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ANSS vs. SNOW: A Head-to-Head Stock Comparison

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Here’s a clear look at ANSS and SNOW, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Overview

SNOW’s market capitalization of 73.90 billion USD is significantly greater than ANSS’s 32.31 billion USD, highlighting its more substantial market valuation.

With betas of 1.19 for ANSS and 1.21 for SNOW, both stocks show similar sensitivity to overall market movements.

SymbolANSSSNOW
Company NameANSYS, Inc.Snowflake Inc.
CountryUSUS
SectorTechnologyTechnology
IndustrySoftware - ApplicationSoftware - Application
CEOAjei S. GopalSridhar Ramaswamy
Price367.48 USD221.49 USD
Market Cap32.31 billion USD73.90 billion USD
Beta1.191.21
ExchangeNASDAQNYSE
IPO DateJune 20, 1996September 16, 2020
ADRNoNo

Historical Performance

This chart compares the performance of ANSS and SNOW by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.

Data is adjusted for dividends and splits.

ANSS vs. SNOW: Growth of a $10,000 investment over the past one year.

Profitability

Return on Equity

ANSS

10.01%

Software - Application Industry

Max
59.01%
Q3
17.85%
Median
4.73%
Q1
-10.56%
Min
-52.94%

ANSS’s Return on Equity of 10.01% is on par with the norm for the Software - Application industry, indicating its profitability relative to shareholder equity is typical for the sector.

SNOW

-44.58%

Software - Application Industry

Max
59.01%
Q3
17.85%
Median
4.73%
Q1
-10.56%
Min
-52.94%

SNOW has a negative Return on Equity of -44.58%. This indicates the company is generating a loss for its shareholders, which can be a result of unprofitability or negative shareholder equity and is often a sign of financial distress.

ANSS vs. SNOW: A comparison of their ROE against the Software - Application industry benchmark.

Return on Invested Capital

ANSS

8.28%

Software - Application Industry

Max
35.07%
Q3
9.72%
Median
0.76%
Q1
-8.68%
Min
-34.12%

ANSS’s Return on Invested Capital of 8.28% is in line with the norm for the Software - Application industry, reflecting a standard level of efficiency in generating profits from its capital base.

SNOW

-30.28%

Software - Application Industry

Max
35.07%
Q3
9.72%
Median
0.76%
Q1
-8.68%
Min
-34.12%

SNOW has a negative Return on Invested Capital of -30.28%. This indicates that its operations are failing to generate a profit on the total capital invested, signaling significant inefficiency or value destruction.

ANSS vs. SNOW: A comparison of their ROIC against the Software - Application industry benchmark.

Net Profit Margin

ANSS

22.95%

Software - Application Industry

Max
48.14%
Q3
16.07%
Median
1.83%
Q1
-9.60%
Min
-45.64%

A Net Profit Margin of 22.95% places ANSS in the upper quartile for the Software - Application industry, signifying strong profitability and more effective cost management than most of its peers.

SNOW

-36.43%

Software - Application Industry

Max
48.14%
Q3
16.07%
Median
1.83%
Q1
-9.60%
Min
-45.64%

SNOW has a negative Net Profit Margin of -36.43%, indicating the company is operating at a net loss as its expenses exceeded its revenues.

ANSS vs. SNOW: A comparison of their Net Profit Margin against the Software - Application industry benchmark.

Operating Profit Margin

ANSS

28.87%

Software - Application Industry

Max
51.67%
Q3
15.35%
Median
1.79%
Q1
-12.42%
Min
-45.17%

An Operating Profit Margin of 28.87% places ANSS in the upper quartile for the Software - Application industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

SNOW

-40.51%

Software - Application Industry

Max
51.67%
Q3
15.35%
Median
1.79%
Q1
-12.42%
Min
-45.17%

SNOW has a negative Operating Profit Margin of -40.51%. This signifies the company is unprofitable at the operational level, as its core business expenses exceed its revenue.

ANSS vs. SNOW: A comparison of their Operating Margin against the Software - Application industry benchmark.

Profitability at a Glance

SymbolANSSSNOW
Return on Equity (TTM)10.01%-44.58%
Return on Assets (TTM)7.43%-17.15%
Return on Invested Capital (TTM)8.28%-30.28%
Net Profit Margin (TTM)22.95%-36.43%
Operating Profit Margin (TTM)28.87%-40.51%
Gross Profit Margin (TTM)88.78%66.68%

Financial Strength

Current Ratio

ANSS

3.66

Software - Application Industry

Max
5.09
Q3
2.84
Median
1.70
Q1
1.12
Min
0.04

ANSS’s Current Ratio of 3.66 is in the upper quartile for the Software - Application industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.

SNOW

1.58

Software - Application Industry

Max
5.09
Q3
2.84
Median
1.70
Q1
1.12
Min
0.04

SNOW’s Current Ratio of 1.58 aligns with the median group of the Software - Application industry, indicating that its short-term liquidity is in line with its sector peers.

ANSS vs. SNOW: A comparison of their Current Ratio against the Software - Application industry benchmark.

Debt-to-Equity Ratio

ANSS

0.14

Software - Application Industry

Max
1.85
Q3
0.77
Median
0.18
Q1
0.05
Min
0.00

ANSS’s Debt-to-Equity Ratio of 0.14 is typical for the Software - Application industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

SNOW

1.12

Software - Application Industry

Max
1.85
Q3
0.77
Median
0.18
Q1
0.05
Min
0.00

SNOW’s leverage is in the upper quartile of the Software - Application industry, with a Debt-to-Equity Ratio of 1.12. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.

