Cadence Design Systems Inc (CDNS)vsZoomInfo Technologies Inc. (GTM)
CDNS
Cadence Design Systems Inc
$376.19
+2.48%
TECHNOLOGY · Cap: $114.85B
GTM
ZoomInfo Technologies Inc.
$2.98
-1.65%
TECHNOLOGY · Cap: $828.16M
Smart Verdict
WallStSmart Research — data-driven comparison
Cadence Design Systems Inc generates 341% more annual revenue ($5.53B vs $1.25B). CDNS leads profitability with a 21.2% profit margin vs 10.1%. GTM trades at a lower P/E of 7.0x. GTM earns a higher WallStSmart Score of 63/100 (C+).
CDNS
Buy62
out of 100
Grade: C+
GTM
Buy63
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for CDNS.
Margin of Safety
+79.4%
Fair Value
$31.84
Current Price
$2.98
$28.86 discount
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
Reasonable price relative to book value
Conservative balance sheet, low leverage
Strong operational efficiency at 21.9%
Earnings expanding 23.2% YoY
Areas to Watch
Trading at 15.8x book value
Expensive relative to growth rate
Premium valuation, high expectations priced in
1.5% revenue growth
Smaller company, higher risk/reward
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 : GTM
The strongest argument for GTM centers on P/E Ratio, Price/Book, Debt/Equity.
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 : GTM
The primary concerns for GTM are Revenue Growth, Market Cap, Altman Z-Score.
Key Dynamics to Monitor
CDNS profiles as a growth stock while GTM 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
GTM scores higher overall (63/100 vs 62/100). 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.
ZoomInfo Technologies Inc.
TECHNOLOGY · SOFTWARE - APPLICATION · USA
ZoomInfo Technologies Inc., provides go-to-market intelligence and engagement platform for sales, marketing, operations, and recruiting professionals in the United States and internationally. The company is headquartered in Vancouver, Washington.
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