Seek Returns logo

CDNS vs. MANH: A Head-to-Head Stock Comparison

Updated on

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

Company Profile

SymbolCDNSMANH
Company NameCadence Design Systems, Inc.Manhattan Associates, Inc.
CountryUnited StatesUnited States
GICS SectorInformation TechnologyInformation Technology
GICS IndustrySoftwareSoftware
Market Capitalization95.13 billion USD13.31 billion USD
ExchangeNasdaqGSNasdaqGS
Listing DateJune 10, 1987April 23, 1998
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of CDNS and MANH 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.

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

Historical Performance at a Glance

SymbolCDNSMANH
5-Day Price Return-1.47%4.22%
13-Week Price Return11.98%12.34%
26-Week Price Return15.26%11.17%
52-Week Price Return30.93%-10.88%
Month-to-Date Return-4.24%0.24%
Year-to-Date Return16.20%-18.52%
10-Day Avg. Volume1.67M0.51M
3-Month Avg. Volume2.03M0.77M
3-Month Volatility35.67%31.46%
Beta1.001.14

Profitability

Return on Equity (TTM)

CDNS

21.28%

Software Industry

Max
59.01%
Q3
21.98%
Median
7.15%
Q1
-11.12%
Min
-51.24%

CDNS’s Return on Equity of 21.28% is on par with the norm for the Software industry, indicating its profitability relative to shareholder equity is typical for the sector.

MANH

80.35%

Software Industry

Max
59.01%
Q3
21.98%
Median
7.15%
Q1
-11.12%
Min
-51.24%

MANH’s Return on Equity of 80.35% is exceptionally high, placing it well beyond the typical range for the Software industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

CDNS vs. MANH: A comparison of their Return on Equity (TTM) against the Software industry benchmark.

Net Profit Margin (TTM)

CDNS

19.88%

Software Industry

Max
48.14%
Q3
18.23%
Median
5.60%
Q1
-9.22%
Min
-49.36%

A Net Profit Margin of 19.88% places CDNS in the upper quartile for the Software industry, signifying strong profitability and more effective cost management than most of its peers.

MANH

20.91%

Software Industry

Max
48.14%
Q3
18.23%
Median
5.60%
Q1
-9.22%
Min
-49.36%

A Net Profit Margin of 20.91% places MANH in the upper quartile for the Software industry, signifying strong profitability and more effective cost management than most of its peers.

CDNS vs. MANH: A comparison of their Net Profit Margin (TTM) against the Software industry benchmark.

Operating Profit Margin (TTM)

CDNS

30.24%

Software Industry

Max
57.34%
Q3
20.60%
Median
7.84%
Q1
-8.72%
Min
-51.37%

An Operating Profit Margin of 30.24% places CDNS in the upper quartile for the Software industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

MANH

25.79%

Software Industry

Max
57.34%
Q3
20.60%
Median
7.84%
Q1
-8.72%
Min
-51.37%

An Operating Profit Margin of 25.79% places MANH in the upper quartile for the Software industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

CDNS vs. MANH: A comparison of their Operating Profit Margin (TTM) against the Software industry benchmark.

Profitability at a Glance

SymbolCDNSMANH
Return on Equity (TTM)21.28%80.35%
Return on Assets (TTM)11.04%30.41%
Net Profit Margin (TTM)19.88%20.91%
Operating Profit Margin (TTM)30.24%25.79%
Gross Profit Margin (TTM)85.57%56.28%

Financial Strength

Current Ratio (MRQ)

CDNS

2.82

Software Industry

Max
3.83
Q3
2.31
Median
1.45
Q1
1.03
Min
0.24

CDNS’s Current Ratio of 2.82 is in the upper quartile for the Software industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.

MANH

1.19

Software Industry

Max
3.83
Q3
2.31
Median
1.45
Q1
1.03
Min
0.24

MANH’s Current Ratio of 1.19 aligns with the median group of the Software industry, indicating that its short-term liquidity is in line with its sector peers.

CDNS vs. MANH: A comparison of their Current Ratio (MRQ) against the Software industry benchmark.