ANSS vs. SNOW: A comparison of their D/E Ratio against the Software - Application industry benchmark.

Interest Coverage Ratio

ANSS

16.34

Software - Application Industry

Max
39.23
Q3
8.55
Median
1.48
Q1
-14.59
Min
-39.97

ANSS’s Interest Coverage Ratio of 16.34 is in the upper quartile for the Software - Application industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.

SNOW

2,254.60

Software - Application Industry

Max
39.23
Q3
8.55
Median
1.48
Q1
-14.59
Min
-39.97

With an Interest Coverage Ratio of 2,254.60, SNOW demonstrates a superior capacity to service its debt, placing it well above the typical range for the Software - Application industry. This stems from either robust earnings or a conservative debt load.

ANSS vs. SNOW: A comparison of their Interest Coverage against the Software - Application industry benchmark.

Financial Strength at a Glance

SymbolANSSSNOW
Current Ratio (TTM)3.661.58
Quick Ratio (TTM)3.661.58
Debt-to-Equity Ratio (TTM)0.141.12
Debt-to-Asset Ratio (TTM)0.100.33
Net Debt-to-EBITDA Ratio (TTM)-1.00-0.31
Interest Coverage Ratio (TTM)16.342254.60

Growth

The following charts compare key year-over-year (YoY) growth metrics for ANSS and SNOW. These metrics are based on the companies’ annual financial reports.

Revenue Growth

ANSS vs. SNOW: A comparison of their annual year-over-year Revenue Growth.

Earnings Per Share (EPS) Growth

ANSS vs. SNOW: A comparison of their annual year-over-year Earnings Per Share (EPS) Growth.

Free Cash Flow Growth

ANSS vs. SNOW: A comparison of their annual year-over-year Free Cash Flow Growth.

Dividend

Dividend Yield

ANSS

0.00%

Software - Application Industry

Max
3.66%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

ANSS currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

SNOW

0.00%

Software - Application Industry

Max
3.66%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

SNOW currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

ANSS vs. SNOW: A comparison of their Dividend Yield against the Software - Application industry benchmark.

Dividend Payout Ratio

ANSS

0.00%

Software - Application Industry

Max
81.09%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

ANSS has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

SNOW

0.00%

Software - Application Industry

Max
81.09%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

SNOW has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

ANSS vs. SNOW: A comparison of their Payout Ratio against the Software - Application industry benchmark.

Dividend at a Glance

SymbolANSSSNOW
Dividend Yield (TTM)0.00%0.00%
Dividend Payout Ratio (TTM)0.00%0.00%

Valuation

Price-to-Earnings Ratio

ANSS

54.22

Software - Application Industry

Max
194.31
Q3
98.56
Median
51.87
Q1
22.76
Min
1.02

ANSS’s P/E Ratio of 54.22 is within the middle range for the Software - Application industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

SNOW

-52.68

Software - Application Industry

Max
194.31
Q3
98.56
Median
51.87
Q1
22.76
Min
1.02

SNOW has a negative P/E Ratio of -52.68. This occurs when a company has negative earnings (a net loss), making the ratio unsuitable for valuation analysis.

ANSS vs. SNOW: A comparison of their P/E Ratio against the Software - Application industry benchmark.

Forward P/E to Growth Ratio

ANSS

6.92

Software - Application Industry

Max
15.44
Q3
6.57
Median
2.78
Q1
0.55
Min
0.00

A Forward PEG Ratio of 6.92 places ANSS in the upper quartile for the Software - Application industry. This suggests the stock is potentially expensive compared to its peers relative to its growth forecast, which may warrant caution.

SNOW

-1.39

Software - Application Industry

Max
15.44
Q3
6.57
Median
2.78
Q1
0.55
Min
0.00

SNOW has a negative Forward PEG Ratio of -1.39. This typically results from negative earnings or forecasts of declining future earnings, making the ratio not meaningful for valuation.

ANSS vs. SNOW: A comparison of their Forward PEG Ratio against the Software - Application industry benchmark.

Price-to-Sales Ratio

ANSS

12.51

Software - Application Industry

Max
23.49
Q3
11.14
Median
5.62
Q1
2.84
Min
0.33

ANSS’s P/S Ratio of 12.51 is in the upper echelon for the Software - Application industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

SNOW

19.25

Software - Application Industry

Max
23.49
Q3
11.14
Median
5.62
Q1
2.84
Min
0.33

SNOW’s P/S Ratio of 19.25 is in the upper echelon for the Software - Application industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

ANSS vs. SNOW: A comparison of their P/S Ratio against the Software - Application industry benchmark.

Price-to-Book Ratio

ANSS

5.20

Software - Application Industry

Max
21.03
Q3
10.49
Median
6.36
Q1
2.89
Min
0.12

The P/B Ratio is often not a primary valuation metric for the Software - Application industry.

SNOW

30.60

Software - Application Industry

Max
21.03
Q3
10.49
Median
6.36
Q1
2.89
Min
0.12

The P/B Ratio is often not a primary valuation metric for the Software - Application industry.

ANSS vs. SNOW: A comparison of their P/B Ratio against the Software - Application industry benchmark.

Valuation at a Glance

SymbolANSSSNOW
Price-to-Earnings Ratio (P/E, TTM)54.22-52.68
Forward PEG Ratio (TTM)6.92-1.39
Price-to-Sales Ratio (P/S, TTM)12.5119.25
Price-to-Book Ratio (P/B, TTM)5.2030.60
Price-to-Free Cash Flow Ratio (P/FCF, TTM)37.2798.28
EV-to-EBITDA (TTM)33.89-51.50
EV-to-Sales (TTM)12.1519.36