SNPS vs. CDNS
SNPS (Synopsys, Inc.) and CDNS (Cadence Design Systems, Inc.) are both stocks. Both are in the Technology sector — SNPS in Software - Infrastructure, CDNS in Software - Application. Over the past 10 years, SNPS returned 21.94%/yr vs 29.88%/yr for CDNS. Their 0.53 correlation means they have sometimes moved together and sometimes differently.
Performance
SNPS vs. CDNS - Performance Comparison
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Returns By Period
In the year-to-date period, SNPS achieves a -14.67% return, which is significantly lower than CDNS's 7.83% return. Over the past 10 years, SNPS has underperformed CDNS with an annualized return of 21.94%, while CDNS has yielded a comparatively higher 29.88% annualized return.
SNPS
- 1D
- -0.75%
- 1M
- -9.37%
- 6M
- -4.33%
- YTD
- -14.67%
- 1Y
- -36.23%
- 3Y*
- -3.16%
- 5Y*
- 6.51%
- 10Y*
- 21.94%
- ALL TIME*
- 12.41%
CDNS
- 1D
- -1.04%
- 1M
- -10.30%
- 6M
- 24.19%
- YTD
- 7.83%
- 1Y
- -6.50%
- 3Y*
- 13.75%
- 5Y*
- 17.41%
- 10Y*
- 29.88%
- ALL TIME*
- 10.68%
Liquidity Comparison
| Position | Avg. Volume Value (2W) | Avg. Volume Value (1M) | Avg. Volume Value (3M) |
|---|---|---|---|
| $916.63M | $795.50M | $887.20M | |
SNPS Synopsys, Inc. | $777.20M | $765.31M | $904.57M |
SNPS vs. CDNS - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | |
|---|---|---|---|---|---|---|---|---|---|---|
SNPS Synopsys, Inc. | -14.67% | -3.22% | -5.74% | 61.27% | -13.35% | 42.15% | 86.24% | 65.24% | -1.17% | 44.82% |
CDNS Cadence Design Systems, Inc. | 7.83% | 4.03% | 10.31% | 69.55% | -13.80% | 36.59% | 96.70% | 59.52% | 3.97% | 65.82% |
Correlation
The correlation between SNPS and CDNS is 0.74, which is moderate. They have sometimes moved together and sometimes differently, sharing some price drivers without tracking each other closely.
| Correlation | |
|---|---|
Correlation (1Y) Focuses on recent behavior, but can change the most. | 0.74 |
Correlation (3Y) Balances recent behavior with more history. | 0.82 |
Correlation (5Y) Shows whether the relationship held over a longer period. | 0.85 |
Correlation (10Y) Provides a long-term view across more market conditions. | 0.85 |
Correlation (All Time) Calculated using the full available price history since Feb 26, 1992 | 0.53 |
Over the past year, SNPS and CDNS have become more correlated (0.74) than their long-term average of 0.53, meaning their price movements have been converging.
Fundamentals
SNPS:
$76.75B
CDNS:
$92.83B
SNPS:
$4.50
CDNS:
$5.03
SNPS:
89.03
CDNS:
66.99
SNPS:
3.82
CDNS:
5.11
SNPS:
7.93
CDNS:
15.81
SNPS:
2.52
CDNS:
10.64
SNPS:
$8.68B
CDNS:
$5.84B
SNPS:
$6.38B
CDNS:
$5.34B
SNPS:
$2.22B
CDNS:
$1.94B
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Return for Risk
SNPS vs. CDNS — Risk / Return Rank
SNPS
CDNS
SNPS vs. CDNS - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for Synopsys, Inc. (SNPS) and Cadence Design Systems, Inc. (CDNS). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.
Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.
| SNPS | CDNS | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | -0.48 | ||
| Sortino ratioReturn per unit of downside risk | -0.62 | ||
| Omega ratioGain probability vs. loss probability | 0.90 | 1.00 | -0.10 |
| Calmar ratioReturn relative to maximum drawdown | -0.90 | -0.23 | -0.67 |
| Martin ratioReturn relative to average drawdown | -1.33 | -0.45 | -0.88 |
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Drawdowns
SNPS vs. CDNS - Drawdown Comparison
The maximum SNPS drawdown since its inception was -60.95%, smaller than the maximum CDNS drawdown of -93.13%. Use the drawdown chart below to compare losses from any high point for SNPS and CDNS.
