Cadence Design Systems (CDNS) Competitors

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

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

80.4% of Salesforce shares are held by institutional investors. Comparatively, 84.8% of Cadence Design Systems shares are held by institutional investors. 3.2% of Salesforce shares are held by company insiders. Comparatively, 2.0% of Cadence Design Systems shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Which has preferable valuation & earnings, CRM or CDNS?

Salesforce has higher revenue and earnings than Cadence Design Systems. Salesforce 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
Salesforce	$37.90B	7.05	$4.14B	$6.36	43.69
Cadence Design Systems	$4.64B	15.51	$1.04B	$3.86	68.02

Do analysts prefer CRM or CDNS?

Salesforce currently has a consensus target price of $362.74, suggesting a potential upside of 30.54%. Cadence Design Systems has a consensus target price of $324.83, suggesting a potential upside of 23.73%. Given Salesforce's stronger consensus rating and higher probable upside, research analysts clearly believe Salesforce is more favorable than Cadence Design Systems.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Salesforce	1 Sell rating(s)	5 Hold rating(s)	31 Buy rating(s)	5 Strong Buy rating(s)	2.95
Cadence Design Systems	1 Sell rating(s)	1 Hold rating(s)	10 Buy rating(s)	0 Strong Buy rating(s)	2.75

Is CRM or CDNS more profitable?

Cadence Design Systems has a net margin of 22.74% compared to Salesforce's net margin of 15.96%. Cadence Design Systems' return on equity of 29.24% beat Salesforce's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Salesforce	15.96%	12.34%	7.65%
Cadence Design Systems	22.74%	29.24%	16.05%

Does the MarketBeat Community believe in CRM or CDNS?

Salesforce received 2671 more outperform votes than Cadence Design Systems when rated by MarketBeat users. Likewise, 82.32% of users gave Salesforce an outperform vote while only 71.19% of users gave Cadence Design Systems an outperform vote.

Company	Underperform	Outperform
Salesforce	Outperform Votes 3259 82.32%	Underperform Votes 700 17.68%
Cadence Design Systems	Outperform Votes 588 71.19%	Underperform Votes 238 28.81%

Does the media favor CRM or CDNS?

In the previous week, Salesforce had 66 more articles in the media than Cadence Design Systems. MarketBeat recorded 104 mentions for Salesforce and 38 mentions for Cadence Design Systems. Cadence Design Systems' average media sentiment score of 1.29 beat Salesforce's score of 1.04 indicating that Cadence Design Systems is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Salesforce	70 Very Positive mention(s)	6 Positive mention(s)	19 Neutral mention(s)	1 Negative mention(s)	0 Very Negative mention(s)	Positive
Cadence Design Systems	27 Very Positive mention(s)	2 Positive mention(s)	7 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Which has more volatility & risk, CRM or CDNS?

Salesforce has a beta of 1.35, suggesting that its stock price is 35% more volatile than the S&P 500. Comparatively, Cadence Design Systems has a beta of 1.05, suggesting that its stock price is 5% more volatile than the S&P 500.

Summary

Salesforce beats Cadence Design Systems on 12 of the 19 factors compared between the two stocks.