Cadence Design Systems (BSP:C1DN34) Cyclically Adjusted PS Ratio: 22.58 (As of Aug. 24, 2026) — 21% Above Median

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

BSP:C1DN34 Cadence Design Systems Inc BSP:C1DN34
100 GF Score
Price R$48.33
GF Value R$59.22
Valuation Modestly Undervalued
! 2 Warning Signs
View Full Analysis

What is Cadence Design Systems Cyclically Adjusted PS Ratio?

Cadence Design Systems BSP:C1DN34 +0.48% 100 Cyclically Adjusted PS Ratio is 22.58 as of Aug. 24, 2026, which is 21% above its 10-year median of 18.72. GuruFocus rates BSP:C1DN34 with a GF Score™ of 100/100 and a GF Value™ of R$59.22 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 1,591 Software companies, Cadence Design Systems ranks worse than 97.36% on this metric.

As of today (2026-08-24), Cadence Design Systems's current share price is R$48.329411. Cadence Design Systems's Cyclically Adjusted Revenue per Share for the quarter that ended in Jun. 2026 was R$2.14. Cadence Design Systems's Cyclically Adjusted PS Ratio for today is 22.58.

The historical rank and industry rank for Cadence Design Systems's Cyclically Adjusted PS Ratio or its related term are showing as below:

BSP:C1DN34' s Cyclically Adjusted PS Ratio Range Over the Past 10 Years
Min: 4.85   Med: 18.72   Max: 31.77
Current: 22.67

During the past years, Cadence Design Systems's highest Cyclically Adjusted PS Ratio was 31.77. The lowest was 4.85. And the median was 18.72.

BSP:C1DN34's Cyclically Adjusted PS Ratio is ranked worse than
97.36% of 1591 companies
in the Software industry
Industry Median: 1.67 vs BSP:C1DN34: 22.67

The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PS Ratio. The Cyclically Adjusted Revenue per Share is the average of the inflation adjusted revenue per share of a company over the past 10 years.

Cadence Design Systems's adjusted revenue per share data for the three months ended in Jun. 2026 was R$14.699. Add all the adjusted revenue per share for the past 10 years together and divide 10 will get our Cyclically Adjusted Revenue per Share, which is R$2.14 for the trailing ten years ended in Jun. 2026.

Shiller PE for Stocks: The True Measure of Stock Valuation


Cadence Design Systems  (BSP:C1DN34) Cyclically Adjusted PS Ratio Explanation

Compared with the regular PS Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PS Ratio smoothed out the fluctuations of revenue during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted PS Ratio should give similar results to regular PS Ratio.


Cadence Design Systems Cyclically Adjusted PS Ratio Related Terms


Cadence Design Systems Cyclically Adjusted PS Ratio Historical Data

* Premium members only.

The historical data trend for Cadence Design Systems's Cyclically Adjusted PS Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Cadence Design Systems Cyclically Adjusted PS Ratio Chart

Cadence Design Systems Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Cyclically Adjusted PS Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 23.88 17.84 26.81 26.20 24.09

Cadence Design Systems Quarterly Data
Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
Cyclically Adjusted PS Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 25.08 27.72 24.09 20.50 26.68

BSP:C1DN34 vs ADBE, DDOG, SNOW: Cyclically Adjusted PS Ratio Comparison

For the Software - Application subindustry, Cadence Design Systems's Cyclically Adjusted PS Ratio, along with its competitors' market caps and Cyclically Adjusted PS Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Cadence Design Systems Cyclically Adjusted PS Ratio vs Software Industry

For the Software industry and Technology sector, Cadence Design Systems's Cyclically Adjusted PS Ratio distribution charts can be found below:

* The bar in red indicates where Cadence Design Systems's Cyclically Adjusted PS Ratio falls into.


