Synopsys Inc (SNPS)vsSTMicroelectronics NV ADR (STM)
SNPS
Synopsys Inc
$464.85
-0.53%
TECHNOLOGY · Cap: $97.34B
STM
STMicroelectronics NV ADR
$70.72
-1.05%
TECHNOLOGY · Cap: $70.67B
Smart Verdict
WallStSmart Research — data-driven comparison
STMicroelectronics NV ADR generates 43% more annual revenue ($12.38B vs $8.68B). SNPS leads profitability with a 8.9% profit margin vs 1.2%. STM appears more attractively valued with a PEG of 0.71. SNPS earns a higher WallStSmart Score of 45/100 (D+).
SNPS
Hold45
out of 100
Grade: D+
STM
Hold40
out of 100
Grade: D
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Revenue surging 41.9% year-over-year
Large-cap with strong market position
Reasonable price relative to book value
Large-cap with strong market position
Conservative balance sheet, low leverage
Growing faster than its price suggests
Revenue surging 23.0% year-over-year
Areas to Watch
ROE of 2.5% — below average capital efficiency
Weak financial health signals
Expensive relative to growth rate
Premium valuation, high expectations priced in
ROE of 0.8% — below average capital efficiency
1.2% margin — thin
Operating margin of 3.6%
Premium valuation, high expectations priced in
Comparative Analysis Report
WallStSmart ResearchBull Case : SNPS
The strongest argument for SNPS centers on Revenue Growth, Market Cap, Price/Book. Revenue growth of 41.9% demonstrates continued momentum.
Bull Case : STM
The strongest argument for STM centers on Market Cap, Debt/Equity, PEG Ratio. Revenue growth of 23.0% demonstrates continued momentum. PEG of 0.71 suggests the stock is reasonably priced for its growth.
Bear Case : SNPS
The primary concerns for SNPS are Return on Equity, Piotroski F-Score, PEG Ratio. A P/E of 116.1x leaves little room for execution misses.
Bear Case : STM
The primary concerns for STM are Return on Equity, Profit Margin, Operating Margin. A P/E of 496.9x leaves little room for execution misses. Thin 1.2% margins leave little buffer for downturns.
Key Dynamics to Monitor
SNPS profiles as a hypergrowth stock while STM is a growth play — different risk/reward profiles.
STM carries more volatility with a beta of 1.51 — expect wider price swings.
SNPS is growing revenue faster at 41.9% — sustainability is the question.
SNPS generates stronger free cash flow (617M), providing more financial flexibility.
Bottom Line
SNPS scores higher overall (45/100 vs 40/100) and 41.9% 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.
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.
Visit Website →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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