WallStSmart

Donnelley Financial Solutions Inc (DFIN)vsShopify Inc (SHOP)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Shopify Inc generates 1607% more annual revenue ($13.27B vs $777.50M). SHOP leads profitability with a 14.5% profit margin vs 4.5%. DFIN appears more attractively valued with a PEG of 0.97. SHOP earns a higher WallStSmart Score of 62/100 (C+).

DFIN

Buy

57

out of 100

Grade: C

Growth: 4.0Profit: 7.0Value: 4.7Quality: 6.0
Piotroski: 5/9Altman Z: 2.73

SHOP

Buy

62

out of 100

Grade: C+

Growth: 10.0Profit: 7.5Value: 4.0Quality: 8.5
Piotroski: 3/9Altman Z: 6.61
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

DFINSignificantly Overvalued (-58.6%)

Margin of Safety

-58.6%

Fair Value

$26.02

Current Price

$47.95

$21.93 premium

UndervaluedFair: $26.02Overvalued
SHOPUndervalued (+22.9%)

Margin of Safety

+22.9%

Fair Value

$151.66

Current Price

$128.79

$22.87 discount

UndervaluedFair: $151.66Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

DFIN2 strengths · Avg: 8.0/10
PEG RatioValuation
0.978/10

Growing faster than its price suggests

Operating MarginProfitability
25.8%8/10

Strong operational efficiency at 25.8%

SHOP5 strengths · Avg: 9.8/10
Revenue GrowthGrowth
33.7%10/10

Revenue surging 33.7% year-over-year

EPS GrowthGrowth
68.1%10/10

Earnings expanding 68.1% YoY

Debt/EquityHealth
0.0110/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
6.6110/10

Safe zone — low bankruptcy risk

Market CapQuality
$188.28B9/10

Large-cap with strong market position

Areas to Watch

DFIN4 concerns · Avg: 3.5/10
P/E RatioValuation
31.7x4/10

Premium valuation, high expectations priced in

Revenue GrowthGrowth
2.8%4/10

2.8% revenue growth

Market CapQuality
$1.20B3/10

Smaller company, higher risk/reward

Profit MarginProfitability
4.5%3/10

4.5% margin — thin

SHOP4 concerns · Avg: 2.8/10
Price/BookValuation
13.1x4/10

Trading at 13.1x book value

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
2.612/10

Expensive relative to growth rate

P/E RatioValuation
98.0x2/10

Premium valuation, high expectations priced in

Comparative Analysis Report

WallStSmart Research

Bull Case : DFIN

The strongest argument for DFIN centers on PEG Ratio, Operating Margin. PEG of 0.97 suggests the stock is reasonably priced for its growth.

Bull Case : SHOP

The strongest argument for SHOP centers on Revenue Growth, EPS Growth, Debt/Equity. Revenue growth of 33.7% demonstrates continued momentum.

Bear Case : DFIN

The primary concerns for DFIN are P/E Ratio, Revenue Growth, Market Cap. Thin 4.5% margins leave little buffer for downturns.

Bear Case : SHOP

The primary concerns for SHOP are Price/Book, Piotroski F-Score, PEG Ratio. A P/E of 98.0x leaves little room for execution misses.

Key Dynamics to Monitor

DFIN profiles as a value stock while SHOP is a growth play — different risk/reward profiles.

SHOP carries more volatility with a beta of 2.62 — expect wider price swings.

SHOP is growing revenue faster at 33.7% — sustainability is the question.

SHOP generates stronger free cash flow (654M), providing more financial flexibility.

Bottom Line

SHOP scores higher overall (62/100 vs 57/100) and 33.7% 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.

Donnelley Financial Solutions Inc

TECHNOLOGY · SOFTWARE - APPLICATION · USA

Donnelley Financial Solutions, Inc. is a global risk and compliance solutions company. The company is headquartered in Chicago, Illinois.

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Shopify Inc

TECHNOLOGY · SOFTWARE - APPLICATION · USA

Shopify Inc., a commerce company, offers a commerce and service platform in Canada, the United States, the United Kingdom, Australia, Latin America, and internationally. The company is headquartered in Ottawa, Canada.

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