Cloudflare Inc (NET)vsSTMicroelectronics NV ADR (STM)
NET
Cloudflare Inc
$193.52
+3.73%
TECHNOLOGY · Cap: $90.74B
STM
STMicroelectronics NV ADR
$64.38
+1.56%
TECHNOLOGY · Cap: $57.65B
Smart Verdict
WallStSmart Research — data-driven comparison
STMicroelectronics NV ADR generates 471% more annual revenue ($12.38B vs $2.17B). STM leads profitability with a 1.2% profit margin vs -4.7%. STM appears more attractively valued with a PEG of 0.61. STM earns a higher WallStSmart Score of 43/100 (D).
NET
Hold35
out of 100
Grade: F
STM
Hold43
out of 100
Grade: D
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-14.4%
Fair Value
$165.50
Current Price
$193.52
$28.02 premium
Margin of Safety
-30.0%
Fair Value
$26.89
Current Price
$64.38
$37.49 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Revenue surging 33.6% year-over-year
Large-cap with strong market position
Large-cap with strong market position
Growing faster than its price suggests
Revenue surging 23.0% year-over-year
Areas to Watch
Expensive relative to growth rate
0.0% earnings growth
Trading at 46.6x book value
ROE of -8.2% — below average capital efficiency
ROE of 0.9% — below average capital efficiency
1.2% margin — thin
Operating margin of 3.6%
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : NET
The strongest argument for NET centers on Revenue Growth, Market Cap. Revenue growth of 33.6% demonstrates continued momentum.
Bull Case : STM
The strongest argument for STM centers on Market Cap, PEG Ratio, Revenue Growth. Revenue growth of 23.0% demonstrates continued momentum. PEG of 0.61 suggests the stock is reasonably priced for its growth.
Bear Case : NET
The primary concerns for NET are PEG Ratio, EPS Growth, Price/Book.
Bear Case : STM
The primary concerns for STM are Return on Equity, Profit Margin, Operating Margin. A P/E of 405.4x leaves little room for execution misses. Thin 1.2% margins leave little buffer for downturns.
Key Dynamics to Monitor
NET profiles as a hypergrowth stock while STM is a growth play — different risk/reward profiles.
NET carries more volatility with a beta of 1.67 — expect wider price swings.
NET is growing revenue faster at 33.6% — sustainability is the question.
STM generates stronger free cash flow (155M), providing more financial flexibility.
Bottom Line
STM scores higher overall (43/100 vs 35/100) and 23.0% revenue growth. Both earn "Hold" 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.
Cloudflare Inc
TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA
CloudFlare, Inc. operates a cloud platform that offers a range of network services to companies around the world. The company is headquartered in San Francisco, California.
STMicroelectronics NV ADR
TECHNOLOGY · SEMICONDUCTORS · USA
STMicroelectronics NV designs, develops, manufactures and markets semiconductor products in Europe, the Middle East, Africa, the Americas and Asia Pacific. The company is headquartered in Geneva, Switzerland.
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