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Stock Comparison · Valuation-led comparison

Cadence Design Systems vs Garmin: Which Stock Looks Stronger in 2026?

Garmin holds the cleaner structural position, with valuation as the main driver and growth adding further support. Cadence Design Systems still has the edge on growth, which keeps the comparison from looking entirely one-sided. The market setup is currently leaning toward Cadence Design Systems, which does not confirm the structural lead. That leaves a split case: the structural lead stays with Garmin, but the market is not currently confirming it.

The comparison is based on similar long-term financial trajectories, not sector labels. Both peer scores are relative to the S&P 500 universe, making them directly comparable.

Updated 2026-05-17

The comparison is mainly decided in valuation, with the rest of the profile carrying less weight. Garmin Ltd. leads by 14 points on the overall comparison score.

Trajectory Similarity
0.78
Similar
Peer-set rank: #6
within Cadence Design Systems, Inc.'s functional peer set

These two companies are linked by measured long-term financial trajectory similarity within the selected peer universe.

This level of similarity signals a strong structural match, even though some dimensions still separate the two companies.

The match is driven mainly by revenue growth trajectory and capital structure.

Similarity drivers
revenue growth trajectorycapital structure
How to read the score
0.85–1.00 · Very similar0.70–0.84 · Similar0.55–0.69 · Moderately similarbelow 0.55 · Loose match
Peer-Relative Score
CDNS
Cadence Design Systems, Inc.
32
Peer-Score
Signal qualitylow
Peer basis: S&P 500
vs
GRMN
Garmin Ltd.
46
Peer-Score
Signal qualityMedium
Peer basis: S&P 500

Scores reflect position relative to comparable companies with similar long-term financial trajectories.

Pricing shapes this comparison more than a broad operating gap.

Dimension spread: CDNS vs GRMN Profitability 27 21 Stability 42 60 Valuation 20 70 Growth 51 32 CDNS GRMN
Gap Ranking
#1 Valuation +50
#2 Growth +19
#3 Stability +18
#4 Profitability +6
Price Setup

Left means cheaper relative valuation. Higher means stronger structure.

Price setup map for CDNS and GRMN Stronger + cheaper Stronger + richer Weaker + cheaper Weaker + richer CDNSGRMN Relative valuation Structural strength

The structural gap is limited here, but current pricing still leans against Cadence Design Systems, Inc..

Valuation position uses peer-relative PE percentile (idx_pct_pe) where available.

Entry today — historical context

Where CDNS and GRMN each sit in their own 5-year price and valuation history.

BASED ON 5-YEAR HISTORY CDNS Elevated · above norm 0th 50th 100th 6 pct gap GRMN Elevated · near norm 0th 50th 100th 96th 90th
CDNS (96th percentile) and GRMN (90th percentile) both sit in the upper portion of their own 5-year ranges. The historical entry context is broadly similar for both. This reflects entry timing, not which company is structurally stronger.

Describes historical entry positioning only. Descriptive — not investment advice.

Relative Position vs Comparable Companies
Valuation
On valuation, Garmin Ltd. ranks near the top of the group; Cadence Design Systems, Inc. sits in the weaker half.
Growth
On growth, Cadence Design Systems, Inc. is positioned higher in the group, while Garmin Ltd. is closer to the middle.
Valuation — Dominant Gap
CDNS
20
GRMN
70
Gap+50in favour of GRMN

The multiple-based pricing edge comes from a forward P/E that is 14.7 turns lower.

What else supports the lead

Stability adds another layer of support rather than leaving the result tied to valuation alone.

What this means for the comparison

Valuation is the clearest driver of the lead, with growth adding further support — though growth still provides a real counterweight.

Explore full peer positioning in AssetNext

Break down the CDNS vs GRMN comparison across all dimensions with the full interactive tool.

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Similar valuation-driven comparisons

Explore how CDNS and GRMN each compare against other companies in their peer groups.

Rule-based, descriptive analysis only. Derived from peer percentile dimensions. Not investment advice. Peer groups are determined algorithmically based on structural similarity — not by sector classification alone.

How AssetNext Peer Scores Work

AssetNext scores reflect each company's structural position within its functional peer group — not a ranking against all stocks simultaneously. Peers are identified by similarity across eight financial dimensions, including revenue growth trajectory, margin structure, capital intensity, and earnings stability. A score of 75 means the company ranks in the top quartile within its own peer group, not the entire market.

Four dimension scores drive the overall peer score: Growth (revenue trajectory and expansion dynamics), Quality (margin structure and capital efficiency), Valuation (peer-relative pricing on standard multiples), and Stability (earnings consistency and financial predictability). Each dimension is scored 0–100 relative to the peer group, then combined into an overall peer score using equal weighting.

Because scores are peer-relative, the same company can have slightly different scores in different index universes. On comparison pages, both companies are shown within their shared peer universe wherever possible — so the scores are directly comparable. The peer basis is stated on each score card.

Scores are recalculated periodically as underlying financial data is updated. All analysis is descriptive and rule-based — AssetNext describes structural realities and never issues buy, sell or hold recommendations.