Which Is a Better Investment, Cadence Design Systems, Inc. or Riot Platforms, Inc. Stock?

By Rosalio Madrigal
June 16, 2026
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Sifting through countless of stocks in the Software industry can be tedious, and sometimes two stocks are just too similar to judge which is the better investment. If you’re on the fence about investing in Riot Platforms, Inc., Cadence Design Systems or Inc. because you’re not sure how they measure up, it’s important to compare them on a few factors before making your decision.

Read on to learn how Riot Platforms, Inc., Cadence Design Systems and Inc. compare based on key financial metrics to determine which better meets your investment needs.

About Riot Platforms, Inc., Cadence Design Systems and Inc.

Riot Platforms, Inc., together with its subsidiaries, operates as a Bitcoin mining company in the United States. It operates in two segments, Bitcoin Mining and Engineering. The company offers comprehensive and critical infrastructure for bitcoin mining and data center services at its facilities. The company also designs and manufactures power distribution equipment and engineered-to-order electrical products; and electricity distribution product design, manufacturing, and installation services for large-scale industrial and governmental customers, as well as data center, power generation, utility, water, industrial, and alternative energy markets. The company was founded in 2000 and is based in Castle Rock, Colorado.

Cadence Design Systems, Inc. develops computational, AI-driven software, hardware, and silicon intellectual property products and solutions. The company offers functional verification services, such as Jasper, a formal verification platform; Xcelium, a parallel logic simulation platform; Verisium, a generative AI solution; Palladium, an enterprise emulation platform; and Protium, a prototyping platform for chip verification, as well as digital IC design and sign off products, including In novus platform; and custom IC design and simulation product include Virtuoso, a platform to design and verify analog. It also provides Xcelium logic simulator and other front-end verification and virtual prototyping technologies; controllers and physical interfaces; PCI Express, universal accelerator and compute express links, and multiple memory interfaces; and Ten Silica, a digital signal processor. In addition, the company’s design IP portfolio includes serializer/deserializer, peripheral component interconnect, USB, and other standard protocols; and Secure-IC, a solution for embedded security IP. Additionally, it provides System Design and Analysis (SD&A) platform, a solution that enables end-to-end system-level design and verification across chips, packages, PCBs, and electronic systems; Allegro X and Orca X platforms for PCB and advanced packaging; Sigrity X for signal and power integrity; AIR for RF design; Fidelity for computational fluid dynamics; Celsius for thermal and airflow analysis; Clarity 3D solver for electromagnetic and power electronics analysis and simulation; Integrity 3D-IC solution for 3D-IC and multi-chiplet designs; the Optimality Intelligent System Explorer, Reality digital twin, and Millennium enterprise multiphasic platforms; Allegro system design platform; and molecular modeling and simulation solutions and services. The company has a strategic collaboration with NVIDIA. The company was incorporated in 1987 and is headquartered in San Jose, California.

Latest Software and Riot Platforms, Inc., Cadence Design Systems, Inc. Stock News

As of June 15, 2026, Riot Platforms, Inc. had a $10.1 billion market capitalization, compared to the Software median of $1.1 million. Riot Platforms, Inc.’s stock is NA in 2026, NA in the previous five trading days and up 168.17% in the past year.

Currently, Riot Platforms, Inc. does not have a price-earnings ratio. Riot Platforms, Inc.’s trailing 12-month revenue is $653.3 million with a -132.8% net profit margin. Year-over-year quarterly sales growth most recently was 3.6%. Analysts expect adjusted earnings to reach $-1.090 per share for the current fiscal year. Riot Platforms, Inc. does not currently pay a dividend.

Currently, Cadence Design Systems, Inc.’s price-earnings ratio is 92.0. Cadence Design Systems, Inc.’s trailing 12-month revenue is $5.5 billion with a 21.2% net profit margin. Year-over-year quarterly sales growth most recently was 18.7%. There are no analysts providing consensus earnings estimates for the current fiscal year. Cadence Design Systems, Inc. does not currently pay a dividend.

