Cadence Design Systems Inc (CDNS)vsChevron Corp (CVX)
CDNS
Cadence Design Systems Inc
$376.19
+4.80%
TECHNOLOGY · Cap: $114.85B
CVX
Chevron Corp
$187.31
+1.03%
ENERGY · Cap: $373.52B
Smart Verdict
WallStSmart Research — data-driven comparison
Chevron Corp generates 3260% more annual revenue ($185.74B vs $5.53B). CDNS leads profitability with a 21.2% profit margin vs 5.9%. CVX appears more attractively valued with a PEG of 0.81. CDNS earns a higher WallStSmart Score of 62/100 (C+).
CDNS
Buy62
out of 100
Grade: C+
CVX
Buy51
out of 100
Grade: C-
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
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
Mega-cap, among the largest globally
Conservative balance sheet, low leverage
Growing faster than its price suggests
Reasonable price relative to book value
Areas to Watch
Trading at 15.8x book value
Expensive relative to growth rate
Premium valuation, high expectations priced in
Premium valuation, high expectations priced in
2.3% revenue growth
ROE of 6.0% — below average capital efficiency
5.9% margin — thin
Comparative Analysis Report
WallStSmart ResearchBull 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.
Bull Case : CVX
The strongest argument for CVX centers on Market Cap, Debt/Equity, PEG Ratio. PEG of 0.81 suggests the stock is reasonably priced for its growth.
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.
Bear Case : CVX
The primary concerns for CVX are P/E Ratio, Revenue Growth, Return on Equity.
Key Dynamics to Monitor
CDNS profiles as a growth stock while CVX is a value 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
CDNS scores higher overall (62/100 vs 51/100), backed by strong 21.2% margins and 18.7% 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.
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.
Chevron Corp
ENERGY · OIL & GAS INTEGRATED · USA
Chevron Corporation is an American multinational energy corporation. One of the successor companies of Standard Oil, it is headquartered in San Ramon, California, and active in more than 180 countries. Chevron is engaged in every aspect of the oil and natural gas industries, including hydrocarbon exploration and production; refining, marketing and transport; chemicals manufacturing and sales; and power generation.
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