ADSK vs PGY

Software - Application · market cap $43.5b. Down 37% from 52-week high of $329.09 — deep drawdown territory. Revenue growing +18%, comfortably above the S&P median. PEG 0.80 — paying under fair value for the growth rate. 32 sell-side analysts rate this a Strong Buy with a mean 1-yr target of $318.30 (implying +55% upside).

Net margin 19% beats the market median by a meaningful margin — the company is keeping more of every revenue dollar than the average S&P constituent. ROE 46% — top-decile capital efficiency. Either pricing leverage, low capital intensity, or aggressive buybacks; the durability story depends on which. FCF converts 187% of net income — earnings translate cleanly into cash, a sign that working capital and capex are well-disciplined.

Down 37% from the 52-week high — the market is pricing in something the screen can't see; verify the bear case before sizing up. Trailing P/E 30x sits well above the S&P median (~20x) — multiple compression is a real risk if revenue growth decelerates. Software — competitive moat is durable until it isn't; watch net revenue retention, gross margin trends, and any new market entrant with a fundamentally lower price point.

Software - Infrastructure · market cap $1.5b. Down 59% from 52-week high of $44.99 — deep drawdown territory. Revenue growing +26% — in hypergrowth territory. PEG 0.05 — paying under fair value for the growth rate. 10 sell-side analysts rate this a Strong Buy with a mean 1-yr target of $26.50 (implying +45% upside).

ROE 16% sits above Buffett's preferred 15% threshold — the equity base is compounding at a rate the market struggles to discount accurately. Free cash flow runs well ahead of reported net income — non-cash charges (depreciation, intangible amortization) are holding down GAAP earnings while cash generation stays strong. Software economics — recurring revenue, embedded customer workflows, and high gross margin all compound the moat once a base account is won. Switching costs are the lever.

Down 59% from the 52-week high — the market is pricing in something the screen can't see; verify the bear case before sizing up. Beta 5.34 implies above-market volatility — position-size to the drawdowns this name will produce in a market correction, not to its bull-case return. Software — competitive moat is durable until it isn't; watch net revenue retention, gross margin trends, and any new market entrant with a fundamentally lower price point.