How We Compare Riot Platforms, Inc., Cadence Design Systems and Inc. Stock Grades

Stock evaluation requires access to huge amounts of data and the knowledge and time to sift through it all, make sense of financial ratios, read income statements and analyze recent stock movements. AAII created A+ Investor, a robust data suite that condenses data research in an actionable and customizable way suitable for investors of all knowledge levels, to help investors streamline and work through such data.

AAII’s proprietary stock grades come with A+ Investor. These offer intuitive A‐F grades for each of five key investing factors: value, growth, momentum, earnings estimate revisions and quality. Here, we’ll take a closer look at Riot Platforms, Inc., Cadence Design Systems and Inc.’s stock grades to see how they measure up against one another.

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Riot Platforms, Inc., Cadence Design Systems and Inc. Stock Value Grades

Company Ticker Value
Riot Platforms, Inc. RIOT F
Cadence Design Systems, Inc. CDNS F

Successful stock investing involves buying low and selling high, so stock valuation is an important consideration for stock selection.

Buying stocks that are going to go up typically means buying stocks that are undervalued in the first place, although momentum investors may argue that point.

AAII’s A+ Investor Value Grade derives from a stock’s value score. The Value Score is the percentile rank of the average of the percentile ranks of the price-to-sales ratio, price-earnings ratio, enterprise-value-to-EBITDA (EV/EBITDA) ratio, shareholder yield, price-to-book-value ratio and price-to-free-cash-flow ratio. The score is variable, meaning it can consider all six ratios or, should any of the six ratios not be valid, the remaining ratios that are valid. To be assigned a Value Score, stocks must have a valid (non-null) ratio and corresponding ranking for at least two of the six valuation ratios.

Stocks with a Value Score from 81 to 100 are considered deep value, those with a score between 61 and 80 are a good value and so on.

Riot Platforms, Inc. has a Value Score of 9, which is Ultra Expensive. Cadence Design Systems, Inc. has a Value Score of 4, which is Ultra Expensive.

The Value Stock Winner: No Clear Winner

Neither Riot Platforms, Inc., Cadence Design Systems or Inc. has a high enough value grade to be considered a “winner.” Investors who are considering these companies should do additional due diligence and research to see if either could be a good addition to their portfolio. It’s important to look at a wide range of financial metrics in order to determine if Riot Platforms, Inc., Cadence Design Systems or Inc. is the better investment when it comes to value.

Riot Platforms, Inc., Cadence Design Systems and Inc.’s Momentum Grades

Company Ticker Momentum
Riot Platforms, Inc. RIOT A
Cadence Design Systems, Inc. CDNS B

Momentum grades help to uncover stocks experiencing anomalously high rates of return; research finds that stocks with high relative levels of momentum tend to outperform, whereas those with low levels of momentum tend to continue underperforming. Momentum is based on the price change of a stock over a specified period relative to all other stocks.

Typically, AAII looks at the weighted relative strength over the trailing four quarters. The weighted four-quarter relative strength rank is the relative price change for each of the past four quarters. The most recent quarterly price change is given a weight of 40% and each of the three previous quarters are given a weighting of 20%.

Riot Platforms, Inc. has a Momentum Score of 95, which is Very Strong. Cadence Design Systems, Inc. has a Momentum Score of 74, which is Strong.

The Momentum Grade Winner: Riot Platforms, Inc.

As you can clearly see from the Momentum Grade breakdown above, Riot Platforms, Inc. is considered to have stronger momentum compared to Cadence Design Systems, Inc.. For those specifically looking for companies that have stronger momentum compared to other companies in the same industry, Riot Platforms, Inc. could be a good stock to invest in. However, it’s important for investors to analyze multiple factors based on a wide range of metrics before deciding whether to buy.

