WallStSmart

Cadence Design Systems Inc (CDNS)vsGrindr Inc (GRND)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Cadence Design Systems Inc generates 1062% more annual revenue ($5.53B vs $475.90M). CDNS leads profitability with a 21.2% profit margin vs 19.9%. GRND trades at a lower P/E of 25.3x. GRND earns a higher WallStSmart Score of 64/100 (C+).

CDNS

Buy

62

out of 100

Grade: C+

Growth: 8.0Profit: 8.5Value: 3.0Quality: 7.0
Piotroski: 4/9Altman Z: 3.09

GRND

Buy

64

out of 100

Grade: C+

Growth: 10.0Profit: 9.5Value: 6.3Quality: 4.5
Piotroski: 4/9Altman Z: 1.65
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for CDNS.

GRNDUndervalued (+15.7%)

Margin of Safety

+15.7%

Fair Value

$12.27

Current Price

$10.90

$1.37 discount

UndervaluedFair: $12.27Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CDNS6 strengths · Avg: 8.7/10
Altman Z-ScoreHealth
3.0910/10

Safe zone — low bankruptcy risk

Market CapQuality
$108.81B9/10

Large-cap with strong market position

Profit MarginProfitability
21.2%9/10

Keeps 21 of every $100 in revenue as profit

Operating MarginProfitability
29.7%8/10

Strong operational efficiency at 29.7%

Revenue GrowthGrowth
18.7%8/10

18.7% revenue growth

EPS GrowthGrowth
23.0%8/10

Earnings expanding 23.0% YoY

GRND4 strengths · Avg: 10.0/10
Return on EquityProfitability
58.9%10/10

Every $100 of equity generates 59 in profit

Operating MarginProfitability
32.9%10/10

Strong operational efficiency at 32.9%

Revenue GrowthGrowth
38.3%10/10

Revenue surging 38.3% year-over-year

EPS GrowthGrowth
64.5%10/10

Earnings expanding 64.5% YoY

Areas to Watch

CDNS3 concerns · Avg: 2.7/10
Price/BookValuation
16.4x4/10

Trading at 16.4x book value

PEG RatioValuation
3.662/10

Expensive relative to growth rate

P/E RatioValuation
91.7x2/10

Premium valuation, high expectations priced in

GRND4 concerns · Avg: 2.8/10
P/E RatioValuation
25.3x4/10

Moderate valuation

Altman Z-ScoreHealth
1.654/10

Distress zone — elevated risk

Price/BookValuation
1090.0x2/10

Trading at 1090.0x book value

Debt/EquityHealth
23.841/10

Elevated debt levels

Comparative Analysis Report

WallStSmart Research

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.

Bull Case : GRND

The strongest argument for GRND centers on Return on Equity, Operating Margin, Revenue Growth. Profitability is solid with margins at 19.9% and operating margin at 32.9%. Revenue growth of 38.3% demonstrates continued momentum.

Bear Case : CDNS

The primary concerns for CDNS are Price/Book, PEG Ratio, P/E Ratio. A P/E of 91.7x leaves little room for execution misses.

Bear Case : GRND

The primary concerns for GRND are P/E Ratio, Altman Z-Score, Price/Book. Debt-to-equity of 23.84 is elevated, increasing financial risk.

Key Dynamics to Monitor

CDNS carries more volatility with a beta of 1.15 — expect wider price swings.

GRND is growing revenue faster at 38.3% — sustainability is the question.

CDNS generates stronger free cash flow (307M), providing more financial flexibility.

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

Bottom Line

GRND scores higher overall (64/100 vs 62/100), backed by strong 19.9% margins and 38.3% revenue growth. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

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.

Grindr Inc

TECHNOLOGY · SOFTWARE - APPLICATION · USA

Grindr Inc. is a leading social networking and dating platform designed specifically for the LGBTQ+ community, established in 2009. Leveraging advanced location-based technology, the company has built a robust and engaged user base, reinforcing its influence in the social media landscape. Grindr's commitment to innovation through enhanced features and community engagement, coupled with its sophisticated data analytics, fosters strong user loyalty and presents substantial advertising revenue potential. As Grindr continues to implement strategic initiatives to expand its service offerings, it is well-positioned to capitalize on the growing demand for inclusive social networking solutions, making it an attractive opportunity for institutional investors.

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