Appfolio Inc (APPF)vsCadence Design Systems Inc (CDNS)
APPF
Appfolio Inc
$166.94
+2.01%
TECHNOLOGY · Cap: $5.70B
CDNS
Cadence Design Systems Inc
$376.19
+0.32%
TECHNOLOGY · Cap: $114.85B
Smart Verdict
WallStSmart Research — data-driven comparison
Cadence Design Systems Inc generates 455% more annual revenue ($5.53B vs $995.33M). CDNS leads profitability with a 21.2% profit margin vs 15.3%. CDNS appears more attractively valued with a PEG of 3.93. APPF earns a higher WallStSmart Score of 64/100 (C+).
APPF
Buy64
out of 100
Grade: C+
CDNS
Buy62
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+30.6%
Fair Value
$257.36
Current Price
$166.94
$90.42 discount
Intrinsic value data unavailable for CDNS.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 32 in profit
Conservative balance sheet, low leverage
Safe zone — low bankruptcy risk
Revenue surging 20.4% year-over-year
Earnings expanding 37.2% YoY
Safe zone — low bankruptcy risk
Large-cap with strong market position
Keeps 21 of every $100 in revenue as profit
Strong operational efficiency at 29.7%
18.7% revenue growth
Earnings expanding 23.0% YoY
Areas to Watch
Premium valuation, high expectations priced in
Trading at 12.6x book value
Weak financial health signals
Expensive relative to growth rate
Trading at 15.8x book value
Expensive relative to growth rate
Premium valuation, high expectations priced in
Comparative Analysis Report
WallStSmart ResearchBull Case : APPF
The strongest argument for APPF centers on Return on Equity, Debt/Equity, Altman Z-Score. Profitability is solid with margins at 15.3% and operating margin at 19.4%. Revenue growth of 20.4% demonstrates continued momentum.
Bull Case : CDNS
The strongest argument for CDNS centers on Altman Z-Score, Market Cap, Profit Margin. Profitability is solid with margins at 21.2% and operating margin at 29.7%. Revenue growth of 18.7% demonstrates continued momentum.
Bear Case : APPF
The primary concerns for APPF are P/E Ratio, Price/Book, Piotroski F-Score.
Bear Case : CDNS
The primary concerns for CDNS are Price/Book, PEG Ratio, P/E Ratio. A P/E of 96.6x leaves little room for execution misses.
Key Dynamics to Monitor
CDNS carries more volatility with a beta of 1.13 — expect wider price swings.
APPF is growing revenue faster at 20.4% — sustainability is the question.
CDNS generates stronger free cash flow (307M), providing more financial flexibility.
Monitor SOFTWARE - APPLICATION industry trends, competitive dynamics, and regulatory changes.
Bottom Line
APPF scores higher overall (64/100 vs 62/100), backed by strong 15.3% margins and 20.4% revenue growth. Both earn "Buy" and "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.
Appfolio Inc
TECHNOLOGY · SOFTWARE - APPLICATION · USA
AppFolio, Inc. provides industry-specific cloud-based enterprise software data analytics, services and solutions for the real estate industry. The company is headquartered in Santa Barbara, California.
Visit Website →Cadence Design Systems Inc
TECHNOLOGY · SOFTWARE - APPLICATION · USA
Cadence Design Systems, Inc., headquartered in San Jose, California, is an American multinational computational software company. The company produces software, hardware and silicon structures for designing integrated circuits, systems on chips (SoCs) and printed circuit boards.
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