WallStSmart

ADEIA CORP (ADEA)vsShopify Inc (SHOP)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Shopify Inc generates 2506% more annual revenue ($11.56B vs $443.39M). ADEA leads profitability with a 25.1% profit margin vs 10.6%. ADEA appears more attractively valued with a PEG of 1.51. ADEA earns a higher WallStSmart Score of 76/100 (B+).

ADEA

Strong Buy

76

out of 100

Grade: B+

Growth: 10.0Profit: 9.5Value: 10.0Quality: 5.0

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

ADEAUndervalued (+58.9%)

Margin of Safety

+58.9%

Fair Value

$46.33

Current Price

$25.22

$21.11 discount

UndervaluedFair: $46.33Overvalued
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

ADEA5 strengths · Avg: 9.6/10
Operating MarginProfitability
63.1%10/10

Strong operational efficiency at 63.1%

Revenue GrowthGrowth
53.3%10/10

Revenue surging 53.3% year-over-year

EPS GrowthGrowth
106.7%10/10

Earnings expanding 106.7% YoY

Return on EquityProfitability
25.3%9/10

Every $100 of equity generates 25 in profit

Profit MarginProfitability
25.1%9/10

Keeps 25 of every $100 in revenue as profit

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

ADEA2 concerns · Avg: 4.0/10
PEG RatioValuation
1.514/10

Expensive relative to growth rate

P/E RatioValuation
25.5x4/10

Moderate valuation

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 : ADEA

The strongest argument for ADEA centers on Operating Margin, Revenue Growth, EPS Growth. Profitability is solid with margins at 25.1% and operating margin at 63.1%. Revenue growth of 53.3% demonstrates continued momentum.

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 : ADEA

The primary concerns for ADEA are PEG Ratio, P/E Ratio.

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

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

ADEA is growing revenue faster at 53.3% — sustainability is the question.

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

Monitor SOFTWARE - APPLICATION industry trends, competitive dynamics, and regulatory changes.

Bottom Line

ADEA scores higher overall (76/100 vs 48/100), backed by strong 25.1% margins and 53.3% revenue growth. 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.

ADEIA CORP

TECHNOLOGY · SOFTWARE - APPLICATION · USA

Adeia Inc., is a global consumer and entertainment products/solutions licensing company. The company is headquartered in San Jose, California.

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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