WallStSmart

Synopsys Inc (SNPS)vsUnited Microelectronics (UMC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

United Microelectronics generates 2674% more annual revenue ($240.73B vs $8.68B). UMC leads profitability with a 20.8% profit margin vs 8.9%. UMC appears more attractively valued with a PEG of 1.71. UMC earns a higher WallStSmart Score of 67/100 (B-).

SNPS

Hold

45

out of 100

Grade: D+

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

UMC

Strong Buy

67

out of 100

Grade: B-

Growth: 6.0Profit: 7.0Value: 5.3Quality: 7.5
Piotroski: 3/9Altman Z: 2.54
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for SNPS.

UMCUndervalued (+23.4%)

Margin of Safety

+23.4%

Fair Value

$24.68

Current Price

$19.70

$4.98 discount

UndervaluedFair: $24.68Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

SNPS3 strengths · Avg: 9.0/10
Revenue GrowthGrowth
41.9%10/10

Revenue surging 41.9% year-over-year

Market CapQuality
$97.34B9/10

Large-cap with strong market position

Price/BookValuation
2.9x8/10

Reasonable price relative to book value

UMC5 strengths · Avg: 9.0/10
EPS GrowthGrowth
108.1%10/10

Earnings expanding 108.1% YoY

Market CapQuality
$56.36B9/10

Large-cap with strong market position

Profit MarginProfitability
20.8%9/10

Keeps 21 of every $100 in revenue as profit

Debt/EquityHealth
0.149/10

Conservative balance sheet, low leverage

Free Cash FlowQuality
$8.77B8/10

Generating 8.8B in free cash flow

Areas to Watch

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

ROE of 2.5% — below average capital efficiency

Piotroski F-ScoreQuality
1/93/10

Weak financial health signals

PEG RatioValuation
3.022/10

Expensive relative to growth rate

P/E RatioValuation
116.1x2/10

Premium valuation, high expectations priced in

UMC3 concerns · Avg: 3.7/10
PEG RatioValuation
1.714/10

Expensive relative to growth rate

P/E RatioValuation
35.6x4/10

Premium valuation, high expectations priced in

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull 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 : UMC

The strongest argument for UMC centers on EPS Growth, Market Cap, Profit Margin. Profitability is solid with margins at 20.8% and operating margin at 18.5%.

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 : UMC

The primary concerns for UMC are PEG Ratio, P/E Ratio, Piotroski F-Score.

Key Dynamics to Monitor

SNPS profiles as a hypergrowth stock while UMC is a mature play — different risk/reward profiles.

SNPS carries more volatility with a beta of 1.25 — expect wider price swings.

SNPS is growing revenue faster at 41.9% — sustainability is the question.

UMC generates stronger free cash flow (8.8B), providing more financial flexibility.

Bottom Line

UMC scores higher overall (67/100 vs 45/100), backed by strong 20.8% margins. Both earn "Strong 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.

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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United Microelectronics

TECHNOLOGY · SEMICONDUCTORS · USA

United Microelectronics Corporation is a semiconductor wafer foundry in Taiwan, Singapore, China, Hong Kong, Japan, the United States, Europe, and internationally. The company is headquartered in Hsinchu City, Taiwan.

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