VOL. XCIV, NO. 247

★ WIDE MOAT STOCKS COMPARISON ★

NO ADVICE

Wednesday, January 7, 2026

Stock Comparison

Cadence Design Systems, Inc. vs Rollins, Inc.

Compare moat strength, market structure, and segment coverage to understand how each company defends its edge.

Cadence Design Systems, Inc.

CDNS · NASDAQ

Market cap (USD)$82B
Gross margin (TTM)87.8%
Operating margin (TTM)28.5%
Net margin (TTM)20.4%
SectorTechnology
IndustrySoftware - Application
CountryUS
Data as of2025-12-29
Moat score
84/ 100

Weighted average of segment moat scores, combining moat strength, durability, confidence, market structure, pricing power, and market share.

Full stock profile

Dive deeper into Cadence Design Systems, Inc.'s moat claims, evidence, and risks.

View CDNS analysis

Rollins, Inc.

ROL · New York Stock Exchange

Market cap (USD)$28.6B
Gross margin (TTM)52.9%
Operating margin (TTM)19.5%
Net margin (TTM)14%
SectorIndustrials
IndustryPersonal Products & Services
CountryUS
Data as of2026-01-05
Moat score
70/ 100

Weighted average of segment moat scores, combining moat strength, durability, confidence, market structure, pricing power, and market share.

Full stock profile

Dive deeper into Rollins, Inc.'s moat claims, evidence, and risks.

View ROL analysis

Comparison highlights

  • Moat score gap: Cadence Design Systems, Inc. leads (84 / 100 vs 70 / 100 for Rollins, Inc.).
  • Segment focus: Cadence Design Systems, Inc. has 3 segments (71% in Core EDA); Rollins, Inc. has 4 segments (45.3% in Residential Pest Control).
  • Primary market structure: Oligopoly vs Competitive. Pricing power: Strong vs Moderate.
  • Moat breadth: Cadence Design Systems, Inc. has 8 moat types across 3 domains; Rollins, Inc. has 8 across 4.

Primary market context

Cadence Design Systems, Inc.

Core EDA

Market

Electronic design automation tools for semiconductor IC design and verification (digital, custom/analog, signoff, functional verification)

Geography

Global

Customer

Semiconductor designers (fabless and IDMs) and system companies with in-house silicon teams

Role

Tool vendor / workflow platform

Revenue share

71%

Rollins, Inc.

Residential Pest Control

Market

Residential pest control services

Geography

Global (primarily United States)

Customer

Households

Role

Service provider

Revenue share

45.3%

Side-by-side metrics

Cadence Design Systems, Inc.
Rollins, Inc.
Ticker / Exchange
CDNS - NASDAQ
ROL - New York Stock Exchange
Market cap (USD)
$82B
$28.6B
Gross margin (TTM)
87.8%
52.9%
Operating margin (TTM)
28.5%
19.5%
Net margin (TTM)
20.4%
14%
Sector
Technology
Industrials
Industry
Software - Application
Personal Products & Services
HQ country
US
US
Primary segment
Core EDA
Residential Pest Control
Market structure
Oligopoly
Competitive
Market share
29%-31% (estimated)
n/a
HHI estimate
n/a
n/a
Pricing power
Strong
Moderate
Moat score
84 / 100
70 / 100
Moat domains
Demand, Legal, Supply
Demand, Supply, Legal, Financial
Last update
2025-12-29
2026-01-05

Moat coverage

Shared moat types

Data Workflow LockinInstalled Base ConsumablesService Field Network

Cadence Design Systems, Inc. strengths

Suite BundlingLong Term ContractsDesign In QualificationIP Choke PointCapex Knowhow Scale

Rollins, Inc. strengths

Brand TrustOperational ExcellenceCompliance AdvantageFloat PrepaymentContractual Exclusivity

Segment mix

Cadence Design Systems, Inc. segments

Full profile >

Core EDA

Oligopoly

71%

Semiconductor IP

Oligopoly

13%

System Design and Analysis

Competitive

16%

Rollins, Inc. segments

Full profile >

Residential Pest Control

Competitive

45.3%

Commercial Pest Control

Competitive

33.2%

Termite & Ancillary Services

Competitive

20.3%

Franchise & Other

Competitive

1.2%

Want the full wide moat stocks list?

Browse the full ranking of wide moat stocks, updated with moat scores and segment context.

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Looking for expansion-stage stocks?

Proven models entering the expansion stage with unit economics that work.

View expansion-stage stocks

Curation & Accuracy

This directory blends AI‑assisted discovery with human curation. Entries are reviewed, edited, and organized with the goal of expanding coverage and sharpening quality over time. Your feedback helps steer improvements (because no single human can capture everything all at once).

Details change. Pricing, features, and availability may be incomplete or out of date. Treat listings as a starting point and verify on the provider’s site before making decisions. If you spot an error or a gap, send a quick note and I’ll adjust.