WallStSmart

Cadence Design Systems Inc (CDNS)vsSony Group Corp (SONY)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Sony Group Corp generates 238120% more annual revenue ($13.17T vs $5.53B). CDNS leads profitability with a 21.2% profit margin vs -1.6%. SONY appears more attractively valued with a PEG of 2.71. CDNS earns a higher WallStSmart Score of 62/100 (C+).

CDNS

Buy

62

out of 100

Grade: C+

Growth: 8.0Profit: 8.5Value: 3.0Quality: 7.3
Piotroski: 3/9Altman Z: 3.13

SONY

Hold

47

out of 100

Grade: D+

Growth: 5.3Profit: 5.0Value: 5.0Quality: 5.0

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CDNS6 strengths · Avg: 8.8/10
Altman Z-ScoreHealth
3.1310/10

Safe zone — low bankruptcy risk

Market CapQuality
$91.00B9/10

Large-cap with strong market position

Return on EquityProfitability
20.7%9/10

Every $100 of equity generates 21 in profit

Profit MarginProfitability
21.2%9/10

Keeps 21 of every $100 in revenue as profit

Operating MarginProfitability
29.3%8/10

Strong operational efficiency at 29.3%

Revenue GrowthGrowth
18.7%8/10

18.7% revenue growth

SONY4 strengths · Avg: 8.8/10
Free Cash FlowQuality
$898.45B10/10

Generating 898.5B in free cash flow

Market CapQuality
$118.69B9/10

Large-cap with strong market position

P/E RatioValuation
15.6x8/10

Attractively priced relative to earnings

Price/BookValuation
2.3x8/10

Reasonable price relative to book value

Areas to Watch

CDNS4 concerns · Avg: 2.8/10
Price/BookValuation
13.7x4/10

Trading at 13.7x book value

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
3.132/10

Expensive relative to growth rate

P/E RatioValuation
77.0x2/10

Premium valuation, high expectations priced in

SONY3 concerns · Avg: 2.3/10
Revenue GrowthGrowth
0.5%4/10

0.5% revenue growth

PEG RatioValuation
2.712/10

Expensive relative to growth rate

Profit MarginProfitability
-1.6%1/10

Currently unprofitable

Comparative Analysis Report

WallStSmart Research

Bull Case : CDNS

The strongest argument for CDNS centers on Altman Z-Score, Market Cap, Return on Equity. Profitability is solid with margins at 21.2% and operating margin at 29.3%. Revenue growth of 18.7% demonstrates continued momentum.

Bull Case : SONY

The strongest argument for SONY centers on Free Cash Flow, Market Cap, P/E Ratio.

Bear Case : CDNS

The primary concerns for CDNS are Price/Book, Piotroski F-Score, PEG Ratio. A P/E of 77.0x leaves little room for execution misses.

Bear Case : SONY

The primary concerns for SONY are Revenue Growth, PEG Ratio, Profit Margin.

Key Dynamics to Monitor

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

CDNS carries more volatility with a beta of 1.04 — expect wider price swings.

CDNS is growing revenue faster at 18.7% — sustainability is the question.

SONY generates stronger free cash flow (898.5B), providing more financial flexibility.

Bottom Line

CDNS scores higher overall (62/100 vs 47/100), backed by strong 21.2% margins and 18.7% revenue growth. 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.

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.

Sony Group Corp

TECHNOLOGY · CONSUMER ELECTRONICS · USA

Sony Group Corporation designs, develops, produces and sells electronic equipment, instruments and devices for the consumer, professional and industrial markets worldwide. The company is headquartered in Tokyo, Japan.

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