Cadence Design Systems (CDNS) vs Datadog (DDOG)
Head-to-head comparison of performance, valuation, growth, profitability and dividends. Prices delayed 15 minutes; data as of Oct 7, 2026.
Summary
Datadog (DDOG) has outperformed Cadence Design Systems (CDNS) over the past year, gaining 75.6% versus a gain of 3.1%. Over five years, CDNS leads with a +128.6% price change compared with +75.6% for DDOG. Cadence Design Systems is the larger company by market cap ($98.07 billion vs $97.43 billion), about 1.0 times the size, while Datadog is growing revenue faster (+27.7% vs +14.1%).
On valuation, Cadence Design Systems trades at a lower forward P/E (37.2x vs 91.2x for Datadog). Cadence Design Systems converts more of its revenue into profit, with a net margin of 20.9% versus 3.1%.
Summary generated from market data by MetaCap's automated system. Methodology
Relative performance
Percent change in share price from the first common trading day shown; excludes dividends.
Head-to-head
| Metric | CDNS | DDOG |
|---|---|---|
| Share price | $356.12 | $271.34 |
| Market cap | $98.07B | $97.43B |
| 1-day change | -0.95% | -2.48% |
| YTD return | +13.93% | +99.53% |
| 1-year return | +3.08% | +75.60% |
| 5-year return | +128.60% | +75.65% |
| P/E ratio (TTM) | 70.80 | 542.68 |
| Forward P/E | 37.22 | 91.22 |
| EPS (TTM) | $5.03 | $0.50 |
| Dividend yield | 0.00% | 0.00% |
| Annual dividend | $0.00 | $0.00 |
| Revenue (latest FY) | $5.30B | $3.43B |
| Revenue growth (YoY) | +14.12% | +27.68% |
| Net income (latest FY) | $1.11B | $107.74M |
| Gross margin | — | 79.96% |
| Operating margin | 28.17% | -1.29% |
| Net margin | 20.94% | 3.14% |
| 52-week high | $416.69 | $292.72 |
| 52-week low | $262.75 | $98.01 |
| Distance from 52-week high | -14.54% | -7.30% |
| Analyst consensus | strong_buy | strong_buy |
| Avg. price target upside | +14.07% | +5.80% |
| Average volume | 2.39M | 4.13M |
| Shares outstanding | 275.39M | 334.90M |
| Employees | 15,445 | 8,100 |
| Sector | Technology | Technology |
| Industry | Computer Software: Prepackaged Software | Computer Software: Prepackaged Software |
Highlighted cells mark the higher value for growth, returns, margins and yield, and the lower value for P/E ratios. Highlighting is a mechanical comparison, not a recommendation.
Key differences
- DDOG has outperformed CDNS by 72.5 percentage points over the past year.
- Datadog trades at a higher earnings multiple (542.7x vs 70.8x trailing P/E).
- Cadence Design Systems is more profitable, keeping 20.9 cents of every revenue dollar as net income versus 3.1 cents for Datadog.
- Datadog grew revenue faster in its latest fiscal year (+27.68% vs +14.12%).
About Cadence Design Systems
CDNS stock →Cadence Design Systems, Inc. develops computational, AI-driven software, hardware, and silicon intellectual property products and solutions.
Technology · Computer Software: Prepackaged Software · 15,445 employees
About Datadog
DDOG stock →Datadog, Inc. operates an observability and security platform for cloud applications in the United States and internationally.
Technology · Computer Software: Prepackaged Software · 8,100 employees
CDNS vs DDOG FAQ
Which is bigger, Cadence Design Systems or Datadog?
Cadence Design Systems (CDNS) is larger, with a market capitalization of $98.07B compared with $97.43B for Datadog (DDOG).
Which stock has performed better over the past year, CDNS or DDOG?
DDOG returned +75.60% over the past 12 months, compared with +3.08% for CDNS (price return, excluding dividends). Past performance does not predict future results.
Which has the lower P/E ratio, CDNS or DDOG?
CDNS has the lower trailing P/E at 70.8, versus 542.7 for DDOG. A lower P/E is not by itself a sign of a better investment; it can reflect slower expected growth or higher risk.
Are Cadence Design Systems and Datadog in the same industry?
Yes. Both are classified in the Computer Software: Prepackaged Software industry within the Technology sector.