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Stock Comparison · Industry comparison · Software - Application

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

SAP SE holds the cleaner structural position, with profitability 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. Both sides have seen trend damage — neither carries a clear market edge right now. With both trends damaged, the structural comparison carries most of the weight here.

The comparison is based on similar long-term financial trajectories, not sector labels. Peer scores are normalised within each company's primary universe (CDNS: Nasdaq 100, SAP.DE: HDAX).

Updated 2026-08-16

Profitability drives the lead, while growth keeps the result from looking one-sided. The overall score gap is 10 points in favour of SAP SE.

INDUSTRY COMPARISON

Both operate in: Software - Application

This comparison is based on industry proximity, not on functional trajectory similarity. CDNS and SAP.DE share the same industry classification.

For a similarity-based comparison, see how Cadence Design Systems and SAP SE each position within their functional peer groups in AssetNext.

Peer-Relative Score
CDNS
Cadence Design Systems, Inc.
40
Peer-Score
Signal qualitylow
Peer basis: Nasdaq 100
vs
SAP.DE
SAP SE
50
Peer-Score
Signal qualitylow
Peer basis: HDAX

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

Score differences across key dimensions.

Dimension spread: CDNS vs SAP.DE Profitability 13 48 Stability 46 42 Valuation 33 54 Growth 87 55 CDNS SAP.DE
Gap Ranking
#1 Profitability +35
#2 Growth +32
#3 Valuation +21
#4 Stability +4
Price Setup

Left means cheaper relative valuation. Higher means stronger structure.

Price setup map for CDNS and SAP.DE Stronger + cheaper Stronger + richer Weaker + cheaper Weaker + richer CDNSSAP.DE Relative valuation Structural strength

SAP SE and Cadence Design Systems, Inc. look relatively close on structure, but the price setup still leans toward SAP SE.

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

Entry today — historical context

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

BASED ON 5-YEAR HISTORY CDNS Elevated · near norm 0th 50th 100th 18 pct gap SAP.DE Neutral · below norm 0th 50th 100th 87th 69th
Today SAP.DE sits in the upper-middle of its own 5-year history (69th percentile), while CDNS sits higher in its own history (87th). Within each stock's own 5-year context, SAP.DE is at a historically more favourable entry position than CDNS. This reflects entry timing, not which company is structurally stronger — peer-relative analysis is a separate question addressed above.

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

Relative Position vs Comparable Companies
Profitability
Profitability also leans toward SAP SE, reinforcing the broader structural lead.
Growth
Both profiles are strong on growth, but Cadence Design Systems, Inc. leads clearly.
Profitability — Dominant Gap
CDNS
13
SAP.DE
48
Gap+35in favour of SAP.DE

The clearest distance comes from a stronger profitability profile.

What keeps the gap from being one-sided

Earnings growth also leans toward CDNS, which keeps the score lead from reading as a full growth sweep.

What this means for the comparison

Profitability settles the comparison, while pricing and growth keep the broader setup from looking fully aligned.

Explore full peer positioning in AssetNext

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

Explore full breakdown →
Other comparisons with conflicting dimension signals

Explore how CDNS and SAP.DE 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.