CGEN vs SDGR

For growth investors, Schrödinger, Inc.

(SDGR) is the stronger pick with 23. 3% revenue growth year-over-year, versus -16. 7% for Compugen Ltd. (CGEN). Analysts rate Compugen Ltd. (CGEN) a "Buy" — based on 13 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

Over the past 5 years, Compugen Ltd.

(CGEN) delivered a total return of -62. 9%, compared to -80. 7% for Schrödinger, Inc. (SDGR). Over 10 years, the gap is even starker: SDGR returned -54. 7% versus CGEN's -57. 3%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Compugen Ltd.

(CGEN) is the lower-risk stock at 1. 68β versus Schrödinger, Inc. 's 1. 72β — meaning SDGR is approximately 2% more volatile than CGEN relative to the S&P 500. On balance sheet safety, Compugen Ltd. (CGEN) carries a lower debt/equity ratio of 5% versus 30% for Schrödinger, Inc. — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Schrödinger, Inc.

(SDGR) is pulling ahead at 23. 3% versus -16. 7% for Compugen Ltd. (CGEN). On earnings-per-share growth, the picture is similar: Schrödinger, Inc. grew EPS 45. 1% year-over-year, compared to 23. 8% for Compugen Ltd.. Over a 3-year CAGR, CGEN leads at 66. 8% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

Schrödinger, Inc.

(SDGR) is the more profitable company, earning -40. 4% net margin versus -51. 1% for Compugen Ltd. — meaning it keeps -40. 4% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: CGEN leads at -53. 4% versus -65. 2% for SDGR. At the gross margin level — before operating expenses — CGEN leads at 71. 5%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

None of the stocks in this comparison currently pay a material dividend.

All are effectively zero-yield and should be held for capital appreciation rather than income.

For long-horizon retirement investors, Compugen Ltd.

(CGEN) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding. Schrödinger, Inc. (SDGR) carries a higher beta of 1. 72 — meaning larger drawdowns in market downturns, which matters significantly when you cannot wait years for a recovery. Both have compounded well over 10 years (CGEN: -57. 3%, SDGR: -54. 7%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Healthcare sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

In terms of investment character: CGEN is a small-cap quality compounder stock; SDGR is a small-cap high-growth stock. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.