Zoom Communications holds the cleaner structural position, with valuation as the main driver and profitability adding further support. Cadence Design Systems still has the edge on stability, which keeps the comparison from looking entirely one-sided. The market setup broadly confirms the structural lead — Zoom Communications holds the more constructive position. That puts structure and market broadly in agreement — Zoom Communications's lead looks more confirmed than conflicted.
The comparison is based on similar long-term financial trajectories, not sector labels.
Most of the lead runs through valuation, while profitability helps make the separation broader. Zoom Communications, Inc. leads by 19 points on the overall comparison score.
Both operate in: Software - Application
This comparison is based on industry proximity, not on functional trajectory similarity. CDNS and ZM share the same industry classification.
For a similarity-based comparison, see how Cadence Design Systems and Zoom Communications each position within their functional peer groups in AssetNext.
Scores reflect position relative to comparable companies with similar long-term financial trajectories.
The largest gaps do not all point in the same direction.
Left means cheaper relative valuation. Higher means stronger structure.
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.
The multiple-based pricing edge comes from a forward P/E that is 16.8 turns lower.
Capital efficiency adds support, with a 59-point ROIC advantage.
Valuation is the clearest driver of the lead, with profitability adding further support — though stability still provides a real counterweight.
Break down the CDNS vs ZM comparison across all dimensions with the full interactive tool.
Explore how CDNS and ZM 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.
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.
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.