Riot Platforms, Inc., Cadence Design Systems and Inc.’s Estimate Revisions Grades

Company Ticker Earnings Estimate
Riot Platforms, Inc. RIOT F
Cadence Design Systems, Inc. CDNS B

Earnings estimate revisions scores consider the magnitude of a company’s earnings surprise in its last two reported fiscal quarters. Often, positive surprises beget further positive surprises‐or at least continued sales growth (the exact opposite is generally true, too).

Estimate revisions offer an indication of what analysts are thinking about the short-term prospects of a firm. Estimate revisions are based on the statistical significance of a firm’s last two quarterly earnings surprises and the percentage change in its consensus estimate for the current fiscal year over the past month and past three months.

Riot Platforms, Inc. has a Earnings Estimate Score of 13, which is Very Negative. Cadence Design Systems, Inc. has a Earnings Estimate Score of 73, which is Positive.

The Earnings Estimate Revisions Grade Winner: Cadence Design Systems, Inc.

As you can clearly see from the Earnings Estimate Revisions Grade breakdown above, Cadence Design Systems, Inc. has a better Earnings Estimate Revisions Grade than Riot Platforms, Inc.. For those who are specifically looking for companies with better short-term prospects when compared to other companies in the same industry, Cadence Design Systems, Inc. could be a good stock to invest in. However, it’s important to analyze multiple factors based on a wide range of metrics before deciding whether to buy.

Don’t Forget Your Free Special Report on How A+ Grades Can Help You Make Investment Decisions

Other Riot Platforms, Inc., Cadence Design Systems and Inc. Grades

In addition to Estimate Revisions, Value and Momentum, A+ Investor also provides grades for Growth and Quality.

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Growth investing builds on the idea that stocks of companies exhibiting strong, consistent and prolonged growth outperform those of slower-growth companies. AAII measures growth through consistency of annual sales growth, five-year sales growth rankings adjusted for extreme levels, and consistency of positive annual cash from operations.

AAII’s A+ Investor Quality Grade comes from the ranking of key metrics. Specifically, the quality grade is the percentile rank of the composite of return on assets (ROA), return on invested capital (ROIC), gross profit relative to assets, buyback yield, change in total liabilities to assets, accruals, Z double prime bankruptcy risk (Z) score and F-Score.

These 2 key factors, when combined with the above, provide a holistic view into a particular stock. Further, by joining A+ Investor you can see whether Riot Platforms, Inc., Cadence Design Systems and Inc. pass any of our 60+ stock screens that have outperformed the market since their creation.

So, Which Is the Better Investment, Riot Platforms, Inc., Cadence Design Systems or Inc. Stock?

Overall, Riot Platforms, Inc. stock has a Value Score of 9, Momentum Score of 95 and Estimate Revisions Score of 13.

Cadence Design Systems, Inc. stock has a Value Score of 4, Momentum Score of 74 and Estimate Revisions Score of 73.

Comparing Riot Platforms, Inc., Cadence Design Systems and Inc.’s grades, scores and metrics can act as a solid basis to determine whether they may be a good investment or not. You’ll also want to look at your portfolio’s asset allocation as well as your risk tolerance and financial goals to see if either of these stocks would make a good fit for you. AAII can help you figure out which investments align with your individual needs and preferences.

Investors are encouraged to do their own due diligence and research. In this way, individuals can effectively become managers of their own assets‐without having to rely on others for financial independence. You can count on AAII for timeless articles on financial planning and stock-picking, unbiased research and actionable analysis.

A+ Investor adds to our qualitative teaching with a powerful data suite to help you whittle down investment choices to find stocks, exchange-traded funds (ETFs) or mutual funds that meet your needs.

Learn More About A+ Investor

AAII Disclaimer

We make no representations or warranties that any investor will, or is likely to, achieve profits similar to those shown, because past, hypothetical or simulated performance is not necessarily indicative of future results. Before making an investment decision, you should consider your circumstances and whether the information on our content is applicable to your situation. This information was prepared in good faith, and we accept no liability for any errors or omissions. The full disclaimer can be read here.



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