BSP:C1DN34
100GF Score
Cadence Design Systems Inc BSP:C1DN34
Cyclically Adjusted PS Ratio is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Cadence Design Systems Cyclically Adjusted PS Ratio Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted PS Ratio takes the Revenue per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/S calculation. Because it considers this 10-year average, it's often referred to as the CAPS Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PS Ratio.

Cadence Design Systems's Cyclically Adjusted PS Ratio for today is calculated as

Cyclically Adjusted PS Ratio=Share Price/ Cyclically Adjusted Revenue per Share
=48.329411/2.14
=22.58

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Cadence Design Systems's Cyclically Adjusted Revenue per Share for the quarter that ended in Jun. 2026 is calculated as:

For example, Cadence Design Systems's adjusted Revenue per Share data for the three months ended in Jun. 2026 was:

Adj_RevenuePerShare=Revenue per Share/CPI of Jun. 2026 (Change)*Current CPI (Jun. 2026)
=14.699/333.9520*333.9520
=14.699

Current CPI (Jun. 2026) = 333.9520.

Cadence Design Systems Quarterly Data

Revenue per Share CPI Adj_RevenuePerShare
201609 2.525 241.428 3.493
201612 2.820 241.432 3.901
201703 2.685 243.801 3.678
201706 2.824 244.955 3.850
201709 2.702 246.819 3.656
201712 2.929 246.524 3.968
201803 3.011 249.554 4.029
201806 3.481 251.989 4.613
201809 3.884 252.439 5.138
201812 3.946 251.233 5.245
201903 3.947 254.202 5.185
201906 3.981 256.143 5.190
201909 4.254 256.759 5.533
201912 4.401 256.974 5.719
202003 5.406 258.115 6.994
202006 5.934 257.797 7.687
202009 6.427 260.280 8.246
202012 6.976 260.474 8.944
202103 7.403 264.877 9.334
202106 6.573 271.696 8.079
202109 7.121 274.310 8.669
202112 7.854 278.802 9.408
202203 8.103 287.504 9.412
202206 7.865 296.311 8.864
202209 8.606 296.808 9.683
202212 8.645 296.797 9.727
202303 9.741 301.836 10.777
202306 8.681 305.109 9.502
202309 9.274 307.789 10.062
202312 9.610 306.746 10.462
202403 9.185 312.332 9.821
202406 10.443 314.175 11.100
202409 12.285 315.301 13.012
202412 15.080 315.605 15.957
202503 13.072 319.799 13.651
202506 12.960 322.561 13.418
202509 13.112 324.800 13.481
202512 14.394 324.054 14.834
202603 14.083 330.213 14.242
202606 14.699 333.952 14.699

Add all the adjusted revenue per share together and divide 10 will get our Cyclically Adjusted Revenue per Share.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.

