Synopsys Inc (SNPS)vsVeriSign Inc (VRSN)
SNPS
Synopsys Inc
$410.13
-1.32%
TECHNOLOGY · Cap: $78.57B
VRSN
VeriSign Inc
$251.70
+4.38%
TECHNOLOGY · Cap: $22.35B
Smart Verdict
WallStSmart Research — data-driven comparison
Synopsys Inc generates 383% more annual revenue ($8.01B vs $1.66B). VRSN leads profitability with a 49.8% profit margin vs 13.8%. VRSN appears more attractively valued with a PEG of 2.59. VRSN earns a higher WallStSmart Score of 54/100 (C-).
SNPS
Buy51
out of 100
Grade: C-
VRSN
Buy54
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-825.0%
Fair Value
$44.34
Current Price
$410.13
$365.79 premium
Margin of Safety
+4.6%
Fair Value
$225.98
Current Price
$251.70
$25.72 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Revenue surging 65.5% year-over-year
Large-cap with strong market position
Reasonable price relative to book value
Keeps 50 of every $100 in revenue as profit
Strong operational efficiency at 67.0%
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
Moderate valuation
ROE of 0.0% — below average capital efficiency
Expensive relative to growth rate
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull Case : SNPS
The strongest argument for SNPS centers on Revenue Growth, Market Cap, Price/Book. Revenue growth of 65.5% demonstrates continued momentum.
Bull Case : VRSN
The strongest argument for VRSN centers on Profit Margin, Operating Margin. Profitability is solid with margins at 49.8% and operating margin at 67.0%.
Bear Case : SNPS
The primary concerns for SNPS are Return on Equity, Piotroski F-Score, PEG Ratio. A P/E of 62.9x leaves little room for execution misses.
Bear Case : VRSN
The primary concerns for VRSN are P/E Ratio, Return on Equity, PEG Ratio.
Key Dynamics to Monitor
SNPS profiles as a growth stock while VRSN is a mature play — different risk/reward profiles.
SNPS carries more volatility with a beta of 1.16 — 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
VRSN scores higher overall (54/100 vs 51/100), backed by strong 49.8% margins. 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.
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 →VeriSign Inc
TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA
Verisign Inc. is an American company based in Reston, Virginia, United States that operates a diverse array of network infrastructure, including two of the Internet's thirteen root nameservers. Verisign also offers a range of security services, including managed DNS, distributed denial-of-service (DDoS) attack mitigation and cyber-threat reporting.
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