Synopsys Inc (SNPS)vsTE Connectivity Ltd (TEL)
SNPS
Synopsys Inc
$516.48
+2.23%
TECHNOLOGY · Cap: $98.94B
TEL
TE Connectivity Ltd
$206.20
-1.84%
TECHNOLOGY · Cap: $60.19B
Smart Verdict
WallStSmart Research — data-driven comparison
TE Connectivity Ltd generates 133% more annual revenue ($18.70B vs $8.01B). TEL leads profitability with a 15.5% profit margin vs 13.8%. TEL appears more attractively valued with a PEG of 1.12. TEL earns a higher WallStSmart Score of 76/100 (B+).
SNPS
Hold47
out of 100
Grade: D+
TEL
Strong Buy76
out of 100
Grade: B+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for SNPS.
Margin of Safety
-60.0%
Fair Value
$142.79
Current Price
$206.20
$63.41 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Revenue surging 65.5% year-over-year
Large-cap with strong market position
Earnings expanding 7150.0% YoY
Large-cap with strong market position
Every $100 of equity generates 23 in profit
Strong operational efficiency at 20.3%
Areas to Watch
ROE of 5.5% — below average capital efficiency
Weak financial health signals
Expensive relative to growth rate
Premium valuation, high expectations priced in
No major concerns identified
Comparative Analysis Report
WallStSmart ResearchBull Case : SNPS
The strongest argument for SNPS centers on Revenue Growth, Market Cap. Revenue growth of 65.5% demonstrates continued momentum.
Bull Case : TEL
The strongest argument for TEL centers on EPS Growth, Market Cap, Return on Equity. Profitability is solid with margins at 15.5% and operating margin at 20.3%. Revenue growth of 14.5% demonstrates continued momentum.
Bear Case : SNPS
The primary concerns for SNPS are Return on Equity, Piotroski F-Score, PEG Ratio. A P/E of 79.2x leaves little room for execution misses.
Bear Case : TEL
No major red flags identified for TEL, but monitor valuation.
Key Dynamics to Monitor
SNPS profiles as a growth stock while TEL is a mature play — different risk/reward profiles.
SNPS carries more volatility with a beta of 1.25 — 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.
Bottom Line
TEL scores higher overall (76/100 vs 47/100), backed by strong 15.5% margins and 14.5% revenue growth. Both earn "Strong 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.
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 →TE Connectivity Ltd
TECHNOLOGY · ELECTRONIC COMPONENTS · USA
TE Connectivity is an American Swiss-domiciled technology company that designs and manufactures connectors and sensors for several industries, such as automotive, industrial equipment, data communication systems, aerospace, defense, medical, oil and gas, consumer electronics and energy.
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