Seek Returns logo

NOK vs. SNPS: A Head-to-Head Stock Comparison

Updated on

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

Company Profile

NOK trades as an American Depositary Receipt (ADR), offering U.S. investors a convenient way to access its foreign-listed shares. In contrast, SNPS is a standard domestic listing.

SymbolNOKSNPS
Company NameNokia OyjSynopsys, Inc.
CountryFinlandUnited States
GICS SectorInformation TechnologyInformation Technology
GICS IndustryCommunications EquipmentSoftware
Market Capitalization23.18 billion USD111.24 billion USD
ExchangeNYSENasdaqGS
Listing DateJuly 1, 1994February 26, 1992
Security TypeADRCommon Stock

Historical Performance

This chart compares the performance of NOK and SNPS 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.

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

Historical Performance at a Glance

SymbolNOKSNPS
5-Day Price Return2.59%-2.47%
13-Week Price Return-21.98%16.50%
26-Week Price Return-22.82%13.79%
52-Week Price Return-1.47%7.69%
Month-to-Date Return2.70%-5.11%
Year-to-Date Return-13.79%23.85%
10-Day Avg. Volume7.16M1.07M
3-Month Avg. Volume9.35M1.51M
3-Month Volatility29.91%36.46%
Beta0.811.17

Profitability

Return on Equity (TTM)

NOK

5.01%

Communications Equipment Industry

Max
32.05%
Q3
19.58%
Median
11.77%
Q1
2.23%
Min
-11.93%

NOK’s Return on Equity of 5.01% is on par with the norm for the Communications Equipment industry, indicating its profitability relative to shareholder equity is typical for the sector.

SNPS

24.09%

Software Industry

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

In the upper quartile for the Software industry, SNPS’s Return on Equity of 24.09% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

NOK vs. SNPS: A comparison of their Return on Equity (TTM) against their respective Communications Equipment and Software industry benchmarks.

Net Profit Margin (TTM)

NOK

5.31%

Communications Equipment Industry

Max
23.65%
Q3
14.32%
Median
5.31%
Q1
1.45%
Min
-12.72%

NOK’s Net Profit Margin of 5.31% is aligned with the median group of its peers in the Communications Equipment industry. This indicates its ability to convert revenue into profit is typical for the sector.

SNPS

34.77%

Software Industry

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

A Net Profit Margin of 34.77% places SNPS in the upper quartile for the Software industry, signifying strong profitability and more effective cost management than most of its peers.

NOK vs. SNPS: A comparison of their Net Profit Margin (TTM) against their respective Communications Equipment and Software industry benchmarks.

Operating Profit Margin (TTM)

NOK

6.21%

Communications Equipment Industry

Max
42.27%
Q3
18.90%
Median
6.21%
Q1
2.97%
Min
-20.72%

NOK’s Operating Profit Margin of 6.21% is around the midpoint for the Communications Equipment industry, indicating that its efficiency in managing core business operations is typical for the sector.

SNPS

20.88%

Software Industry

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

An Operating Profit Margin of 20.88% places SNPS 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.

NOK vs. SNPS: A comparison of their Operating Profit Margin (TTM) against their respective Communications Equipment and Software industry benchmarks.

Profitability at a Glance

SymbolNOKSNPS
Return on Equity (TTM)5.01%24.09%
Return on Assets (TTM)2.68%14.06%
Net Profit Margin (TTM)5.31%34.77%
Operating Profit Margin (TTM)6.21%20.88%
Gross Profit Margin (TTM)44.23%79.84%

Financial Strength

Current Ratio (MRQ)

NOK

1.46

Communications Equipment Industry

Max
1.72
Q3
1.72
Median
1.46
Q1
1.18
Min
0.93

NOK’s Current Ratio of 1.46 aligns with the median group of the Communications Equipment industry, indicating that its short-term liquidity is in line with its sector peers.

SNPS

7.02

Software Industry

Max
3.83
Q3
2.31
Median
1.45
Q1
1.03
Min
0.24

SNPS’s Current Ratio of 7.02 is exceptionally high, placing it well outside the typical range for the Software industry. This indicates a very strong liquidity position, though such a high ratio may also suggest that the company is not using its assets efficiently to generate profits.

NOK vs. SNPS: A comparison of their Current Ratio (MRQ) against their respective Communications Equipment and Software industry benchmarks.

Debt-to-Equity Ratio (MRQ)

NOK

0.21

Communications Equipment Industry

Max
1.55
Q3
0.92
Median
0.55
Q1
0.30
Min
0.00

Falling into the lower quartile for the Communications Equipment industry, NOK’s Debt-to-Equity Ratio of 0.21 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.

