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

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

Company Profile

SymbolCDNSRBLX
Company NameCadence Design Systems, Inc.Roblox Corporation
CountryUnited StatesUnited States
GICS SectorInformation TechnologyCommunication Services
GICS IndustrySoftwareEntertainment
Market Capitalization89.54 billion USD73.95 billion USD
ExchangeNasdaqGSNYSE
Listing DateJune 10, 1987March 10, 2021
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of CDNS and RBLX 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. RBLX: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolCDNSRBLX
5-Day Price Return-1.28%1.18%
13-Week Price Return-5.77%-19.41%
26-Week Price Return6.68%49.57%
52-Week Price Return9.02%98.38%
Month-to-Date Return-2.88%-7.35%
Year-to-Date Return9.48%82.09%
10-Day Avg. Volume2.22M11.33M
3-Month Avg. Volume1.79M8.37M
3-Month Volatility31.63%52.43%
Beta1.021.61

Profitability

Return on Equity (TTM)

CDNS

21.59%

Software Industry

Max
66.28%
Q3
21.28%
Median
9.33%
Q1
-8.77%
Min
-48.16%

In the upper quartile for the Software industry, CDNS’s Return on Equity of 21.59% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

RBLX

-299.67%

Entertainment Industry

Max
42.50%
Q3
24.06%
Median
13.69%
Q1
5.35%
Min
-17.95%

RBLX has a negative Return on Equity of -299.67%. 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.

CDNS vs. RBLX: A comparison of their Return on Equity (TTM) against their respective Software and Entertainment industry benchmarks.

Net Profit Margin (TTM)

CDNS

20.35%

Software Industry

Max
51.92%
Q3
19.23%
Median
6.98%
Q1
-7.14%
Min
-41.00%

A Net Profit Margin of 20.35% places CDNS in the upper quartile for the Software industry, signifying strong profitability and more effective cost management than most of its peers.

RBLX

-21.70%

Entertainment Industry

Max
45.33%
Q3
24.40%
Median
13.94%
Q1
4.28%
Min
-23.67%

RBLX has a negative Net Profit Margin of -21.70%, indicating the company is operating at a net loss as its expenses exceeded its revenues.

CDNS vs. RBLX: A comparison of their Net Profit Margin (TTM) against their respective Software and Entertainment industry benchmarks.

Operating Profit Margin (TTM)

CDNS

28.50%

Software Industry

Max
60.40%
Q3
21.25%
Median
9.90%
Q1
-4.97%
Min
-43.50%

An Operating Profit Margin of 28.50% 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.

RBLX

-25.04%

Entertainment Industry

Max
41.77%
Q3
28.26%
Median
16.13%
Q1
8.03%
Min
-3.93%

RBLX has a negative Operating Profit Margin of -25.04%. This signifies the company is unprofitable at the operational level, as its core business expenses exceed its revenue.

CDNS vs. RBLX: A comparison of their Operating Profit Margin (TTM) against their respective Software and Entertainment industry benchmarks.

Profitability at a Glance

SymbolCDNSRBLX
Return on Equity (TTM)21.59%-299.67%
Return on Assets (TTM)11.44%-12.47%
Net Profit Margin (TTM)20.35%-21.70%
Operating Profit Margin (TTM)28.50%-25.04%
Gross Profit Margin (TTM)85.54%78.13%

Financial Strength

Current Ratio (MRQ)

CDNS

3.05

Software Industry

Max
4.29
Q3
2.37
Median
1.40
Q1
1.03
Min
0.25

CDNS’s Current Ratio of 3.05 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.

RBLX

0.96

Entertainment Industry

Max
6.76
Q3
4.02
Median
1.55
Q1
0.86
Min
0.38

RBLX’s Current Ratio of 0.96 aligns with the median group of the Entertainment industry, indicating that its short-term liquidity is in line with its sector peers.

CDNS vs. RBLX: A comparison of their Current Ratio (MRQ) against their respective Software and Entertainment industry benchmarks.

Debt-to-Equity Ratio (MRQ)

CDNS

0.48

Software Industry

Max
2.16
Q3
0.86
Median
0.31
Q1
0.00
Min
0.00

CDNS’s Debt-to-Equity Ratio of 0.48 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.

