Cerence Inc (CRNC)vsShopify Inc (SHOP)
CRNC
Cerence Inc
$8.51
+4.55%
TECHNOLOGY · Cap: $384.91M
SHOP
Shopify Inc
$128.79
+1.73%
TECHNOLOGY · Cap: $188.28B
Smart Verdict
WallStSmart Research — data-driven comparison
Shopify Inc generates 4187% more annual revenue ($13.27B vs $309.49M). SHOP leads profitability with a 14.5% profit margin vs -5.0%. SHOP earns a higher WallStSmart Score of 62/100 (C+).
CRNC
Hold36
out of 100
Grade: F
SHOP
Buy62
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+53.2%
Fair Value
$17.30
Current Price
$8.51
$8.79 discount
Margin of Safety
+22.9%
Fair Value
$151.66
Current Price
$128.79
$22.87 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Revenue surging 33.7% year-over-year
Earnings expanding 68.1% YoY
Conservative balance sheet, low leverage
Safe zone — low bankruptcy risk
Large-cap with strong market position
Areas to Watch
Smaller company, higher risk/reward
Operating margin of 4.5%
Elevated debt levels
Weak financial health signals
Trading at 13.1x book value
Weak financial health signals
Expensive relative to growth rate
Premium valuation, high expectations priced in
Comparative Analysis Report
WallStSmart ResearchBull Case : CRNC
The strongest argument for CRNC centers on Price/Book. Revenue growth of 11.8% demonstrates continued momentum.
Bull Case : SHOP
The strongest argument for SHOP centers on Revenue Growth, EPS Growth, Debt/Equity. Revenue growth of 33.7% demonstrates continued momentum.
Bear Case : CRNC
The primary concerns for CRNC are Market Cap, Operating Margin, Debt/Equity.
Bear Case : SHOP
The primary concerns for SHOP are Price/Book, Piotroski F-Score, PEG Ratio. A P/E of 98.0x leaves little room for execution misses.
Key Dynamics to Monitor
CRNC profiles as a turnaround stock while SHOP is a growth play — different risk/reward profiles.
CRNC carries more volatility with a beta of 3.01 — expect wider price swings.
SHOP is growing revenue faster at 33.7% — sustainability is the question.
SHOP generates stronger free cash flow (654M), providing more financial flexibility.
Bottom Line
SHOP scores higher overall (62/100 vs 36/100) and 33.7% revenue growth. CRNC offers better value entry with a 53.2% margin of safety. 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.
Cerence Inc
TECHNOLOGY · SOFTWARE - APPLICATION · USA
Cerence Inc. provides assistants and innovations with artificial intelligence technology for connected and autonomous vehicles. Offers state-of-the-art software components; components connected to the cloud; tool kits; Applications; and virtual assistant for coexistence and professional services. The company is headquartered in Burlington, Massachusetts.
Shopify Inc
TECHNOLOGY · SOFTWARE - APPLICATION · USA
Shopify Inc., a commerce company, offers a commerce and service platform in Canada, the United States, the United Kingdom, Australia, Latin America, and internationally. The company is headquartered in Ottawa, Canada.
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