Bentley Systems Inc (BSY)vsCadence Design Systems Inc (CDNS)
BSY
Bentley Systems Inc
$32.93
-0.39%
TECHNOLOGY · Cap: $9.32B
CDNS
Cadence Design Systems Inc
$376.19
+2.48%
TECHNOLOGY · Cap: $114.85B
Smart Verdict
WallStSmart Research — data-driven comparison
Cadence Design Systems Inc generates 255% more annual revenue ($5.53B vs $1.56B). CDNS leads profitability with a 21.2% profit margin vs 18.1%. BSY appears more attractively valued with a PEG of 1.36. BSY earns a higher WallStSmart Score of 64/100 (C+).
BSY
Buy64
out of 100
Grade: C+
CDNS
Buy62
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+22.0%
Fair Value
$43.48
Current Price
$32.93
$10.55 discount
Intrinsic value data unavailable for CDNS.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Strong operational efficiency at 30.6%
Every $100 of equity generates 23 in profit
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 8.4x book value
Distress zone — elevated risk
Trading at 15.8x book value
Expensive relative to growth rate
Premium valuation, high expectations priced in
Comparative Analysis Report
WallStSmart ResearchBull Case : BSY
The strongest argument for BSY centers on Operating Margin, Return on Equity. Profitability is solid with margins at 18.1% and operating margin at 30.6%. Revenue growth of 14.5% 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 : BSY
The primary concerns for BSY are P/E Ratio, Price/Book, Altman Z-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
BSY profiles as a mature stock while CDNS is a growth play — different risk/reward profiles.
CDNS carries more volatility with a beta of 1.13 — expect wider price swings.
CDNS is growing revenue faster at 18.7% — sustainability is the question.
CDNS generates stronger free cash flow (307M), providing more financial flexibility.
Bottom Line
BSY scores higher overall (64/100 vs 62/100), backed by strong 18.1% margins and 14.5% 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.
Bentley Systems Inc
TECHNOLOGY · SOFTWARE - APPLICATION · USA
Bentley Systems, Incorporated, provides infrastructure engineering software solutions in the Americas, Europe, the Middle East, Africa, and Asia-Pacific. The company is headquartered in Exton, Pennsylvania.
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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