WallStSmart

Adobe Systems Incorporated (ADBE)vsSynopsys Inc (SNPS)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Adobe Systems Incorporated generates 205% more annual revenue ($24.45B vs $8.01B). ADBE leads profitability with a 29.5% profit margin vs 13.8%. ADBE appears more attractively valued with a PEG of 0.70. ADBE earns a higher WallStSmart Score of 74/100 (B).

ADBE

Strong Buy

74

out of 100

Grade: B

Growth: 6.7Profit: 10.0Value: 8.7Quality: 6.0
Piotroski: 4/9Altman Z: 4.35

SNPS

Hold

47

out of 100

Grade: D+

Growth: 6.7Profit: 5.0Value: 3.0Quality: 4.5
Piotroski: 1/9Altman Z: 1.48
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

ADBEUndervalued (+44.7%)

Margin of Safety

+44.7%

Fair Value

$440.62

Current Price

$243.57

$197.05 discount

UndervaluedFair: $440.62Overvalued

Intrinsic value data unavailable for SNPS.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

ADBE6 strengths · Avg: 9.3/10
Return on EquityProfitability
58.8%10/10

Every $100 of equity generates 59 in profit

Operating MarginProfitability
38.8%10/10

Strong operational efficiency at 38.8%

Altman Z-ScoreHealth
4.3510/10

Safe zone — low bankruptcy risk

Market CapQuality
$104.33B9/10

Large-cap with strong market position

Profit MarginProfitability
29.5%9/10

Keeps 30 of every $100 in revenue as profit

PEG RatioValuation
0.708/10

Growing faster than its price suggests

SNPS2 strengths · Avg: 9.5/10
Revenue GrowthGrowth
65.5%10/10

Revenue surging 65.5% year-over-year

Market CapQuality
$95.94B9/10

Large-cap with strong market position

Areas to Watch

ADBE1 concerns · Avg: 4.0/10
Price/BookValuation
8.6x4/10

Trading at 8.6x book value

SNPS4 concerns · Avg: 2.5/10
Return on EquityProfitability
5.5%3/10

ROE of 5.5% — below average capital efficiency

Piotroski F-ScoreQuality
1/93/10

Weak financial health signals

PEG RatioValuation
3.302/10

Expensive relative to growth rate

P/E RatioValuation
76.9x2/10

Premium valuation, high expectations priced in

Comparative Analysis Report

WallStSmart Research

Bull 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 38.8%. Revenue growth of 12.0% demonstrates continued momentum.

Bull Case : SNPS

The strongest argument for SNPS centers on Revenue Growth, Market Cap. Revenue growth of 65.5% demonstrates continued momentum.

Bear Case : ADBE

The primary concerns for ADBE are Price/Book.

Bear Case : SNPS

The primary concerns for SNPS are Return on Equity, Piotroski F-Score, PEG Ratio. A P/E of 76.9x leaves little room for execution misses.

Key Dynamics to Monitor

ADBE profiles as a mature stock while SNPS is a growth play — different risk/reward profiles.

ADBE carries more volatility with a beta of 1.52 — expect wider price swings.

SNPS is growing revenue faster at 65.5% — sustainability is the question.

ADBE generates stronger free cash flow (2.9B), providing more financial flexibility.

Bottom Line

ADBE scores higher overall (74/100 vs 47/100), backed by strong 29.5% margins and 12.0% revenue growth. Both earn "Strong Buy" and "Hold" 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.

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Synopsys Inc

TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA

Synopsys is an American electronic design automation company that focuses on silicon design and verification, silicon intellectual property and software security and quality. Products include logic synthesis, behavioral synthesis, place and route, static timing analysis, formal verification, hardware description language (SystemC, SystemVerilog/Verilog, VHDL) simulators, and transistor-level circuit simulation.

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