Debt-to-Equity Ratio (MRQ)

CDNS

0.50

Software Industry

Max
2.14
Q3
0.90
Median
0.29
Q1
0.00
Min
0.00

CDNS’s Debt-to-Equity Ratio of 0.50 is typical for the Software industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

MANH

0.00

Software Industry

Max
2.14
Q3
0.90
Median
0.29
Q1
0.00
Min
0.00

MANH’s Debt-to-Equity Ratio of 0.00 is typical for the Software industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

CDNS vs. MANH: A comparison of their Debt-to-Equity Ratio (MRQ) against the Software industry benchmark.

Interest Coverage Ratio (TTM)

CDNS

39.06

Software Industry

Max
67.02
Q3
19.86
Median
0.70
Q1
-12.50
Min
-53.00

CDNS’s Interest Coverage Ratio of 39.06 is in the upper quartile for the Software industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.

MANH

35.00

Software Industry

Max
67.02
Q3
19.86
Median
0.70
Q1
-12.50
Min
-53.00

MANH’s Interest Coverage Ratio of 35.00 is in the upper quartile for the Software industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.

CDNS vs. MANH: A comparison of their Interest Coverage Ratio (TTM) against the Software industry benchmark.

Financial Strength at a Glance

SymbolCDNSMANH
Current Ratio (MRQ)2.821.19
Quick Ratio (MRQ)2.331.11
Debt-to-Equity Ratio (MRQ)0.500.00
Interest Coverage Ratio (TTM)39.0635.00

Growth

Revenue Growth

CDNS vs. MANH: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

CDNS vs. MANH: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

CDNS

0.00%

Software Industry

Max
0.08%
Q3
0.03%
Median
0.00%
Q1
0.00%
Min
0.00%

CDNS 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.

MANH

0.00%

Software Industry

Max
0.08%
Q3
0.03%
Median
0.00%
Q1
0.00%
Min
0.00%

MANH 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.

CDNS vs. MANH: A comparison of their Dividend Yield (TTM) against the Software industry benchmark.

Dividend Payout Ratio (TTM)

CDNS

0.00%

Software Industry

Max
1.32%
Q3
0.53%
Median
0.00%
Q1
0.00%
Min
0.00%

CDNS 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.

MANH

0.00%

Software Industry

Max
1.32%
Q3
0.53%
Median
0.00%
Q1
0.00%
Min
0.00%

MANH 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.

CDNS vs. MANH: A comparison of their Dividend Payout Ratio (TTM) against the Software industry benchmark.

Dividend at a Glance

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

Valuation

Price-to-Earnings Ratio (TTM)

CDNS

95.30

Software Industry

Max
149.35
Q3
100.21
Median
47.97
Q1
26.77
Min
11.68

CDNS’s P/E Ratio of 95.30 is within the middle range for the Software industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

MANH

58.51

Software Industry

Max
149.35
Q3
100.21
Median
47.97
Q1
26.77
Min
11.68

MANH’s P/E Ratio of 58.51 is within the middle range for the Software industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

CDNS vs. MANH: A comparison of their Price-to-Earnings Ratio (TTM) against the Software industry benchmark.

Price-to-Sales Ratio (TTM)

CDNS

18.95

Software Industry

Max
25.24
Q3
13.52
Median
8.15
Q1
4.87
Min
0.98

CDNS’s P/S Ratio of 18.95 is in the upper echelon for the Software 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.

MANH

12.23

Software Industry

Max
25.24
Q3
13.52
Median
8.15
Q1
4.87
Min
0.98

MANH’s P/S Ratio of 12.23 aligns with the market consensus for the Software industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

CDNS vs. MANH: A comparison of their Price-to-Sales Ratio (TTM) against the Software industry benchmark.

Price-to-Book Ratio (MRQ)

CDNS

16.81

Software Industry

Max
30.95
Q3
14.91
Median
7.75
Q1
3.60
Min
0.38

CDNS’s P/B Ratio of 16.81 is in the upper tier for the Software industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.

MANH

43.01

Software Industry

Max
30.95
Q3
14.91
Median
7.75
Q1
3.60
Min
0.38

At 43.01, MANH’s P/B Ratio is at an extreme premium to the Software industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

CDNS vs. MANH: A comparison of their Price-to-Book Ratio (MRQ) against the Software industry benchmark.

Valuation at a Glance

SymbolCDNSMANH
Price-to-Earnings Ratio (TTM)95.3058.51
Price-to-Sales Ratio (TTM)18.9512.23
Price-to-Book Ratio (MRQ)16.8143.01
Price-to-Free Cash Flow Ratio (TTM)60.8442.11