Cloudflare Inc (NET)vsWaters Corporation (WAT)
NET
Cloudflare Inc
$204.97
-3.30%
TECHNOLOGY · Cap: $72.43B
WAT
Waters Corporation
$292.13
-2.86%
HEALTHCARE · Cap: $28.68B
Smart Verdict
WallStSmart Research — data-driven comparison
Waters Corporation generates 46% more annual revenue ($3.17B vs $2.17B). WAT leads profitability with a 20.3% profit margin vs -4.7%. WAT appears more attractively valued with a PEG of 1.31. WAT earns a higher WallStSmart Score of 60/100 (C).
NET
Hold35
out of 100
Grade: F
WAT
Buy60
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-14.8%
Fair Value
$164.92
Current Price
$204.97
$40.05 premium
Intrinsic value data unavailable for WAT.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Revenue surging 33.6% year-over-year
Large-cap with strong market position
Strong operational efficiency at 33.8%
Safe zone — low bankruptcy risk
Every $100 of equity generates 29 in profit
Keeps 20 of every $100 in revenue as profit
Areas to Watch
Expensive relative to growth rate
0.0% earnings growth
Trading at 49.4x book value
ROE of -8.2% — below average capital efficiency
Moderate valuation
Earnings declined 3.1%
Comparative Analysis Report
WallStSmart ResearchBull Case : NET
The strongest argument for NET centers on Revenue Growth, Market Cap. Revenue growth of 33.6% demonstrates continued momentum.
Bull Case : WAT
The strongest argument for WAT centers on Operating Margin, Altman Z-Score, Return on Equity. Profitability is solid with margins at 20.3% and operating margin at 33.8%. PEG of 1.31 suggests the stock is reasonably priced for its growth.
Bear Case : NET
The primary concerns for NET are PEG Ratio, EPS Growth, Price/Book.
Bear Case : WAT
The primary concerns for WAT are P/E Ratio, EPS Growth.
Key Dynamics to Monitor
NET profiles as a hypergrowth stock while WAT is a mature play — different risk/reward profiles.
NET carries more volatility with a beta of 1.88 — expect wider price swings.
NET is growing revenue faster at 33.6% — sustainability is the question.
NET generates stronger free cash flow (156M), providing more financial flexibility.
Bottom Line
WAT scores higher overall (60/100 vs 35/100), backed by strong 20.3% margins. 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.
Cloudflare Inc
TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA
CloudFlare, Inc. operates a cloud platform that offers a range of network services to companies around the world. The company is headquartered in San Francisco, California.
Waters Corporation
HEALTHCARE · DIAGNOSTICS & RESEARCH · USA
Waters Corporation is a publicly traded Analytical Laboratory instrument and software company headquartered in Milford, Massachusetts.
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