Seek Returns logo

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

Updated on

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

Company Profile

SymbolNTNXSNPS
Company NameNutanix, Inc.Synopsys, Inc.
CountryUnited StatesUnited States
GICS SectorInformation TechnologyInformation Technology
GICS IndustrySoftwareSoftware
Market Capitalization18.67 billion USD111.24 billion USD
ExchangeNasdaqGSNasdaqGS
Listing DateSeptember 30, 2016February 26, 1992
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of NTNX 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.

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

Historical Performance at a Glance

SymbolNTNXSNPS
5-Day Price Return1.49%-2.47%
13-Week Price Return-16.18%16.50%
26-Week Price Return-1.67%13.79%
52-Week Price Return33.88%7.69%
Month-to-Date Return-7.37%-5.11%
Year-to-Date Return13.81%23.85%
10-Day Avg. Volume2.62M1.07M
3-Month Avg. Volume2.50M1.51M
3-Month Volatility27.30%36.46%
Beta0.511.17

Profitability

Return on Equity (TTM)

NTNX

-321.34%

Software Industry

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

NTNX has a negative Return on Equity of -321.34%. 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.

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.

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

Net Profit Margin (TTM)

NTNX

0.97%

Software Industry

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

NTNX’s Net Profit Margin of 0.97% is aligned with the median group of its peers in the Software 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.

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

Operating Profit Margin (TTM)

NTNX

5.31%

Software Industry

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

NTNX’s Operating Profit Margin of 5.31% is around the midpoint for the Software 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.

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

Profitability at a Glance

SymbolNTNXSNPS
Return on Equity (TTM)-321.34%24.09%
Return on Assets (TTM)0.91%14.06%
Net Profit Margin (TTM)0.97%34.77%
Operating Profit Margin (TTM)5.31%20.88%
Gross Profit Margin (TTM)86.36%79.84%

Financial Strength

Current Ratio (MRQ)

NTNX

1.88

Software Industry

Max
3.83
Q3
2.31
Median
1.45
Q1
1.03
Min
0.24

NTNX’s Current Ratio of 1.88 aligns with the median group of the Software 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.

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

Debt-to-Equity Ratio (MRQ)

NTNX

7.35

Software Industry

Max
2.14
Q3
0.90
Median
0.29
Q1
0.00
Min
0.00

With a Debt-to-Equity Ratio of 7.35, NTNX operates with exceptionally high leverage compared to the Software industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.

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.

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

Interest Coverage Ratio (TTM)

NTNX

-0.00

Software Industry

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

NTNX has a negative Interest Coverage Ratio of -0.00. This indicates that its earnings were insufficient to cover even its operational costs, let alone its interest payments, signaling significant financial distress.

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.

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

Financial Strength at a Glance

SymbolNTNXSNPS
Current Ratio (MRQ)1.887.02
Quick Ratio (MRQ)1.836.72
Debt-to-Equity Ratio (MRQ)7.351.01
Interest Coverage Ratio (TTM)-0.00257.02

Growth

Revenue Growth

NTNX 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

NTNX 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)

NTNX

0.00%

Software Industry

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

NTNX 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.

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.

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

Dividend Payout Ratio (TTM)

NTNX

0.00%

Software Industry

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

NTNX 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.

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.

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

Dividend at a Glance

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

Valuation

Price-to-Earnings Ratio (TTM)

NTNX

789.47

Software Industry

Max
149.35
Q3
100.21
Median
47.97
Q1
26.77
Min
11.68

At 789.47, NTNX’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Software industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.

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.

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

Price-to-Sales Ratio (TTM)

NTNX

7.66

Software Industry

Max
25.24
Q3
13.52
Median
8.15
Q1
4.87
Min
0.98

NTNX’s P/S Ratio of 7.66 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.

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.

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

Price-to-Book Ratio (MRQ)

NTNX

88.42

Software Industry

Max
30.95
Q3
14.91
Median
7.75
Q1
3.60
Min
0.38

At 88.42, NTNX’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.

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.

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

Valuation at a Glance

SymbolNTNXSNPS
Price-to-Earnings Ratio (TTM)789.4752.11
Price-to-Sales Ratio (TTM)7.6618.12
Price-to-Book Ratio (MRQ)88.427.16
Price-to-Free Cash Flow Ratio (TTM)24.3295.84