WallStSmart

Skywater Technology Inc (SKYT)vsSynopsys Inc (SNPS)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Synopsys Inc generates 1711% more annual revenue ($8.01B vs $442.14M). SKYT leads profitability with a 26.9% profit margin vs 13.8%. SKYT trades at a lower P/E of 12.8x. SKYT earns a higher WallStSmart Score of 60/100 (C).

SKYT

Buy

60

out of 100

Grade: C

Growth: 10.0Profit: 6.0Value: 6.3Quality: 3.5
Piotroski: 4/9Altman Z: 0.87

SNPS

Hold

47

out of 100

Grade: D+

Growth: 6.7Profit: 5.0Value: 3.0Quality: 4.5
Piotroski: 1/9Altman Z: 1.48
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

SKYTUndervalued (+8.4%)

Margin of Safety

+8.4%

Fair Value

$31.01

Current Price

$31.90

$0.89 discount

UndervaluedFair: $31.01Overvalued

Intrinsic value data unavailable for SNPS.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

SKYT5 strengths · Avg: 9.4/10
Return on EquityProfitability
95.9%10/10

Every $100 of equity generates 96 in profit

Revenue GrowthGrowth
126.6%10/10

Revenue surging 126.6% year-over-year

EPS GrowthGrowth
9733.0%10/10

Earnings expanding 9733.0% YoY

Profit MarginProfitability
26.9%9/10

Keeps 27 of every $100 in revenue as profit

P/E RatioValuation
12.8x8/10

Attractively priced relative to earnings

SNPS2 strengths · Avg: 9.5/10
Revenue GrowthGrowth
65.5%10/10

Revenue surging 65.5% year-over-year

Market CapQuality
$92.45B9/10

Large-cap with strong market position

Areas to Watch

SKYT4 concerns · Avg: 3.0/10
Price/BookValuation
8.3x4/10

Trading at 8.3x book value

Market CapQuality
$1.53B3/10

Smaller company, higher risk/reward

Debt/EquityHealth
1.103/10

Elevated debt levels

Free Cash FlowQuality
$-42.06M2/10

Negative free cash flow — burning cash

SNPS4 concerns · Avg: 2.5/10
Return on EquityProfitability
5.5%3/10

ROE of 5.5% — below average capital efficiency

Piotroski F-ScoreQuality
1/93/10

Weak financial health signals

PEG RatioValuation
3.172/10

Expensive relative to growth rate

P/E RatioValuation
74.3x2/10

Premium valuation, high expectations priced in

Comparative Analysis Report

WallStSmart Research

Bull Case : SKYT

The strongest argument for SKYT centers on Return on Equity, Revenue Growth, EPS Growth. Profitability is solid with margins at 26.9% and operating margin at -1.8%. Revenue growth of 126.6% demonstrates continued momentum.

Bull Case : SNPS

The strongest argument for SNPS centers on Revenue Growth, Market Cap. Revenue growth of 65.5% demonstrates continued momentum.

Bear Case : SKYT

The primary concerns for SKYT are Price/Book, Market Cap, Debt/Equity.

Bear Case : SNPS

The primary concerns for SNPS are Return on Equity, Piotroski F-Score, PEG Ratio. A P/E of 74.3x leaves little room for execution misses.

Key Dynamics to Monitor

SKYT carries more volatility with a beta of 3.47 — expect wider price swings.

SKYT is growing revenue faster at 126.6% — sustainability is the question.

SNPS generates stronger free cash flow (822M), providing more financial flexibility.

Monitor SEMICONDUCTORS industry trends, competitive dynamics, and regulatory changes.

Bottom Line

SKYT scores higher overall (60/100 vs 47/100), backed by strong 26.9% margins and 126.6% revenue growth. 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.

Skywater Technology Inc

TECHNOLOGY · SEMICONDUCTORS · USA

SkyWater Technology, Inc. manufactures integrated circuits. The company is headquartered in Bloomington, Minnesota.

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Synopsys Inc

TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA

Synopsys is an American electronic design automation company that focuses on silicon design and verification, silicon intellectual property and software security and quality. Products include logic synthesis, behavioral synthesis, place and route, static timing analysis, formal verification, hardware description language (SystemC, SystemVerilog/Verilog, VHDL) simulators, and transistor-level circuit simulation.

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