Cadence Design Systems has the GF Score of 99, which implies that the company
might have
Highest outperformance potential.
The GF Score is a stock performance ranking system developed by GuruFocus using five aspects of valuation, which has been found to be closely correlated to the long-term performances of stocks by backtesting from 2006 to 2021. The stocks with a higher GF Score generally generate higher returns than those with lower GF Scores. Therefore, when picking stocks, investors should invest in companies with high GF Scores. The GF Score ranges from 0 to 100, with 100 as the highest rank.
GF Score takes following five key aspects into consideration:
Each one of these components is ranked and the ranks also have positive correlation with the long term performances of stocks. The GF score is calculated using the five key aspects of analysis. Through backtesting, we know that each of these key aspects has a different impact on the stock price performance. Thus, they are weighted differently when calculating the total score. The Profitability Rank and the Growth Rank are weighted fully, while other parameters have less weight.
Based on research and backtesting result, GuruFocus believes Cadence Design Systems
might have
Highest outperformance potential.
Please click GF Score to see more details on the GF Score's 5 Key Aspects of Analysis.
Cadence Design Systems (XSWX:CDNS) GF Score Explanation
Based on the historical long-term performances among five valuation aspects, the GF Score is found to be closely correlated to the long-term performances of stocks. It ranges from 0 to 100, with 100 as the highest. GuruFocus divided GF Score into following 5 categories:
GF Score
Performance Potential and All-in-One Screener Examples (1)
(1) These are some simple examples. You can access our GF Score filter under All-in-One Screener’s Fundamental tab.
Cadence Design Systems GF Score Related Terms
XSWX:CDNS vs : GF Score Comparison
For the Software - Application subindustry, Cadence Design Systems's GF Score, along with its competitors' market caps and GF Score 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 GF Score vs Software Industry
For the Software industry and Technology sector, Cadence Design Systems's GF Score distribution charts can be found below:
* The bar in red indicates where Cadence Design Systems's GF Score falls into.
Cadence Design Systems (XSWX:CDNS) has a GF Score of 99 as of Jul. 03, 2026. GF Score is a stock performance ranking system developed by GuruFocus using five aspects of valuation. View historical data on Cadence Design Systems and its competitors. This is near median its historical median of 99.00. Over the past decade, Cadence Design Systems' GF Score has ranged from 99.00 to 99.00.
Is Cadence Design Systems' GF Score too high?
Cadence Design Systems' current GF Score of 99 is near median its 10-year median of 99.00. Over the past 10 years, this metric has ranged from a low of 99.00 to a high of 99.00. Overall, Cadence Design Systems has a GF Score™ of 99/100, reflecting its overall financial health beyond just this single metric.
How does Cadence Design Systems' GF Score compare to ?
Cadence Design Systems' GF Score of 99 can be compared against companies in the Software industry. Historically, Cadence Design Systems' own GF Score has ranged from 99.00 to 99.00 over the past decade. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good GF Score for a Software company?
A good GF Score depends on the Software industry context. However, GF Score should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high GF Score mean?
A high GF Score can signal that a stock is expensive relative to its fundamentals. GF Score is a stock performance ranking system developed by GuruFocus using five aspects of valuation. View historical data on Cadence Design Systems and its competitors. Cadence Design Systems's current GF Score is 99, which is near median its own 10-year median of 99.00. 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?
Cadence Design Systems (XSWX:CDNS) has a current GF Score of 99. The stock's GF Value™ is CHF314.60, compared to a current price of CHF310.65 — trading 1.3% below its estimated fair value. The current GF Score is 99, which is near median its 10-year median of 99.00. Cadence Design Systems' overall GF Score™ is 99/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is GF Score calculated?
GF Score is calculated from a company's financial statements. For Cadence Design Systems (XSWX:CDNS), the current GF Score is 99 as of Jul. 03, 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 (XSWX:CDNS) Overvalued in 2026?
Based on GuruFocus' analysis, Cadence Design Systems stock appears to be undervalued.
The current stock price of CHF310.65 is trading 1.3% below its estimated GF Value™ of CHF314.60.
Key valuation signals for XSWX:CDNS:
GF Score: 99 (near median its 10-year median of 99.00)
GF Value™: CHF314.60 vs. price of CHF310.65 (1.3% below fair value)
No single metric tells the full story. See the XSWX:CDNS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
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.
99GF Score
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