Cadence Design Systems (CDNS) Competitors

Synopsys (NASDAQ:SNPS) and Cadence Design Systems (NASDAQ:CDNS) are both large-cap computer and technology companies, but which is the superior investment? We will contrast the two companies based on the strength of their earnings, risk, profitability, media sentiment, valuation, dividends, institutional ownership, community ranking and analyst recommendations.

Do insiders and institutionals hold more shares of SNPS or CDNS?

85.5% of Synopsys shares are owned by institutional investors. Comparatively, 84.9% of Cadence Design Systems shares are owned by institutional investors. 0.7% of Synopsys shares are owned by company insiders. Comparatively, 2.0% of Cadence Design Systems shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Does the MarketBeat Community believe in SNPS or CDNS?

Synopsys received 246 more outperform votes than Cadence Design Systems when rated by MarketBeat users. Likewise, 72.09% of users gave Synopsys an outperform vote while only 71.34% of users gave Cadence Design Systems an outperform vote.

Company	Underperform	Outperform
Synopsys	Outperform Votes 811 72.09%	Underperform Votes 314 27.91%
Cadence Design Systems	Outperform Votes 565 71.34%	Underperform Votes 227 28.66%

Is SNPS or CDNS more profitable?

Cadence Design Systems has a net margin of 25.46% compared to Cadence Design Systems' net margin of 22.96%. Synopsys' return on equity of 35.57% beat Cadence Design Systems' return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Synopsys	22.96%	22.88%	13.88%
Cadence Design Systems	25.46%	35.57%	20.53%

Which has higher valuation and earnings, SNPS or CDNS?

Synopsys has higher revenue and earnings than Cadence Design Systems. Synopsys is trading at a lower price-to-earnings ratio than Cadence Design Systems, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Synopsys	$5.84B	13.68	$1.23B	$9.08	57.72
Cadence Design Systems	$4.09B	19.45	$1.04B	$3.82	76.51

Does the media favor SNPS or CDNS?

In the previous week, Cadence Design Systems had 15 more articles in the media than Synopsys. MarketBeat recorded 28 mentions for Cadence Design Systems and 13 mentions for Synopsys. Cadence Design Systems' average media sentiment score of 1.20 beat Synopsys' score of 0.58 indicating that Synopsys is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Synopsys	11 Very Positive mention(s)	0 Positive mention(s)	2 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Cadence Design Systems	13 Very Positive mention(s)	2 Positive mention(s)	6 Neutral mention(s)	2 Negative mention(s)	1 Very Negative mention(s)	Positive

Which has more risk and volatility, SNPS or CDNS?

Synopsys has a beta of 1.06, indicating that its share price is 6% more volatile than the S&P 500. Comparatively, Cadence Design Systems has a beta of 1.04, indicating that its share price is 4% more volatile than the S&P 500.

Do analysts rate SNPS or CDNS?

Synopsys currently has a consensus target price of $601.00, suggesting a potential upside of 13.92%. Cadence Design Systems has a consensus target price of $318.10, suggesting a potential upside of 8.30%. Given Cadence Design Systems' stronger consensus rating and higher probable upside, equities analysts clearly believe Synopsys is more favorable than Cadence Design Systems.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Synopsys	0 Sell rating(s)	0 Hold rating(s)	10 Buy rating(s)	0 Strong Buy rating(s)	3.00
Cadence Design Systems	0 Sell rating(s)	2 Hold rating(s)	7 Buy rating(s)	0 Strong Buy rating(s)	2.78

Summary

Synopsys beats Cadence Design Systems on 11 of the 18 factors compared between the two stocks.