Cerence Inc (CRNC)vsSAP SE ADR (SAP)
CRNC
Cerence Inc
$8.48
+0.12%
TECHNOLOGY · Cap: $401.64M
SAP
SAP SE ADR
$236.93
+0.48%
TECHNOLOGY · Cap: $272.16B
Smart Verdict
WallStSmart Research — data-driven comparison
SAP SE ADR generates 12626% more annual revenue ($39.39B vs $309.49M). SAP leads profitability with a 20.4% profit margin vs -5.0%. SAP earns a higher WallStSmart Score of 60/100 (C).
CRNC
Hold36
out of 100
Grade: F
SAP
Buy60
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+52.4%
Fair Value
$17.03
Current Price
$8.48
$8.55 discount
Margin of Safety
-25.6%
Fair Value
$156.37
Current Price
$236.93
$80.56 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Mega-cap, among the largest globally
Safe zone — low bankruptcy risk
Keeps 20 of every $100 in revenue as profit
Conservative balance sheet, low leverage
Strong operational efficiency at 29.5%
Generating 1.7B in free cash flow
Areas to Watch
Smaller company, higher risk/reward
Operating margin of 4.5%
Elevated debt levels
Weak financial health signals
Expensive relative to growth rate
Moderate valuation
Trading at 74.3x book value
Comparative Analysis Report
WallStSmart ResearchBull Case : CRNC
The strongest argument for CRNC centers on Price/Book. Revenue growth of 11.8% demonstrates continued momentum.
Bull Case : SAP
The strongest argument for SAP centers on Market Cap, Altman Z-Score, Profit Margin. Profitability is solid with margins at 20.4% and operating margin at 29.5%. Revenue growth of 13.2% demonstrates continued momentum.
Bear Case : CRNC
The primary concerns for CRNC are Market Cap, Operating Margin, Debt/Equity.
Bear Case : SAP
The primary concerns for SAP are PEG Ratio, P/E Ratio, Price/Book.
Key Dynamics to Monitor
CRNC profiles as a turnaround stock while SAP is a mature play — different risk/reward profiles.
CRNC carries more volatility with a beta of 3.05 — expect wider price swings.
SAP is growing revenue faster at 13.2% — sustainability is the question.
SAP generates stronger free cash flow (1.7B), providing more financial flexibility.
Bottom Line
SAP scores higher overall (60/100 vs 36/100), backed by strong 20.4% margins and 13.2% revenue growth. CRNC offers better value entry with a 52.4% margin of safety. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Cerence Inc
TECHNOLOGY · SOFTWARE - APPLICATION · USA
Cerence Inc. provides assistants and innovations with artificial intelligence technology for connected and autonomous vehicles. Offers state-of-the-art software components; components connected to the cloud; tool kits; Applications; and virtual assistant for coexistence and professional services. The company is headquartered in Burlington, Massachusetts.
SAP SE ADR
TECHNOLOGY · SOFTWARE - APPLICATION · USA
SAP SE is a global enterprise application software company. The company is headquartered in Walldorf, Germany.
Visit Website →Compare with Other SOFTWARE - APPLICATION Stocks
Want to dig deeper into these stocks?