InterDigital (IDCC) Competitors

Cadence Design Systems (NASDAQ:CDNS) and InterDigital (NASDAQ:IDCC) are both computer and technology companies, but which is the superior stock? We will contrast the two businesses based on the strength of their valuation, institutional ownership, risk, dividends, earnings, profitability, media sentiment and analyst recommendations.

Do insiders and institutionals have more ownership in CDNS or IDCC?

84.9% of Cadence Design Systems shares are owned by institutional investors. Comparatively, 99.8% of InterDigital shares are owned by institutional investors. 0.4% of Cadence Design Systems shares are owned by company insiders. Comparatively, 2.3% of InterDigital shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Does the media favor CDNS or IDCC?

In the previous week, Cadence Design Systems had 24 more articles in the media than InterDigital. MarketBeat recorded 31 mentions for Cadence Design Systems and 7 mentions for InterDigital. InterDigital's average media sentiment score of 1.44 beat Cadence Design Systems' score of 1.11 indicating that InterDigital is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Cadence Design Systems	23 Very Positive mention(s)	1 Positive mention(s)	4 Neutral mention(s)	2 Negative mention(s)	0 Very Negative mention(s)	Positive
InterDigital	6 Very Positive mention(s)	0 Positive mention(s)	1 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Which has preferable valuation and earnings, CDNS or IDCC?

Cadence Design Systems has higher revenue and earnings than InterDigital. InterDigital 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
Cadence Design Systems	$4.64B	18.93	$1.06B	$3.95	81.44
InterDigital	$868.52M	6.79	$358.61M	$12.61	18.02

Do analysts rate CDNS or IDCC?

Cadence Design Systems currently has a consensus price target of $332.57, indicating a potential upside of 3.38%. InterDigital has a consensus price target of $160.00, indicating a potential downside of 29.60%. Given Cadence Design Systems' higher possible upside, equities analysts clearly believe Cadence Design Systems is more favorable than InterDigital.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Cadence Design Systems	1 Sell rating(s)	1 Hold rating(s)	12 Buy rating(s)	0 Strong Buy rating(s)	2.79
InterDigital	0 Sell rating(s)	0 Hold rating(s)	1 Buy rating(s)	0 Strong Buy rating(s)	3.00

Is CDNS or IDCC more profitable?

InterDigital has a net margin of 48.14% compared to Cadence Design Systems' net margin of 22.18%. InterDigital's return on equity of 50.51% beat Cadence Design Systems' return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Cadence Design Systems	22.18%	29.36%	15.60%
InterDigital	48.14%	50.51%	22.99%

Which has more risk and volatility, CDNS or IDCC?

Cadence Design Systems has a beta of 0.99, indicating that its share price is 1% less volatile than the S&P 500. Comparatively, InterDigital has a beta of 1.36, indicating that its share price is 36% more volatile than the S&P 500.

Summary

InterDigital beats Cadence Design Systems on 9 of the 16 factors compared between the two stocks.