VOL. XCIV, NO. 247

★ WIDE MOAT STOCKS COMPARISON ★

NO ADVICE

Saturday, January 10, 2026

Stock Comparison

Cadence Design Systems, Inc. vs Floor & Decor Holdings, Inc.

Compare moat strength, market structure, and segment coverage to understand how each company defends its edge.

Cadence Design Systems, Inc.

CDNS · NASDAQ

Market cap (USD)$89.1B
Gross margin (TTM)87.8%
Operating margin (TTM)28.5%
Net margin (TTM)20.4%
SectorTechnology
IndustrySoftware - Application
CountryUS
Data as of2025-12-29
Moat score
84/ 100

Weighted average of segment moat scores, combining moat strength, durability, confidence, market structure, pricing power, and market share.

Full stock profile

Dive deeper into Cadence Design Systems, Inc.'s moat claims, evidence, and risks.

View CDNS analysis

Floor & Decor Holdings, Inc.

FND · New York Stock Exchange

Market cap (USD)$7.8B
Gross margin (TTM)42.4%
Operating margin (TTM)6.1%
Net margin (TTM)4.7%
SectorConsumer
IndustryHome Improvement
CountryUS
Data as of2026-01-08
Moat score
55/ 100

Weighted average of segment moat scores, combining moat strength, durability, confidence, market structure, pricing power, and market share.

Full stock profile

Dive deeper into Floor & Decor Holdings, Inc.'s moat claims, evidence, and risks.

View FND analysis

Comparison highlights

  • Moat score gap: Cadence Design Systems, Inc. leads (84 / 100 vs 55 / 100 for Floor & Decor Holdings, Inc.).
  • Segment focus: Cadence Design Systems, Inc. has 3 segments (71% in Core EDA); Floor & Decor Holdings, Inc. has 2 segments (95% in Floor & Decor Retail).
  • Primary market structure: Oligopoly vs Competitive. Pricing power: Strong vs Weak.
  • Moat breadth: Cadence Design Systems, Inc. has 8 moat types across 3 domains; Floor & Decor Holdings, Inc. has 6 across 2.

Primary market context

Cadence Design Systems, Inc.

Core EDA

Market

Electronic design automation tools for semiconductor IC design and verification (digital, custom/analog, signoff, functional verification)

Geography

Global

Customer

Semiconductor designers (fabless and IDMs) and system companies with in-house silicon teams

Role

Tool vendor / workflow platform

Revenue share

71%

Floor & Decor Holdings, Inc.

Floor & Decor Retail

Market

U.S. retail hard-surface flooring and accessories

Geography

United States

Customer

Homeowners (DIY/BIY) and professional installers (Pros)

Role

Specialty retailer (warehouse-format stores + e-commerce)

Revenue share

95%

Side-by-side metrics

Cadence Design Systems, Inc.
Floor & Decor Holdings, Inc.
Ticker / Exchange
CDNS - NASDAQ
FND - New York Stock Exchange
Market cap (USD)
$89.1B
$7.8B
Gross margin (TTM)
87.8%
42.4%
Operating margin (TTM)
28.5%
6.1%
Net margin (TTM)
20.4%
4.7%
Sector
Technology
Consumer
Industry
Software - Application
Home Improvement
HQ country
US
US
Primary segment
Core EDA
Floor & Decor Retail
Market structure
Oligopoly
Competitive
Market share
29%-31% (estimated)
9%-11% (reported)
HHI estimate
n/a
n/a
Pricing power
Strong
Weak
Moat score
84 / 100
55 / 100
Moat domains
Demand, Legal, Supply
Supply, Demand
Last update
2025-12-29
2026-01-08

Moat coverage

Shared moat types

No overlap yet.

Cadence Design Systems, Inc. strengths

Data Workflow LockinSuite BundlingLong Term ContractsDesign In QualificationInstalled Base ConsumablesIP Choke PointCapex Knowhow ScaleService Field Network

Floor & Decor Holdings, Inc. strengths

Scale Economies Unit CostDistribution ControlScope EconomiesBrand TrustProcurement InertiaOperational Excellence

Segment mix

Cadence Design Systems, Inc. segments

Full profile >

Core EDA

Oligopoly

71%

Semiconductor IP

Oligopoly

13%

System Design and Analysis

Competitive

16%

Floor & Decor Holdings, Inc. segments

Full profile >

Floor & Decor Retail

Competitive

95%

Spartan (Commercial surfaces)

Competitive

5%

Want the full wide moat stocks list?

Browse the full ranking of wide moat stocks, updated with moat scores and segment context.

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Looking for expansion-stage stocks?

Proven models entering the expansion stage with unit economics that work.

View expansion-stage stocks

Curation & Accuracy

This directory blends AI‑assisted discovery with human curation. Entries are reviewed, edited, and organized with the goal of expanding coverage and sharpening quality over time. Your feedback helps steer improvements (because no single human can capture everything all at once).

Details change. Pricing, features, and availability may be incomplete or out of date. Treat listings as a starting point and verify on the provider’s site before making decisions. If you spot an error or a gap, send a quick note and I’ll adjust.