WallStSmart

Cadence Design Systems Inc (CDNS)vsWipro Limited ADR (WIT)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Wipro Limited ADR generates 16654% more annual revenue ($926.24B vs $5.53B). CDNS leads profitability with a 21.2% profit margin vs 14.2%. WIT appears more attractively valued with a PEG of 1.32. 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: 7.0
Piotroski: 4/9Altman Z: 3.09

WIT

Buy

59

out of 100

Grade: C

Growth: 4.0Profit: 7.0Value: 6.3Quality: 8.0
Piotroski: 2/9Altman Z: 3.09

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
$114.85B9/10

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

WIT5 strengths · Avg: 9.0/10
Free Cash FlowQuality
$26.91B10/10

Generating 26.9B in free cash flow

Altman Z-ScoreHealth
3.0910/10

Safe zone — low bankruptcy risk

Debt/EquityHealth
0.249/10

Conservative balance sheet, low leverage

P/E RatioValuation
15.5x8/10

Attractively priced relative to earnings

Price/BookValuation
2.3x8/10

Reasonable price relative to book value

Areas to Watch

CDNS3 concerns · Avg: 2.7/10
Price/BookValuation
15.8x4/10

Trading at 15.8x book value

PEG RatioValuation
3.932/10

Expensive relative to growth rate

P/E RatioValuation
96.6x2/10

Premium valuation, high expectations priced in

WIT2 concerns · Avg: 2.5/10
Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

EPS GrowthGrowth
-1.6%2/10

Earnings declined 1.6%

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 : WIT

The strongest argument for WIT centers on Free Cash Flow, Altman Z-Score, Debt/Equity. PEG of 1.32 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 : WIT

The primary concerns for WIT are Piotroski F-Score, EPS Growth.

Key Dynamics to Monitor

CDNS profiles as a growth stock while WIT 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.

WIT generates stronger free cash flow (26.9B), providing more financial flexibility.

Bottom Line

CDNS scores higher overall (62/100 vs 59/100), 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.

Wipro Limited ADR

TECHNOLOGY · INFORMATION TECHNOLOGY SERVICES · USA

Wipro Limited is a global information technology (IT), consulting and business process services company. The company is headquartered in Bengaluru, India.

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