Cadence Design Systems Inc (CDNS)vsThe TJX Companies Inc (TJX)
CDNS
Cadence Design Systems Inc
$376.19
+4.80%
TECHNOLOGY · Cap: $114.85B
TJX
The TJX Companies Inc
$158.62
-0.60%
CONSUMER CYCLICAL · Cap: $169.78B
Smart Verdict
WallStSmart Research — data-driven comparison
The TJX Companies Inc generates 1014% more annual revenue ($61.58B vs $5.53B). CDNS leads profitability with a 21.2% profit margin vs 9.4%. TJX appears more attractively valued with a PEG of 3.29. CDNS earns a higher WallStSmart Score of 62/100 (C+).
CDNS
Buy62
out of 100
Grade: C+
TJX
Buy56
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for CDNS.
Margin of Safety
-15.0%
Fair Value
$138.91
Current Price
$158.62
$19.71 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
Every $100 of equity generates 56 in profit
Safe zone — low bankruptcy risk
Large-cap with strong market position
Earnings expanding 29.3% YoY
Areas to Watch
Trading at 15.8x book value
Expensive relative to growth rate
Premium valuation, high expectations priced in
Moderate valuation
Trading at 17.2x book value
Elevated debt levels
Expensive relative to growth rate
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 : TJX
The strongest argument for TJX centers on Return on Equity, Altman Z-Score, Market Cap.
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 : TJX
The primary concerns for TJX are P/E Ratio, Price/Book, Debt/Equity.
Key Dynamics to Monitor
CDNS profiles as a growth stock while TJX 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.
TJX generates stronger free cash flow (457M), providing more financial flexibility.
Bottom Line
CDNS scores higher overall (62/100 vs 56/100), 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.
The TJX Companies Inc
CONSUMER CYCLICAL · APPAREL RETAIL · USA
The TJX Companies, Inc. (abbreviated TJX) is an American multinational off-price department store corporation, headquartered in Framingham, Massachusetts.
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