WallStSmart

Cadence Design Systems Inc (CDNS)vsLG Display Co Ltd (LPL)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

LG Display Co Ltd generates 433362% more annual revenue ($25.30T vs $5.84B). CDNS leads profitability with a 23.6% profit margin vs -5.3%. CDNS appears more attractively valued with a PEG of 2.15. CDNS earns a higher WallStSmart Score of 68/100 (B-).

CDNS

Strong Buy

68

out of 100

Grade: B-

Growth: 8.7Profit: 8.5Value: 3.7Quality: 7.5
Piotroski: 4/9Altman Z: 3.09

LPL

Hold

36

out of 100

Grade: F

Growth: 2.7Profit: 2.5Value: 4.0Quality: 3.5
Piotroski: 5/9Altman Z: 1.25

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CDNS6 strengths · Avg: 9.2/10
EPS GrowthGrowth
125.4%10/10

Earnings expanding 125.4% YoY

Altman Z-ScoreHealth
3.0910/10

Safe zone — low bankruptcy risk

Market CapQuality
$79.69B9/10

Large-cap with strong market position

Return on EquityProfitability
20.1%9/10

Every $100 of equity generates 20 in profit

Profit MarginProfitability
23.6%9/10

Keeps 24 of every $100 in revenue as profit

Operating MarginProfitability
28.6%8/10

Strong operational efficiency at 28.6%

LPL2 strengths · Avg: 10.0/10
Price/BookValuation
0.7x10/10

Reasonable price relative to book value

Free Cash FlowQuality
$690.95B10/10

Generating 691.0B in free cash flow

Areas to Watch

CDNS3 concerns · Avg: 3.3/10
PEG RatioValuation
2.154/10

Expensive relative to growth rate

Price/BookValuation
11.6x4/10

Trading at 11.6x book value

P/E RatioValuation
56.5x2/10

Premium valuation, high expectations priced in

LPL4 concerns · Avg: 2.5/10
Revenue GrowthGrowth
0.4%4/10

0.4% revenue growth

PEG RatioValuation
6.562/10

Expensive relative to growth rate

Return on EquityProfitability
-1.3%2/10

ROE of -1.3% — below average capital efficiency

EPS GrowthGrowth
-76.3%2/10

Earnings declined 76.3%

Comparative Analysis Report

WallStSmart Research

Bull Case : CDNS

The strongest argument for CDNS centers on EPS Growth, Altman Z-Score, Market Cap. Profitability is solid with margins at 23.6% and operating margin at 28.6%. Revenue growth of 24.2% demonstrates continued momentum.

Bull Case : LPL

The strongest argument for LPL centers on Price/Book, Free Cash Flow.

Bear Case : CDNS

The primary concerns for CDNS are PEG Ratio, Price/Book, P/E Ratio. A P/E of 56.5x leaves little room for execution misses.

Bear Case : LPL

The primary concerns for LPL are Revenue Growth, PEG Ratio, Return on Equity. Debt-to-equity of 2.13 is elevated, increasing financial risk.

Key Dynamics to Monitor

CDNS profiles as a growth stock while LPL is a turnaround play — different risk/reward profiles.

LPL carries more volatility with a beta of 1.32 — expect wider price swings.

CDNS is growing revenue faster at 24.2% — sustainability is the question.

LPL generates stronger free cash flow (691.0B), providing more financial flexibility.

Bottom Line

CDNS scores higher overall (68/100 vs 36/100), backed by strong 23.6% margins and 24.2% 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.

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.

LG Display Co Ltd

TECHNOLOGY · CONSUMER ELECTRONICS · USA

LG Display Co., Ltd. is dedicated to the design, manufacture and sale of thin film transistor liquid crystal displays (TFT-LCD) and display panels based on organic light emitting diode (OLED) technology. The company is headquartered in Seoul, South Korea.

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