Return on Assets (ROA)
since 2005
Calculation
Cadence Design Systems Inc., ROA, long-term trends, calculation
| ROA | = | 100 | × | Net income (loss)1 | ÷ | Total assets1 | |
|---|---|---|---|---|---|---|---|
| Dec 31, 2025 | 10.92% | = | 100 | × | 1,108,888) | ÷ | 10,153,148) |
| Dec 31, 2024 | 11.76% | = | 100 | × | 1,055,484) | ÷ | 8,974,482) |
| Dec 31, 2023 | 18.36% | = | 100 | × | 1,041,144) | ÷ | 5,669,491) |
| Dec 31, 2022 | 16.53% | = | 100 | × | 848,952) | ÷ | 5,137,071) |
| Dec 31, 2021 | 15.87% | = | 100 | × | 695,955) | ÷ | 4,386,299) |
| Dec 31, 2020 | 14.95% | = | 100 | × | 590,644) | ÷ | 3,950,785) |
| Dec 28, 2019 | 29.46% | = | 100 | × | 988,979) | ÷ | 3,357,225) |
| Dec 29, 2018 | 14.01% | = | 100 | × | 345,777) | ÷ | 2,468,654) |
| Dec 30, 2017 | 8.44% | = | 100 | × | 204,101) | ÷ | 2,418,714) |
| Dec 31, 2016 | 9.69% | = | 100 | × | 203,086) | ÷ | 2,096,908) |
| Dec 31, 2015 | 10.74% | = | 100 | × | 252,417) | ÷ | 2,351,015) |
| Dec 31, 2014 | 4.95% | = | 100 | × | 158,898) | ÷ | 3,209,556) |
| Dec 28, 2013 | 6.76% | = | 100 | × | 164,243) | ÷ | 2,428,601) |
| Dec 29, 2012 | 19.24% | = | 100 | × | 439,948) | ÷ | 2,287,003) |
| Dec 31, 2011 | 4.10% | = | 100 | × | 72,229) | ÷ | 1,761,269) |
| Dec 31, 2010 | 7.31% | = | 100 | × | 126,538) | ÷ | 1,732,116) |
| Dec 31, 2009 | -10.62% | = | 100 | × | (149,871) | ÷ | 1,410,587) |
| Dec 31, 2008 | -110.44% | = | 100 | × | (1,854,038) | ÷ | 1,678,714) |
| Dec 29, 2007 | 7.65% | = | 100 | × | 296,252) | ÷ | 3,871,150) |
| Dec 30, 2006 | 4.14% | = | 100 | × | 142,592) | ÷ | 3,442,822) |
| Dec 31, 2005 | 1.45% | = | 100 | × | 49,343) | ÷ | 3,401,312) |
Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-28), 10-K (reporting date: 2018-12-29), 10-K (reporting date: 2017-12-30), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-28), 10-K (reporting date: 2012-12-29), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-29), 10-K (reporting date: 2006-12-30), 10-K (reporting date: 2005-12-31).
1 US$ in thousands
The Return on Assets (ROA) exhibited significant fluctuations over the observed period, ranging from substantial positive returns to a considerable loss. Initial years demonstrated a generally increasing trend, followed by a period of volatility and subsequent recovery, culminating in consistently strong returns in recent years.
- Initial Growth (2005-2007)
- From 2005 to 2007, ROA increased steadily, moving from 1.45% to 7.65%. This indicates improving profitability relative to the asset base during this timeframe. The increase suggests effective asset utilization and/or improved net income generation.
- Significant Loss and Recovery (2008-2010)
- 2008 witnessed a dramatic decline in ROA, resulting in a loss of -110.44%. This was followed by a negative ROA of -10.62% in 2009. The ROA recovered to 7.31% in 2010, signaling a return to profitability, though not yet reaching pre-2008 levels. The substantial loss in 2008 likely reflects a significant net loss coupled with a decrease in total assets.
- Moderate Fluctuations (2011-2014)
- The period between 2011 and 2014 showed moderate fluctuations in ROA, ranging from 4.10% to 6.76%. While positive, these values suggest a period of relative stability without substantial growth. The ROA remained within a narrow band, indicating consistent, but not exceptional, performance.
- Strong Performance and Peak (2015-2019)
- From 2015 to 2019, ROA experienced a strong upward trend, peaking at 29.46% in 2019. This period demonstrates a significant improvement in the company’s ability to generate earnings from its assets. The ROA values increased from 10.74% in 2015 to nearly 30% in 2019, representing a substantial increase in profitability and efficiency.
- Recent Performance (2020-2025)
- ROA remained consistently high between 2020 and 2025, fluctuating between 14.95% and 18.36%, before decreasing to 11.76% and 10.92% in the final two years. While a slight decrease is observed in the most recent years, the ROA remained at a strong level, indicating continued effective asset management and profitability. The values suggest a sustained ability to generate substantial returns on investment.
