Cadence Design Systems, Inc. (CDNS) vs Datadog, Inc. (DDOG)

CDNS leads on 11 of 13 compared metrics.

A side-by-side comparison of Cadence Design Systems, Inc. and Datadog, Inc. across valuation, profitability, dividends, and growth — built entirely from reported fundamentals, as of June 14, 2026. The ● marks the stronger figure on each row (cheaper multiple, higher margin/return).

Total return — CDNS vs DDOG

growth of $100 · last 7y
CDNS +467.9%DDOG +512.3%DDOG compounded faster
200400600Start $100202120232025$568$612
CDNS DDOG

CDNS vs DDOG: by the numbers

  • CDNS is the larger company ($106.18B vs $81.84B market cap).
  • CDNS trades at the lower earnings multiple (89.73 vs 603.41 P/E).
  • CDNS converts more revenue to profit (21.18% vs 3.69% net margin).
  • DDOG grew revenue faster over the past five years (40.50% vs 14.78% CAGR).

Which is better, CDNS or DDOG?

Metric tally: CDNS 11 · DDOG 2

It depends on what you're optimizing for:

ValueCDNS(lower P/E)
GrowthDDOG(faster 5Y revenue CAGR)
QualityCDNS(higher ROIC)

Valuation

MetricCDNSDDOG
P/E ratio89.73603.41
Forward P/E41.13
P/S ratio19.0622.84
P/B ratio16.0621.02
PEG ratio14.88
EV / EBITDA56.46370.62
FCF yield1.36%1.29%

Profitability

MetricCDNSDDOG
Gross margin88.85%79.89%
Operating margin31.11%-0.67%
Net margin21.18%3.69%
ROE17.85%3.40%
ROIC14.11%-0.74%

Growth (annualized)

MetricCDNSDDOG
Revenue CAGR (5Y)14.78%40.50%
EPS CAGR (5Y)13.62%
FCF CAGR (5Y)11.44%58.38%
Total return CAGR (5Y)24.38%19.20%

Frequently asked

Which is better, CDNS or DDOG?
It depends on your goal. value: CDNS (lower P/E); growth: DDOG (faster 5Y revenue CAGR); quality: CDNS (higher ROIC). Across all compared metrics, CDNS leads 11 to 2.
Is CDNS or DDOG cheaper?
On trailing earnings, CDNS is cheaper: CDNS trades at a 89.73 P/E and DDOG at 603.41.
Which has grown faster, CDNS or DDOG?
Over the past five years, DDOG grew revenue faster — CDNS at a 14.78% CAGR versus DDOG at 40.50%.
Is CDNS or DDOG more profitable?
CDNS runs the higher net margin — CDNS at 21.18% versus DDOG at 3.69%.
Which has been the better investment, CDNS or DDOG?
Over the past 5-year, CDNS delivered the higher annualized total return — CDNS at 31.59% versus DDOG at 19.20%. Past performance doesn't predict future results.

Figures are sourced from reported fundamentals and the latest end-of-day price. This comparison is informational only and is not investment advice. Past performance does not predict future results. See our methodology. Compiled by TGMCharts Research · data verified June 14, 2026.