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

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 September 11, 2026. Differences are shown without an overall score or investment verdict.

Compare

Total returnCDNS vs DDOG

growth of $100 · dividends reinvested · last 7y
CDNS +323.1% (+22.9%/yr)DDOG +490.5% (+28.9%/yr)DDOG compounded faster over this window
200400600800Start $100202120232025$423$590
CDNS DDOG

CDNS vs DDOG: by the numbers

  • CDNS is the larger company ($79.69B vs $78.74B market cap).
  • CDNS trades at the lower trailing earnings multiple (57.53 vs 448.16 P/E), one valuation lens rather than an overall verdict.
  • CDNS converts more revenue to profit (23.61% vs 4.48% net margin).
  • DDOG grew revenue faster over the past five years (39.01% vs 15.04% CAGR).

Metrics side by side

Valuation

MetricCDNSDDOG
P/E ratio57.53448.16
Forward P/E35.55N/A
P/S ratio13.6519.85
P/B ratio11.6218.03
EV / EBITDA37.98946.91
FCF yield2.11%1.47%

Profitability

MetricCDNSDDOG
Gross margin88.50%79.51%
Operating margin30.83%0.38%
Net margin23.61%4.48%
ROE20.09%4.07%
ROIC13.29%0.23%

Growth (annualized)

MetricCDNSDDOG
Revenue CAGR (5Y)15.04%39.01%
EPS CAGR (5Y)13.62%N/A
FCF CAGR (5Y)15.03%54.31%
Total return CAGR (5Y)11.30%10.08%

Frequently asked

Which has the lower trailing P/E, CDNS or DDOG?
CDNS has the lower trailing P/E: CDNS trades at 57.53 and DDOG at 448.16. P/E is one valuation measure and does not by itself establish which business is cheaper.
Which has grown faster, CDNS or DDOG?
Over the past five years, DDOG grew revenue faster — CDNS at a 15.04% CAGR versus DDOG at 39.01%.
Is CDNS or DDOG more profitable?
CDNS runs the higher net margin — CDNS at 23.61% versus DDOG at 4.48%.
How have CDNS and DDOG total returns compared?
Over the past 5 years, CDNS delivered 11.30% and DDOG delivered 10.08% annualized total return. 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 September 11, 2026.