Overall, the ROA demonstrates a cyclical pattern with a period of significant disruption followed by a strong recovery and sustained high performance. The recent trend suggests continued profitability, although a slight moderation in returns is observed towards the end of the analyzed period.
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Comparison to Competitors
Cadence Design Systems Inc., ROA, long-term trends, comparison to competitors
| Cadence Design Systems Inc. | Accenture PLC | Adobe Inc. | AppLovin Corp. | CrowdStrike Holdings Inc. | Datadog Inc. | International Business Machines Corp. | Intuit Inc. | Microsoft Corp. | Oracle Corp. | Palantir Technologies Inc. | Palo Alto Networks Inc. | Salesforce Inc. | ServiceNow Inc. | Synopsys Inc. | Workday Inc. | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Dec 31, 2025 | 10.92% | 11.74% | 24.17% | 45.92% | -0.22% | 1.62% | 6.97% | 10.47% | 16.45% | 7.39% | 18.26% | 4.81% | 6.02% | 6.71% | 2.76% | 2.93% |
| Dec 31, 2024 | 11.76% | 12.99% | 18.39% | 26.92% | 1.34% | 3.18% | 4.39% | 9.22% | 17.21% | 7.42% | 7.29% | 12.89% | 4.14% | 6.99% | 17.31% | 8.39% |
| Dec 31, 2023 | 18.36% | 13.41% | 18.23% | 6.66% | -3.65% | 1.23% | 5.55% | 8.58% | 17.56% | 6.33% | 4.64% | 3.03% | 0.21% | 9.96% | 11.90% | -2.72% |
| Dec 31, 2022 | 16.53% | 14.55% | 17.51% | -3.30% | -6.49% | -1.67% | 1.29% | 7.45% | 19.94% | 6.15% | -10.80% | -2.18% | 1.52% | 2.44% | 10.45% | 0.28% |
| Dec 31, 2021 | 15.87% | 13.68% | 17.70% | 0.58% | -3.39% | -0.87% | 4.35% | 13.29% | 18.36% | 10.48% | -16.02% | -4.87% | 6.14% | 2.13% | 8.66% | -3.24% |
| Dec 31, 2020 | 14.95% | 13.78% | 21.66% | — | -10.09% | -1.30% | 3.58% | 16.70% | 14.70% | 8.78% | -43.35% | -2.95% | 0.23% | 1.36% | 8.27% | -7.05% |
| Dec 28, 2019 | 29.46% | 16.04% | 14.22% | — | — | -1.61% | 6.20% | 24.78% | 13.69% | 10.20% | — | -1.24% | 3.61% | 10.41% | 8.31% | -7.58% |
| Dec 29, 2018 | 14.01% | 16.61% | 13.80% | — | — | — | 7.07% | 23.39% | 6.40% | 2.79% | — | -2.54% | 0.61% | -0.69% | 7.04% | -6.49% |
| Dec 30, 2017 | 8.44% | 15.18% | 11.65% | — | — | — | 4.59% | 23.87% | 8.80% | 6.92% | — | -6.30% | 1.02% | -4.39% | 2.53% | -12.89% |
| Dec 31, 2016 | 9.69% | 19.95% | 9.20% | — | — | — | 10.11% | 23.04% | 8.67% | 7.93% | — | -8.18% | -0.37% | -22.22% | 5.09% | -10.62% |
| Dec 31, 2015 | 10.74% | 16.72% | 5.37% | — | — | — | 11.94% | 7.35% | 6.92% | 8.96% | — | -8.40% | -2.46% | -10.98% | 4.48% | -10.51% |
| Dec 31, 2014 | 4.95% | 16.41% | 2.49% | — | — | — | 10.23% | 17.44% | 12.81% | 12.13% | — | -15.32% | -2.54% | -12.59% | 5.43% | -7.93% |
| Dec 28, 2013 | 6.76% | 19.46% | 2.79% | — | — | — | 13.06% | 15.64% | 15.35% | 13.35% | — | -4.99% | -4.89% | -6.31% | 5.68% | -12.43% |
| Dec 29, 2012 | 19.24% | 15.32% | 8.35% | — | — | — | 13.93% | 16.91% | 14.00% | 12.74% | — | 0.18% | -0.28% | -7.81% | 4.40% | — |
| Dec 31, 2011 | 4.10% | 14.48% | 9.26% | — | — | — | 13.62% | 12.41% | 21.30% | 11.62% | — | — | 2.09% | — | 6.57% | — |
| Dec 31, 2010 | 7.31% | 13.87% | 9.52% | — | — | — | 13.07% | 11.04% | 21.79% | 9.96% | — | — | 3.28% | — | 7.21% | — |
| Dec 31, 2009 | -10.62% | 12.97% | 5.31% | — | — | — | 12.31% | 9.26% | 18.71% | 11.80% | — | — | 2.93% | — | 5.71% | — |
| Dec 31, 2008 | -110.44% | 13.64% | 14.98% | — | — | — | 11.26% | 10.22% | 24.29% | 11.68% | — | — | 1.68% | — | 6.93% | — |
| Dec 29, 2007 | 7.65% | 11.57% | 12.67% | — | — | — | 8.65% | 10.35% | 22.26% | 12.36% | — | — | 0.07% | — | 4.99% | — |
| Dec 30, 2006 | 4.14% | 10.33% | 8.48% | — | — | — | 9.19% | 15.05% | 18.10% | 11.65% | — | — | 6.55% | — | 1.15% | — |
| Dec 31, 2005 | 1.45% | 10.50% | 24.70% | — | — | — | 7.50% | 14.05% | 17.30% | 13.95% | — | — | 2.62% | — | -0.72% | — |
Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-28), 10-K (reporting date: 2018-12-29), 10-K (reporting date: 2017-12-30), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-28), 10-K (reporting date: 2012-12-29), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-29), 10-K (reporting date: 2006-12-30), 10-K (reporting date: 2005-12-31).
