Cadence Design Systems Inc (CDNS)vsIntuitive Surgical Inc (ISRG)
CDNS
Cadence Design Systems Inc
$376.19
+4.80%
TECHNOLOGY · Cap: $114.85B
ISRG
Intuitive Surgical Inc
$422.06
-0.82%
HEALTHCARE · Cap: $142.48B
Smart Verdict
WallStSmart Research — data-driven comparison
Intuitive Surgical Inc generates 91% more annual revenue ($10.58B vs $5.53B). ISRG leads profitability with a 28.1% profit margin vs 21.2%. ISRG appears more attractively valued with a PEG of 2.16. ISRG earns a higher WallStSmart Score of 64/100 (C+).
CDNS
Buy62
out of 100
Grade: C+
ISRG
Buy64
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for CDNS.
Margin of Safety
+77.9%
Fair Value
$1896.32
Current Price
$422.06
$1474.26 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
Strong operational efficiency at 30.9%
Safe zone — low bankruptcy risk
Large-cap with strong market position
Keeps 28 of every $100 in revenue as profit
Revenue surging 23.0% year-over-year
Areas to Watch
Trading at 15.8x book value
Expensive relative to growth rate
Premium valuation, high expectations priced in
Expensive relative to growth rate
Trading at 8.6x book value
Premium valuation, high expectations priced in
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 : ISRG
The strongest argument for ISRG centers on Operating Margin, Altman Z-Score, Market Cap. Profitability is solid with margins at 28.1% and operating margin at 30.9%. Revenue growth of 23.0% demonstrates continued momentum.
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 : ISRG
The primary concerns for ISRG are PEG Ratio, Price/Book, P/E Ratio. A P/E of 48.8x leaves little room for execution misses.
Key Dynamics to Monitor
ISRG carries more volatility with a beta of 1.51 — expect wider price swings.
ISRG is growing revenue faster at 23.0% — sustainability is the question.
ISRG generates stronger free cash flow (809M), providing more financial flexibility.
Monitor SOFTWARE - APPLICATION industry trends, competitive dynamics, and regulatory changes.
Bottom Line
ISRG scores higher overall (64/100 vs 62/100), backed by strong 28.1% margins and 23.0% 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.
Intuitive Surgical Inc
HEALTHCARE · MEDICAL INSTRUMENTS & SUPPLIES · USA
Intuitive Surgical, Inc. is an American corporation that develops, manufactures, and markets robotic products designed to improve clinical outcomes of patients through minimally invasive surgery, most notably with the da Vinci Surgical System.
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