WallStSmart

Pagerduty Inc (PD)vsShopify Inc (SHOP)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Shopify Inc generates 2405% more annual revenue ($12.37B vs $493.71M). PD leads profitability with a 38.6% profit margin vs 10.8%. PD trades at a lower P/E of 4.8x. PD earns a higher WallStSmart Score of 52/100 (C-).

PD

Buy

52

out of 100

Grade: C-

Growth: 4.7Profit: 7.5Value: 8.3Quality: 4.5
Piotroski: 4/9Altman Z: 0.52

SHOP

Buy

50

out of 100

Grade: C-

Growth: 7.3Profit: 7.0Value: 4.7Quality: 8.5
Piotroski: 3/9Altman Z: 6.60
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

PDUndervalued (+82.3%)

Margin of Safety

+82.3%

Fair Value

$40.27

Current Price

$9.25

$31.02 discount

UndervaluedFair: $40.27Overvalued
SHOPUndervalued (+18.4%)

Margin of Safety

+18.4%

Fair Value

$143.39

Current Price

$109.54

$33.85 discount

UndervaluedFair: $143.39Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

PD3 strengths · Avg: 10.0/10
P/E RatioValuation
4.8x10/10

Attractively priced relative to earnings

Return on EquityProfitability
86.6%10/10

Every $100 of equity generates 87 in profit

Profit MarginProfitability
38.6%10/10

Keeps 39 of every $100 in revenue as profit

SHOP4 strengths · Avg: 9.8/10
Revenue GrowthGrowth
34.3%10/10

Revenue surging 34.3% year-over-year

Debt/EquityHealth
0.0110/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
6.6010/10

Safe zone — low bankruptcy risk

Market CapQuality
$139.50B9/10

Large-cap with strong market position

Areas to Watch

PD4 concerns · Avg: 3.5/10
Revenue GrowthGrowth
1.0%4/10

1.0% revenue growth

EPS GrowthGrowth
0.0%4/10

0.0% earnings growth

Market CapQuality
$767.37M3/10

Smaller company, higher risk/reward

Debt/EquityHealth
1.913/10

Elevated debt levels

SHOP4 concerns · Avg: 3.3/10
PEG RatioValuation
2.104/10

Expensive relative to growth rate

Price/BookValuation
11.4x4/10

Trading at 11.4x book value

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

P/E RatioValuation
105.4x2/10

Premium valuation, high expectations priced in

Comparative Analysis Report

WallStSmart Research

Bull Case : PD

The strongest argument for PD centers on P/E Ratio, Return on Equity, Profit Margin. Profitability is solid with margins at 38.6% and operating margin at 7.9%.

Bull Case : SHOP

The strongest argument for SHOP centers on Revenue Growth, Debt/Equity, Altman Z-Score. Revenue growth of 34.3% demonstrates continued momentum.

Bear Case : PD

The primary concerns for PD are Revenue Growth, EPS Growth, Market Cap. Debt-to-equity of 1.91 is elevated, increasing financial risk.

Bear Case : SHOP

The primary concerns for SHOP are PEG Ratio, Price/Book, Piotroski F-Score. A P/E of 105.4x leaves little room for execution misses.

Key Dynamics to Monitor

PD profiles as a value stock while SHOP is a growth play — different risk/reward profiles.

SHOP carries more volatility with a beta of 2.59 — expect wider price swings.

SHOP is growing revenue faster at 34.3% — sustainability is the question.

SHOP generates stronger free cash flow (476M), providing more financial flexibility.

Bottom Line

PD scores higher overall (52/100 vs 50/100), backed by strong 38.6% margins. SHOP offers better value entry with a 18.4% margin of safety. 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.

Pagerduty Inc

TECHNOLOGY · SOFTWARE - APPLICATION · USA

PagerDuty, Inc. operates a digital operations management platform in the United States and internationally. The company is headquartered in San Francisco, California.

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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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