SNPS

1.01

Software Industry

Max
2.14
Q3
0.90
Median
0.29
Q1
0.00
Min
0.00

SNPS’s leverage is in the upper quartile of the Software industry, with a Debt-to-Equity Ratio of 1.01. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.

NOK vs. SNPS: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Communications Equipment and Software industry benchmarks.

Interest Coverage Ratio (TTM)

NOK

34.19

Communications Equipment Industry

Max
181.73
Q3
113.63
Median
7.59
Q1
3.82
Min
-5.39

NOK’s Interest Coverage Ratio of 34.19 is positioned comfortably within the norm for the Communications Equipment industry, indicating a standard and healthy capacity to cover its interest payments.

SNPS

257.02

Software Industry

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

With an Interest Coverage Ratio of 257.02, SNPS demonstrates a superior capacity to service its debt, placing it well above the typical range for the Software industry. This stems from either robust earnings or a conservative debt load.

NOK vs. SNPS: A comparison of their Interest Coverage Ratio (TTM) against their respective Communications Equipment and Software industry benchmarks.

Financial Strength at a Glance

SymbolNOKSNPS
Current Ratio (MRQ)1.467.02
Quick Ratio (MRQ)1.216.72
Debt-to-Equity Ratio (MRQ)0.211.01
Interest Coverage Ratio (TTM)34.19257.02

Growth

Revenue Growth

NOK vs. SNPS: 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

NOK vs. SNPS: 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)

NOK

3.61%

Communications Equipment Industry

Max
3.88%
Q3
2.75%
Median
0.93%
Q1
0.00%
Min
0.00%

With a Dividend Yield of 3.61%, NOK offers a more attractive income stream than most of its peers in the Communications Equipment industry, signaling a strong commitment to shareholder returns.

SNPS

0.00%

Software Industry

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

SNPS 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.

NOK vs. SNPS: A comparison of their Dividend Yield (TTM) against their respective Communications Equipment and Software industry benchmarks.

Dividend Payout Ratio (TTM)

NOK

50.74%

Communications Equipment Industry

Max
111.16%
Q3
55.91%
Median
28.42%
Q1
0.00%
Min
0.00%

NOK’s Dividend Payout Ratio of 50.74% is within the typical range for the Communications Equipment industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

SNPS

0.00%

Software Industry

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

SNPS 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.

NOK vs. SNPS: A comparison of their Dividend Payout Ratio (TTM) against their respective Communications Equipment and Software industry benchmarks.

Dividend at a Glance

SymbolNOKSNPS
Dividend Yield (TTM)3.61%0.00%
Dividend Payout Ratio (TTM)50.74%0.00%

Valuation

Price-to-Earnings Ratio (TTM)

NOK

19.25

Communications Equipment Industry

Max
57.30
Q3
47.92
Median
27.50
Q1
17.89
Min
13.89

NOK’s P/E Ratio of 19.25 is within the middle range for the Communications Equipment industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

SNPS

52.11

Software Industry

Max
149.35
Q3
100.21
Median
47.97
Q1
26.77
Min
11.68

SNPS’s P/E Ratio of 52.11 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.

NOK vs. SNPS: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Communications Equipment and Software industry benchmarks.

Price-to-Sales Ratio (TTM)

NOK

1.02

Communications Equipment Industry

Max
11.03
Q3
5.53
Median
2.20
Q1
0.99
Min
0.40

NOK’s P/S Ratio of 1.02 aligns with the market consensus for the Communications Equipment industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

SNPS

18.12

Software Industry

Max
25.24
Q3
13.52
Median
8.15
Q1
4.87
Min
0.98

SNPS’s P/S Ratio of 18.12 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.

NOK vs. SNPS: A comparison of their Price-to-Sales Ratio (TTM) against their respective Communications Equipment and Software industry benchmarks.

Price-to-Book Ratio (MRQ)

NOK

1.21

Communications Equipment Industry

Max
9.66
Q3
5.60
Median
3.73
Q1
2.67
Min
0.30

NOK’s P/B Ratio of 1.21 is in the lower quartile for the Communications Equipment industry. From a value investing perspective, this is favorable, as it suggests the stock is trading at a discount to its net asset value and may offer a greater margin of safety.

SNPS

7.16

Software Industry

Max
30.95
Q3
14.91
Median
7.75
Q1
3.60
Min
0.38

SNPS’s P/B Ratio of 7.16 is within the conventional range for the Software industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

NOK vs. SNPS: A comparison of their Price-to-Book Ratio (MRQ) against their respective Communications Equipment and Software industry benchmarks.

Valuation at a Glance

SymbolNOKSNPS
Price-to-Earnings Ratio (TTM)19.2552.11
Price-to-Sales Ratio (TTM)1.0218.12
Price-to-Book Ratio (MRQ)1.217.16
Price-to-Free Cash Flow Ratio (TTM)13.2795.84