WallStSmart

InterDigital Inc (IDCC)vsShopify Inc (SHOP)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Shopify Inc generates 1286% more annual revenue ($11.56B vs $834.01M). IDCC leads profitability with a 48.8% profit margin vs 10.6%. IDCC appears more attractively valued with a PEG of 1.32. IDCC earns a higher WallStSmart Score of 56/100 (C).

IDCC

Buy

56

out of 100

Grade: C

Growth: 4.7Profit: 9.5Value: 7.3Quality: 6.8
Piotroski: 4/9Altman Z: 3.58

SHOP

Hold

48

out of 100

Grade: D+

Growth: 7.3Profit: 7.0Value: 2.0Quality: 8.5
Piotroski: 3/9Altman Z: 4.73
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

IDCCSignificantly Overvalued (-353.5%)

Margin of Safety

-353.5%

Fair Value

$80.24

Current Price

$311.05

$230.81 premium

UndervaluedFair: $80.24Overvalued
SHOPSignificantly Overvalued (-1729.9%)

Margin of Safety

-1729.9%

Fair Value

$6.39

Current Price

$118.42

$112.03 premium

UndervaluedFair: $6.39Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

IDCC4 strengths · Avg: 10.0/10
Return on EquityProfitability
41.5%10/10

Every $100 of equity generates 42 in profit

Profit MarginProfitability
48.8%10/10

Keeps 49 of every $100 in revenue as profit

Operating MarginProfitability
30.4%10/10

Strong operational efficiency at 30.4%

Altman Z-ScoreHealth
3.5810/10

Safe zone — low bankruptcy risk

SHOP5 strengths · Avg: 9.4/10
Revenue GrowthGrowth
30.6%10/10

Revenue surging 30.6% year-over-year

Debt/EquityHealth
0.0910/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
4.7310/10

Safe zone — low bankruptcy risk

Market CapQuality
$151.59B9/10

Large-cap with strong market position

Operating MarginProfitability
20.3%8/10

Strong operational efficiency at 20.3%

Areas to Watch

IDCC3 concerns · Avg: 2.7/10
P/E RatioValuation
25.9x4/10

Moderate valuation

Revenue GrowthGrowth
-37.4%2/10

Revenue declined 37.4%

EPS GrowthGrowth
-70.5%2/10

Earnings declined 70.5%

SHOP4 concerns · Avg: 2.8/10
Price/BookValuation
11.5x4/10

Trading at 11.5x book value

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
9.562/10

Expensive relative to growth rate

P/E RatioValuation
123.6x2/10

Premium valuation, high expectations priced in

Comparative Analysis Report

WallStSmart Research

Bull Case : IDCC

The strongest argument for IDCC centers on Return on Equity, Profit Margin, Operating Margin. Profitability is solid with margins at 48.8% and operating margin at 30.4%. PEG of 1.32 suggests the stock is reasonably priced for its growth.

Bull Case : SHOP

The strongest argument for SHOP centers on Revenue Growth, Debt/Equity, Altman Z-Score. Revenue growth of 30.6% demonstrates continued momentum.

Bear Case : IDCC

The primary concerns for IDCC are P/E Ratio, Revenue Growth, EPS Growth.

Bear Case : SHOP

The primary concerns for SHOP are Price/Book, Piotroski F-Score, PEG Ratio. A P/E of 123.6x leaves little room for execution misses.

Key Dynamics to Monitor

IDCC profiles as a declining stock while SHOP is a growth play — different risk/reward profiles.

SHOP carries more volatility with a beta of 2.90 — expect wider price swings.

SHOP is growing revenue faster at 30.6% — sustainability is the question.

SHOP generates stronger free cash flow (715M), providing more financial flexibility.

Bottom Line

IDCC scores higher overall (56/100 vs 48/100), backed by strong 48.8% margins. 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.

InterDigital Inc

TECHNOLOGY · SOFTWARE - APPLICATION · USA

InterDigital, Inc. designs and develops technologies that enable and enhance wireless communications in the United States and internationally. The company is headquartered in Wilmington, Delaware.

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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