ADI
Analog Devices Inc
$322.03
+0.06%
TECHNOLOGY · Cap: $157.12B
Smart Verdict
WallStSmart Research — data-driven comparison
Adobe Systems Incorporated generates 108% more annual revenue ($24.45B vs $11.76B). ADBE leads profitability with a 29.5% profit margin vs 23.0%. ADBE appears more attractively valued with a PEG of 0.71. ADI earns a higher WallStSmart Score of 75/100 (B).
ADBE
Strong Buy74
out of 100
Grade: B
ADI
Strong Buy75
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+43.7%
Fair Value
$421.20
Current Price
$237.25
$183.95 discount
Margin of Safety
-25.8%
Fair Value
$256.00
Current Price
$322.03
$66.03 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 59 in profit
Strong operational efficiency at 37.8%
Safe zone — low bankruptcy risk
Large-cap with strong market position
Keeps 30 of every $100 in revenue as profit
Growing faster than its price suggests
Strong operational efficiency at 33.1%
Revenue surging 30.4% year-over-year
Earnings expanding 116.7% YoY
Large-cap with strong market position
Keeps 23 of every $100 in revenue as profit
Growing faster than its price suggests
Areas to Watch
Trading at 8.5x book value
ROE of 7.9% — below average capital efficiency
Premium valuation, high expectations priced in
Comparative Analysis Report
WallStSmart ResearchBull Case : ADBE
The strongest argument for ADBE centers on Return on Equity, Operating Margin, Altman Z-Score. Profitability is solid with margins at 29.5% and operating margin at 37.8%. Revenue growth of 12.0% demonstrates continued momentum.
Bull Case : ADI
The strongest argument for ADI centers on Operating Margin, Revenue Growth, EPS Growth. Profitability is solid with margins at 23.0% and operating margin at 33.1%. Revenue growth of 30.4% demonstrates continued momentum.
Bear Case : ADBE
The primary concerns for ADBE are Price/Book.
Bear Case : ADI
The primary concerns for ADI are Return on Equity, P/E Ratio. A P/E of 58.8x leaves little room for execution misses.
Key Dynamics to Monitor
ADBE profiles as a mature stock while ADI is a growth play — different risk/reward profiles.
ADBE carries more volatility with a beta of 1.53 — expect wider price swings.
ADI is growing revenue faster at 30.4% — sustainability is the question.
ADBE generates stronger free cash flow (2.9B), providing more financial flexibility.
Bottom Line
ADI scores higher overall (75/100 vs 74/100), backed by strong 23.0% margins and 30.4% revenue growth. ADBE offers better value entry with a 43.7% margin of safety. Both earn "Strong Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Adobe Systems Incorporated
TECHNOLOGY · SOFTWARE - APPLICATION · USA
Adobe Inc. is an American multinational computer software company. Incorporated in Delaware and headquartered in San Jose, California, it has historically specialized in software for the creation and publication of a wide range of content, including graphics, photography, illustration, animation, multimedia, motion pictures and print. The company has expanded into digital marketing management software. Adobe has millions of users worldwide. Flagship products include: Photoshop image editing software, Adobe Illustrator vector-based illustration software, Adobe Acrobat Reader and the Portable Document Format (PDF), plus a host of tools primarily for audio-visual content creation, editing and publishing.
Visit Website →Analog Devices Inc
TECHNOLOGY · SEMICONDUCTORS · USA
Analog Devices, Inc. (ADI), also known simply as Analog, is an American multinational semiconductor company specializing in data conversion, signal processing and power management technology, headquartered in Wilmington, Massachusetts.
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