Cadence Design Systems, Inc. CDNS

326.13 4.13 1.28% as of 25 Sep
Market cap
$88.7B
P/E
64.5×
Indexes indicate stock being part of an index,
Growth Flags show if company had growth for consecutive years

Cadence Design Systems, Inc. (CDNS) Return on invested capital

Cadence Design Systems, Inc.'s return on invested capital over the twelve months to 30 June 2026 was 14.0%, down 4.8 percentage points from fiscal 2025 (18.8%). Over the past ten years it has ranged from 15.8% (fiscal 2016) to 25.7% (fiscal 2022); the current reading is higher than 45% of that period. That is above the Software Application industry median of 0.00% and above the Technology sector median of 0.00%.

Return on invested capital, annual

Annual

Period Return on invested capital Change (points)
FY2025 18.8% 0.09
FY2024 18.7% (6.94)
FY2023 25.7% (0.02)
FY2022 25.7% 1.65
FY2021 24.1% 3.31
FY2020 20.7% 3.37
FY2019 17.4% (3.26)
FY2018 20.6% 0.98
FY2017 19.7% 3.82
FY2016 15.8% (1.86)

Against its own ten years

Low 15.8% High 25.7%
Ten-year median 19.7%
Current reading's percentile 45

Return on invested capital against peers

Company Return on invested capital
ADP Automatic Data Processing, Inc. compare 53.4%
ADBE Adobe Inc. compare 46.4%
INTU Intuit Inc. compare 20.2%
CDNS Cadence Design Systems, Inc. 14.0%
UBER Uber Technologies, Inc. compare 12.0%
NOW ServiceNow, Inc. compare 6.83%
DDOG Datadog, Inc. compare 2.78%
SNOW Snowflake Inc. compare −37.0%
MSTR Strategy Inc compare −64.7%
Software Application industry median 0.00%
Technology sector median 0.00%
Market median 0.00%

What Return on invested capital is

Return on Invested Capital shows how much after-tax operating profit a company earns on the money its lenders and shareholders have put in.

TTM: (Operating Income × 0.625) ÷ (Shareholders Equity (Total) (latest quarter) + Long Term Debt (Total) (latest quarter) + Current Part of Debt (latest quarter) − Cash & Short Term Investments (latest quarter)); Annual: (Operating Income × 0.625) ÷ (Shareholders Equity (Total) + Long Term Debt (Total) + Current Part of Debt − Cash & Short Term Investments)

The full definition of Return on invested capital →

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