Cadence Design Systems (XSWX:CDNS) 1-Year Sharpe Ratio: N/A (As of Aug. 18, 2026)

Author: Vera Yuan Vera Yuan
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Vera Yuan
Director of Data and Quant Analytics at GuruFocus
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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.

XSWX:CDNS Cadence Design Systems Inc XSWX:CDNS
98 GF Score
Price CHF265.30
GF Value CHF321.54
! 2 Warning Signs
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What is Cadence Design Systems 1-Year Sharpe Ratio?

The 1-Year Sharpe Ratio measures the additional return that an investor receives per unit of increase in risk over the past year. As of today (2026-08-18), Cadence Design Systems's 1-Year Sharpe Ratio is Not available.

Cadence Design Systems  (XSWX:CDNS) 1-Year Sharpe Ratio Explanation

The 1-Year Sharpe Ratio inidicates the risk-adjusted return of an investment over the past year. It is calculated as the annualized result of the average monthly excess return divided by its standard deviation over the past year. The monthly excess return is the monthly investment return minus the monthly risk-free rate (typically the 10-year Treasury Constant Maturity Rate). If the risk-free rate for a specific region is not available, U.S. data is used by default.

The greater a portfolio's Sharpe Ratio, the better its risk-adjusted performance. A negative Sharpe Ratio means the risk-free rate is greater than the portfolio’s historical or projected return, or else the portfolio's return is expected to be negative.

Cadence Design Systems 1-Year Sharpe Ratio Related Terms

XSWX:CDNS vs ADBE, DDOG, SNOW: 1-Year Sharpe Ratio Comparison

For the Software - Application subindustry, Cadence Design Systems's 1-Year Sharpe Ratio, along with its competitors' market caps and 1-Year Sharpe 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 1-Year Sharpe Ratio vs Software Industry

For the Software industry and Technology sector, Cadence Design Systems's 1-Year Sharpe Ratio distribution charts can be found below:

* The bar in red indicates where Cadence Design Systems's 1-Year Sharpe Ratio falls into.


XSWX:CDNS
98GF Score
Cadence Design Systems Inc XSWX:CDNS
1-Year Sharpe Ratio is just one metric. See GF Score™, valuation, warning signs, and more.
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Cadence Design Systems 1-Year Sharpe Ratio Calculation

The 1-Year Sharpe Ratio measures the performance of an investment such as a stock or portfolio compared to a risk-free asset. A stock / portfolio's 1-Year Sharpe Ratio can be calculated by dividing the difference between the one-year returns of the investment and the risk-free rate, by the standard deviation of the investment returns over one year.

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 CHF265.30 is trading 17.5% below its estimated GF Value™ of CHF321.54.

Key valuation signals for XSWX:CDNS:

  • 1-Year Sharpe Ratio: N/A
  • GF Value™: CHF321.54 vs. price of CHF265.30 (17.5% below fair value)
  • GF Score™: 98/100 with 2 warning signs

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 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.
98GF Score

Get the complete analysis for XSWX:CDNS

1-Year Sharpe Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

CHF265.30
Price
CHF321.54
GF Value