Cadence Design Systems Inc (CDNS)vseGain Corporation (EGAN)
CDNS
Cadence Design Systems Inc
$376.19
+0.32%
TECHNOLOGY · Cap: $114.85B
EGAN
eGain Corporation
$7.74
-0.64%
TECHNOLOGY · Cap: $197.64M
Smart Verdict
WallStSmart Research — data-driven comparison
Cadence Design Systems Inc generates 5895% more annual revenue ($5.53B vs $92.22M). EGAN leads profitability with a 41.7% profit margin vs 21.2%. EGAN appears more attractively valued with a PEG of 0.99. EGAN earns a higher WallStSmart Score of 69/100 (B-).
CDNS
Buy62
out of 100
Grade: C+
EGAN
Strong Buy69
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for CDNS.
Margin of Safety
-54.8%
Fair Value
$6.35
Current Price
$7.74
$1.39 premium
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
Attractively priced relative to earnings
Every $100 of equity generates 54 in profit
Keeps 42 of every $100 in revenue as profit
Earnings expanding 3703.0% YoY
Conservative balance sheet, low leverage
Growing faster than its price suggests
Areas to Watch
Trading at 15.8x book value
Expensive relative to growth rate
Premium valuation, high expectations priced in
Smaller company, higher risk/reward
Weak financial health signals
Negative free cash flow — burning cash
Distress zone — elevated risk
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 : EGAN
The strongest argument for EGAN centers on P/E Ratio, Return on Equity, Profit Margin. Profitability is solid with margins at 41.7% and operating margin at 8.9%. PEG of 0.99 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 : EGAN
The primary concerns for EGAN are Market Cap, Piotroski F-Score, Free Cash Flow.
Key Dynamics to Monitor
CDNS profiles as a growth stock while EGAN is a mature 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
EGAN scores higher overall (69/100 vs 62/100), backed by strong 41.7% margins. Both earn "Strong 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.
eGain Corporation
TECHNOLOGY · SOFTWARE - APPLICATION · USA
eGain Corporation is a software-as-a-service provider of customer engagement solutions in the United States, the United Kingdom, India, and internationally. The company is headquartered in Sunnyvale, California.
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