WallStSmart

Synopsys Inc (SNPS)vsSTMicroelectronics NV ADR (STM)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

STMicroelectronics NV ADR generates 55% more annual revenue ($12.38B vs $8.01B). SNPS leads profitability with a 13.8% profit margin vs 1.2%. STM appears more attractively valued with a PEG of 0.52. SNPS earns a higher WallStSmart Score of 47/100 (D+).

SNPS

Hold

47

out of 100

Grade: D+

Growth: 6.7Profit: 5.0Value: 3.0Quality: 4.5
Piotroski: 1/9Altman Z: 1.48

STM

Hold

45

out of 100

Grade: D+

Growth: 4.0Profit: 4.0Value: 4.0Quality: 6.0
Piotroski: 3/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for SNPS.

STMSignificantly Overvalued (-32.3%)

Margin of Safety

-32.3%

Fair Value

$26.42

Current Price

$55.14

$28.72 premium

UndervaluedFair: $26.42Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

SNPS2 strengths · Avg: 9.5/10
Revenue GrowthGrowth
65.5%10/10

Revenue surging 65.5% year-over-year

Market CapQuality
$92.45B9/10

Large-cap with strong market position

STM3 strengths · Avg: 8.0/10
PEG RatioValuation
0.528/10

Growing faster than its price suggests

Price/BookValuation
2.8x8/10

Reasonable price relative to book value

Revenue GrowthGrowth
23.0%8/10

Revenue surging 23.0% year-over-year

Areas to Watch

SNPS4 concerns · Avg: 2.5/10
Return on EquityProfitability
5.5%3/10

ROE of 5.5% — below average capital efficiency

Piotroski F-ScoreQuality
1/93/10

Weak financial health signals

PEG RatioValuation
3.172/10

Expensive relative to growth rate

P/E RatioValuation
74.3x2/10

Premium valuation, high expectations priced in

STM4 concerns · Avg: 3.0/10
Return on EquityProfitability
0.9%3/10

ROE of 0.9% — below average capital efficiency

Profit MarginProfitability
1.2%3/10

1.2% margin — thin

Operating MarginProfitability
4.4%3/10

Operating margin of 4.4%

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : SNPS

The strongest argument for SNPS centers on Revenue Growth, Market Cap. Revenue growth of 65.5% demonstrates continued momentum.

Bull Case : STM

The strongest argument for STM centers on PEG Ratio, Price/Book, Revenue Growth. Revenue growth of 23.0% demonstrates continued momentum. PEG of 0.52 suggests the stock is reasonably priced for its growth.

Bear Case : SNPS

The primary concerns for SNPS are Return on Equity, Piotroski F-Score, PEG Ratio. A P/E of 74.3x leaves little room for execution misses.

Bear Case : STM

The primary concerns for STM are Return on Equity, Profit Margin, Operating Margin. A P/E of 329.2x leaves little room for execution misses. Thin 1.2% margins leave little buffer for downturns.

Key Dynamics to Monitor

STM carries more volatility with a beta of 1.22 — expect wider price swings.

SNPS is growing revenue faster at 65.5% — sustainability is the question.

SNPS generates stronger free cash flow (822M), providing more financial flexibility.

Monitor SOFTWARE - INFRASTRUCTURE industry trends, competitive dynamics, and regulatory changes.

Bottom Line

SNPS scores higher overall (47/100 vs 45/100) and 65.5% revenue growth. Both earn "Hold" 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.

Synopsys Inc

TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA

Synopsys is an American electronic design automation company that focuses on silicon design and verification, silicon intellectual property and software security and quality. Products include logic synthesis, behavioral synthesis, place and route, static timing analysis, formal verification, hardware description language (SystemC, SystemVerilog/Verilog, VHDL) simulators, and transistor-level circuit simulation.

Visit Website →

STMicroelectronics NV ADR

TECHNOLOGY · SEMICONDUCTORS · USA

STMicroelectronics NV designs, develops, manufactures and markets semiconductor products in Europe, the Middle East, Africa, the Americas and Asia Pacific. The company is headquartered in Geneva, Switzerland.

Want to dig deeper into these stocks?