RBLX

2.47

Entertainment Industry

Max
1.54
Q3
0.77
Median
0.16
Q1
0.02
Min
0.00

With a Debt-to-Equity Ratio of 2.47, RBLX operates with exceptionally high leverage compared to the Entertainment industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.

CDNS vs. RBLX: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Software and Entertainment industry benchmarks.

Interest Coverage Ratio (TTM)

CDNS

39.06

Software Industry

Max
89.65
Q3
32.64
Median
1.00
Q1
-9.84
Min
-71.23

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.

RBLX

-845.00

Entertainment Industry

Max
87.17
Q3
35.59
Median
7.06
Q1
1.13
Min
-44.74

RBLX has a negative Interest Coverage Ratio of -845.00. This indicates that its earnings were insufficient to cover even its operational costs, let alone its interest payments, signaling significant financial distress.

CDNS vs. RBLX: A comparison of their Interest Coverage Ratio (TTM) against their respective Software and Entertainment industry benchmarks.

Financial Strength at a Glance

SymbolCDNSRBLX
Current Ratio (MRQ)3.050.96
Quick Ratio (MRQ)2.490.95
Debt-to-Equity Ratio (MRQ)0.482.47
Interest Coverage Ratio (TTM)39.06-845.00

Growth

Revenue Growth

CDNS vs. RBLX: 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. RBLX: 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
0.22%
Q3
0.11%
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.

RBLX

0.00%

Entertainment Industry

Max
2.90%
Q3
1.29%
Median
0.59%
Q1
0.00%
Min
0.00%

RBLX 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. RBLX: A comparison of their Dividend Yield (TTM) against their respective Software and Entertainment industry benchmarks.

Dividend Payout Ratio (TTM)

CDNS

0.00%

Software Industry

Max
3.29%
Q3
2.41%
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.

RBLX

0.00%

Entertainment Industry

Max
82.30%
Q3
38.45%
Median
29.74%
Q1
0.00%
Min
0.00%

RBLX 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. RBLX: A comparison of their Dividend Payout Ratio (TTM) against their respective Software and Entertainment industry benchmarks.

Dividend at a Glance

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

Valuation

Price-to-Earnings Ratio (TTM)

CDNS

83.40

Software Industry

Max
145.74
Q3
94.88
Median
45.35
Q1
26.66
Min
8.80

CDNS’s P/E Ratio of 83.40 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.

RBLX

--

Entertainment Industry

Max
92.09
Q3
54.51
Median
28.92
Q1
19.75
Min
2.96

P/E Ratio data for RBLX is currently unavailable.

CDNS vs. RBLX: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Software and Entertainment industry benchmarks.

Price-to-Sales Ratio (TTM)

CDNS

16.97

Software Industry

Max
25.67
Q3
13.68
Median
8.28
Q1
4.95
Min
0.90

CDNS’s P/S Ratio of 16.97 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.

RBLX

16.57

Entertainment Industry

Max
12.34
Q3
7.67
Median
5.06
Q1
2.72
Min
0.67

With a P/S Ratio of 16.57, RBLX trades at a valuation that eclipses even the highest in the Entertainment industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

CDNS vs. RBLX: A comparison of their Price-to-Sales Ratio (TTM) against their respective Software and Entertainment industry benchmarks.

Price-to-Book Ratio (MRQ)

CDNS

18.41

Software Industry

Max
30.67
Q3
14.92
Median
8.52
Q1
3.89
Min
0.38

CDNS’s P/B Ratio of 18.41 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.

RBLX

235.61

Entertainment Industry

Max
22.84
Q3
10.54
Median
6.60
Q1
2.30
Min
0.65

At 235.61, RBLX’s P/B Ratio is at an extreme premium to the Entertainment 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. RBLX: A comparison of their Price-to-Book Ratio (MRQ) against their respective Software and Entertainment industry benchmarks.

Valuation at a Glance

SymbolCDNSRBLX
Price-to-Earnings Ratio (TTM)83.40--
Price-to-Sales Ratio (TTM)16.9716.57
Price-to-Book Ratio (MRQ)18.41235.61
Price-to-Free Cash Flow Ratio (TTM)59.8463.40