Comparison to Sector (Software & Services)
Cadence Design Systems Inc., ROA, long-term trends, comparison to sector (software & services)
| Cadence Design Systems Inc. | Software & Services | |
|---|---|---|
| Dec 31, 2025 | 10.92% | 12.06% |
| Dec 31, 2024 | 11.76% | 12.19% |
| Dec 31, 2023 | 18.36% | 11.12% |
| Dec 31, 2022 | 16.53% | 11.25% |
| Dec 31, 2021 | 15.87% | 12.14% |
| Dec 31, 2020 | 14.95% | 9.64% |
| Dec 28, 2019 | 29.46% | 10.81% |
| Dec 29, 2018 | 14.01% | 6.11% |
| Dec 30, 2017 | 8.44% | 7.29% |
| Dec 31, 2016 | 9.69% | 8.86% |
| Dec 31, 2015 | 10.74% | 8.53% |
| Dec 31, 2014 | 4.95% | 11.18% |
| Dec 28, 2013 | 6.76% | 13.46% |
| Dec 29, 2012 | 19.24% | 13.36% |
| Dec 31, 2011 | 4.10% | 15.34% |
| Dec 31, 2010 | 7.31% | 14.69% |
| Dec 31, 2009 | -10.62% | 13.64% |
| Dec 31, 2008 | -110.44% | 14.32% |
| Dec 29, 2007 | 7.65% | 12.84% |
| Dec 30, 2006 | 4.14% | 12.19% |
| Dec 31, 2005 | 1.45% | 11.53% |
Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-28), 10-K (reporting date: 2018-12-29), 10-K (reporting date: 2017-12-30), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-28), 10-K (reporting date: 2012-12-29), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-29), 10-K (reporting date: 2006-12-30), 10-K (reporting date: 2005-12-31).
Comparison to Industry (Information Technology)
Cadence Design Systems Inc., ROA, long-term trends, comparison to industry (information technology)
| Cadence Design Systems Inc. | Information Technology | |
|---|---|---|
| Dec 31, 2025 | 10.92% | 15.40% |
| Dec 31, 2024 | 11.76% | 11.91% |
| Dec 31, 2023 | 18.36% | 12.44% |
| Dec 31, 2022 | 16.53% | 14.47% |
| Dec 31, 2021 | 15.87% | 14.59% |
| Dec 31, 2020 | 14.95% | 11.42% |
| Dec 28, 2019 | 29.46% | 11.75% |
| Dec 29, 2018 | 14.01% | 10.94% |
| Dec 30, 2017 | 8.44% | 9.03% |
| Dec 31, 2016 | 9.69% | 9.79% |
| Dec 31, 2015 | 10.74% | 11.53% |
| Dec 31, 2014 | 4.95% | 12.37% |
| Dec 28, 2013 | 6.76% | 13.26% |
| Dec 29, 2012 | 19.24% | 14.08% |
| Dec 31, 2011 | 4.10% | 15.12% |
| Dec 31, 2010 | 7.31% | 14.52% |
| Dec 31, 2009 | -10.62% | 10.09% |
| Dec 31, 2008 | -110.44% | 12.00% |
| Dec 29, 2007 | 7.65% | 12.05% |
| Dec 30, 2006 | 4.14% | 12.22% |
| Dec 31, 2005 | 1.45% | 12.77% |
Based on: 10-K (reporting date: 2025-12-31), 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-28), 10-K (reporting date: 2018-12-29), 10-K (reporting date: 2017-12-30), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-28), 10-K (reporting date: 2012-12-29), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-29), 10-K (reporting date: 2006-12-30), 10-K (reporting date: 2005-12-31).