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Drawdown Indicators
| SNPS | CDNS | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -60.95% | -93.13% | +32.18% |
Max Drawdown (1Y)Largest decline over 1 year | -40.51% | -28.85% | -11.66% |
Max Drawdown (3Y)Largest decline over 3 years | -42.31% | -29.05% | -13.26% |
Max Drawdown (5Y)Largest decline over 5 years | -42.31% | -29.59% | -12.72% |
Max Drawdown (10Y)Largest decline over 10 years | -42.31% | -32.12% | -10.19% |
Current DrawdownCurrent decline from peak | -37.89% | -19.05% | -18.84% |
Average DrawdownAverage peak-to-trough decline | -20.35% | -39.52% | +19.17% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 27.57% | 14.51% | +13.06% |
Volatility
SNPS vs. CDNS - Volatility Comparison
The current volatility for Synopsys, Inc. (SNPS) is 12.83%, while Cadence Design Systems, Inc. (CDNS) has a volatility of 13.80%. This indicates that SNPS experiences smaller price fluctuations and is considered to be less risky than CDNS based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
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Volatility by Period
| SNPS | CDNS | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 12.83% | 13.80% | -0.97% |
Volatility (6M)Calculated over the trailing 6-month period | 30.04% | 32.00% | -1.96% |
Volatility (1Y)Calculated over the trailing 1-year period | 56.66% | 39.43% | +17.23% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 41.26% | 36.68% | +4.58% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 35.33% | 34.29% | +1.04% |
Dividends
SNPS vs. CDNS - Dividend Comparison
Neither SNPS nor CDNS has paid dividends to shareholders.
Financials
SNPS vs. CDNS - Financials Comparison
This section allows you to compare key financial metrics between Synopsys, Inc. and Cadence Design Systems, Inc.. You can select fields from income statements, balance sheets, and cash flow statements to easily visualize and compare the financial health of both companies.
Total Revenue: Total amount of money received from sales and other business activities
SNPS vs. CDNS - Profitability Comparison
SNPS - Gross Margin
Gross margin is calculated as gross profit divided by revenue. For the three months ending on Aug 2026, Synopsys, Inc. reported a gross profit of 1.65B and revenue of 2.28B. Therefore, the gross margin over that period was 72.3%.
CDNS - Gross Margin
Gross margin is calculated as gross profit divided by revenue. For the three months ending on Aug 2026, Cadence Design Systems, Inc. reported a gross profit of 1.52B and revenue of 1.58B. Therefore, the gross margin over that period was 96.0%.
SNPS - Operating Margin
Operating margin is calculated as operating income divided by revenue. For the three months ending on Aug 2026, Synopsys, Inc. reported an operating income of 120.43M and revenue of 2.28B, resulting in an operating margin of 5.3%.
CDNS - Operating Margin
Operating margin is calculated as operating income divided by revenue. For the three months ending on Aug 2026, Cadence Design Systems, Inc. reported an operating income of 450.32M and revenue of 1.58B, resulting in an operating margin of 28.4%.
SNPS - Net Margin
Net margin is calculated as net income divided by revenue. For the three months ending on Aug 2026, Synopsys, Inc. reported a net income of 16.87M and revenue of 2.28B, resulting in a net margin of 0.7%.
CDNS - Net Margin
Net margin is calculated as net income divided by revenue. For the three months ending on Aug 2026, Cadence Design Systems, Inc. reported a net income of 367.08M and revenue of 1.58B, resulting in a net margin of 23.2%.
Frequently Asked Questions
SNPS and CDNS have a correlation of 0.74, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
CDNS has higher volatility (13.80%) compared to SNPS (12.83%). In terms of maximum drawdown, SNPS dropped -60.95% vs CDNS's -93.13%.
CDNS currently has the higher Sharpe Ratio (-0.17 vs -0.64), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.
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