Cadence Design Systems Inc (CDNS)vsMedtronic PLC (MDT)
CDNS
Cadence Design Systems Inc
$376.19
-0.85%
TECHNOLOGY · Cap: $114.85B
MDT
Medtronic PLC
$81.67
+1.60%
HEALTHCARE · Cap: $94.69B
Smart Verdict
WallStSmart Research — data-driven comparison
Medtronic PLC generates 542% more annual revenue ($35.48B vs $5.53B). CDNS leads profitability with a 21.2% profit margin vs 13.0%. MDT appears more attractively valued with a PEG of 1.29. CDNS earns a higher WallStSmart Score of 62/100 (C+).
CDNS
Buy62
out of 100
Grade: C+
MDT
Buy61
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for CDNS.
Margin of Safety
+13.2%
Fair Value
$89.75
Current Price
$81.67
$8.08 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
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
Large-cap with strong market position
Reasonable price relative to book value
Strong operational efficiency at 20.0%
Generating 2.3B in free cash flow
Areas to Watch
Trading at 15.8x book value
Expensive relative to growth rate
Premium valuation, high expectations priced in
Grey zone — moderate risk
Earnings declined 11.8%
Comparative Analysis Report
WallStSmart ResearchBull 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 : MDT
The strongest argument for MDT centers on Market Cap, Price/Book, Operating Margin. PEG of 1.29 suggests the stock is reasonably priced for its growth.
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.
Bear Case : MDT
The primary concerns for MDT are Altman Z-Score, EPS Growth.
Key Dynamics to Monitor
CDNS profiles as a growth stock while MDT is a value 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.
MDT generates stronger free cash flow (2.3B), providing more financial flexibility.
Bottom Line
CDNS scores higher overall (62/100 vs 61/100), backed by strong 21.2% margins and 18.7% 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.
Medtronic PLC
HEALTHCARE · MEDICAL DEVICES · USA
Medtronic plc is an American-Irish registered medical device company that primarily operates in the United States. Medtronic has an operational and executive headquarters in Fridley, Minnesota in the US.
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