What does a Cyclically Adjusted PS Ratio of 22.58 mean?
Cadence Design Systems (BSP:C1DN34) has a Cyclically Adjusted PS Ratio of 22.58 as of Aug. 24, 2026. Cyclically Adjusted PS Ratio is the ratio of share price to a company's inflation-adjusted revenue per share over a 10-year period. View historical data on Cadence Design Systems and its competitors. This is 21% above median its historical median of 18.72. Over the past decade, Cadence Design Systems' Cyclically Adjusted PS Ratio has ranged from 4.85 to 31.77. According to the industry distribution chart, Cadence Design Systems ranks #1549 out of 1591 companies in the Software industry, placing it in the top 97.4%.
Is Cadence Design Systems' Cyclically Adjusted PS Ratio too high?
Cadence Design Systems' current Cyclically Adjusted PS Ratio of 22.58 is 21% above median its 10-year median of 18.72. Over the past 10 years, this metric has ranged from a low of 4.85 to a high of 31.77. The Software industry median Cyclically Adjusted PS Ratio is 1.67. Cadence Design Systems' value of 22.58 is 1252.1% above this industry median. Based on the distribution chart, Cadence Design Systems ranks #1549 out of 1591 companies in the Software industry, which is in the bottom quartile relative to peers. Overall, Cadence Design Systems has a GF Score™ of 100/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Cadence Design Systems' Cyclically Adjusted PS Ratio compare to ADBE and DDOG?
According to the Software industry distribution chart, Cadence Design Systems ranks #1549 out of 1591 companies for Cyclically Adjusted PS Ratio. This places Cadence Design Systems in the lower half of its industry. The industry median Cyclically Adjusted PS Ratio is 1.67. Cadence Design Systems' value of 22.58 is 1252.1% above this benchmark. Historically, Cadence Design Systems' own Cyclically Adjusted PS Ratio has ranged from 4.85 to 31.77 over the past decade. While the company's 10-year median is 18.72 vs. the industry median of 1.67, Cadence Design Systems has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Cyclically Adjusted PS Ratio for a Software company?
The median Cyclically Adjusted PS Ratio among Software companies is 1.67, based on 1,591 companies in the industry. Companies in the top quartile (top 25%) have a Cyclically Adjusted PS Ratio significantly above this median, while those in the bottom quartile fall well below. However, Cyclically Adjusted PS Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Cadence Design Systems's current Cyclically Adjusted PS Ratio of 22.58 is 1252.1% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Cyclically Adjusted PS Ratio mean?
A high Cyclically Adjusted PS Ratio can signal that a stock is expensive relative to its fundamentals. Cyclically Adjusted PS Ratio is the ratio of share price to a company's inflation-adjusted revenue per share over a 10-year period. View historical data on Cadence Design Systems and its competitors. For the Software industry, the median Cyclically Adjusted PS Ratio is 1.67 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Cadence Design Systems's current Cyclically Adjusted PS Ratio is 22.58, which is 21% above median its own 10-year median of 18.72. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Cadence Design Systems stock overvalued right now?
Based on GuruFocus' analysis, Cadence Design Systems (BSP:C1DN34) is currently considered Modestly Undervalued. The stock's GF Value™ is R$59.22, compared to a current price of R$48.33 — trading 18.4% below its estimated fair value. The current Cyclically Adjusted PS Ratio is 22.58, which is 21% above median its 10-year median of 18.72 and 1252.1% above the Software industry median of 1.67. Cadence Design Systems' overall GF Score™ is 100/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Cyclically Adjusted PS Ratio calculated?
Cyclically Adjusted PS Ratio is calculated from a company's financial statements. For Cadence Design Systems (BSP:C1DN34), the current Cyclically Adjusted PS Ratio is 22.58 as of Aug. 24, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Cadence Design Systems (BSP:C1DN34) Overvalued in 2026?

Based on GuruFocus' analysis, Cadence Design Systems stock appears to be undervalued. The current stock price of R$48.33 is trading 18.4% below its estimated GF Value™ of R$59.22. GuruFocus considers Cadence Design Systems to be Modestly Undervalued.

Key valuation signals for BSP:C1DN34:

  • Cyclically Adjusted PS Ratio: 22.58 (21% above median its 10-year median of 18.72)
  • GF Value™: R$59.22 vs. price of R$48.33 (18.4% below fair value)
  • GF Score™: 100/100 with 2 warning signs
  • Industry Position: 1252.1% above the Software median (#1549 of 1591)

No single metric tells the full story. See the BSP:C1DN34 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Cadence Design Systems Business Description

Address 2655 Seely Avenue, Building 5, San Jose, CA, USA, 95134
Cadence Design Systems is a provider of electronic design automation software, intellectual property, and system design and analysis products. EDA software automates and aids in the chip design process, enhancing design accuracy, productivity, and complexity in a full-flow end-to-end solution. Cadence offers a portfolio of design IP, as well as system design and analysis products, which enables system-level analysis and verification solutions.
100GF Score

Get the complete analysis for BSP:C1DN34

Cyclically Adjusted PS Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

R$48.33
Price
R$59.22
GF Value