Blackline Inc (BL)vsCadence Design Systems Inc (CDNS)
BL
Blackline Inc
$28.66
-0.17%
TECHNOLOGY · Cap: $1.69B
CDNS
Cadence Design Systems Inc
$376.19
+0.32%
TECHNOLOGY · Cap: $114.85B
Smart Verdict
WallStSmart Research — data-driven comparison
Cadence Design Systems Inc generates 671% more annual revenue ($5.53B vs $716.65M). CDNS leads profitability with a 21.2% profit margin vs 3.7%. CDNS appears more attractively valued with a PEG of 3.93. CDNS earns a higher WallStSmart Score of 62/100 (C+).
BL
Hold43
out of 100
Grade: D
CDNS
Buy62
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+51.8%
Fair Value
$86.84
Current Price
$28.66
$58.18 discount
Intrinsic value data unavailable for CDNS.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Earnings expanding 37.7% YoY
Safe zone — low bankruptcy risk
Large-cap with strong market position
Keeps 21 of every $100 in revenue as profit
Strong operational efficiency at 29.7%
18.7% revenue growth
Earnings expanding 23.0% YoY
Areas to Watch
Smaller company, higher risk/reward
3.7% margin — thin
Operating margin of 4.3%
Expensive relative to growth rate
Trading at 15.8x book value
Expensive relative to growth rate
Premium valuation, high expectations priced in
Comparative Analysis Report
WallStSmart ResearchBull Case : BL
The strongest argument for BL centers on EPS Growth.
Bull Case : CDNS
The strongest argument for CDNS centers on Altman Z-Score, Market Cap, Profit Margin. Profitability is solid with margins at 21.2% and operating margin at 29.7%. Revenue growth of 18.7% demonstrates continued momentum.
Bear Case : BL
The primary concerns for BL are Market Cap, Profit Margin, Operating Margin. A P/E of 68.4x leaves little room for execution misses. Debt-to-equity of 2.25 is elevated, increasing financial risk.
Bear Case : CDNS
The primary concerns for CDNS are Price/Book, PEG Ratio, P/E Ratio. A P/E of 96.6x leaves little room for execution misses.
Key Dynamics to Monitor
BL profiles as a value stock while CDNS is a growth play — different risk/reward profiles.
CDNS carries more volatility with a beta of 1.13 — expect wider price swings.
CDNS is growing revenue faster at 18.7% — sustainability is the question.
CDNS generates stronger free cash flow (307M), providing more financial flexibility.
Bottom Line
CDNS scores higher overall (62/100 vs 43/100), backed by strong 21.2% margins and 18.7% revenue growth. BL offers better value entry with a 51.8% margin of safety. 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.
Blackline Inc
TECHNOLOGY · SOFTWARE - APPLICATION · USA
BlackLine, Inc. offers cloud-based solutions to automate and streamline accounting and finance operations in the United States and internationally. The company is headquartered in Woodland Hills, California.
Cadence Design Systems Inc
TECHNOLOGY · SOFTWARE - APPLICATION · USA
Cadence Design Systems, Inc., headquartered in San Jose, California, is an American multinational computational software company. The company produces software, hardware and silicon structures for designing integrated circuits, systems on chips (SoCs) and printed circuit boards.
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