Cadence Design Systems (CDNS)
NASDAQ:CDNS
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CDNS Stock Chart & Stats
$311.03
$1.53(0.51%)
At close: 4:00 PM EST
$311.03
$1.53(0.51%)
Day’s Range― - ―
52-Week Range$262.75 - $383.80
Previous CloseN/A
Volume226.19K
Average Volume (3M)2.42M
Market Cap
$103.41B
Enterprise Value$105.09B
Total Cash (Recent Filing)$1.55B
Total Debt (Recent Filing)$3.08B
Price to Earnings (P/E)96.2
Beta1.40
Next Earnings
Jul 27, 2026EPS Estimate
2.05Next Dividend Ex-DateN/A
Dividend YieldN/A
Share Statistics
EPS (TTM)4.31
Shares Outstanding275,816,000
10 Day Avg. Volume2,077,599
30 Day Avg. Volume2,416,753
Financial Highlights & Ratios
PEG Ratio14.88
Price to Book (P/B)15.49
Price to Sales (P/S)16.01
P/FCF Ratio53.45
Enterprise Value/Market Cap1.02
Enterprise Value/Revenue19.01
Enterprise Value/Gross Profit21.39
Enterprise Value/Ebitda56.27
Forecast
1Y Price Target
$381.69Price Target Upside22.72% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering14
EPS Forecast (FY)7.94
Revenue Forecast (FY)$6.20B
Bulls Say, Bears Say
Bulls Say
High Margins & Cash ConversionCadence’s very high gross margins and strong cash conversion (FCF roughly 90% of net income, ~$1.6B operating cash flow TTM) create durable internal funding for R&D, buybacks and debt servicing. This supports reinvestment in tools and resilience across semiconductor cycles.
Record Backlog & Broad DemandAn $8B backlog and broad-based segment growth provide multi-quarter revenue visibility and reduced cyclicality. Strong bookings underpin guidance and allow predictable resource allocation, smoothing cash flow and supporting durable customer relationships and upsell opportunities.
Product Leadership & Strategic PartnershipsNew agentic AI flow components and partnerships with cloud and silicon leaders deepen Cadence’s role in complex chip design. Technology leadership and ecosystem ties expand addressable market and create switching costs, sustaining long-term license and support revenue growth.
Bears Say
Higher Leverage After M&AThe step-up in absolute debt increases reliance on sustained earnings and cash generation to maintain leverage metrics. Higher debt constrains strategic flexibility, raises interest and covenant risk, and limits optionality for future large investments or buybacks if cash flow softens.
Acquisition Dilution & Margin DragThe Hexagon integration is dilutive in 2026 due to cash financing and integration costs, creating a measurable near‑term margin and EPS headwind. That integration cost profile can suppress margin expansion and cash available for other strategic uses until accretion occurs in 2027.
Moderating Growth & Weaker FCF MomentumThough FCF remains sizeable, recent negative FCF growth and decelerating revenue growth signal potential pressure on earnings momentum. Slower top-line and FCF trends can limit room for margin improvement and constrain capital returns or increased strategic spending over the medium term.
Cadence Design News
CDNS FAQ
What was Cadence Design Systems’s price range in the past 12 months?
Cadence Design Systems lowest stock price was $262.75 and its highest was $383.80 in the past 12 months.
What is Cadence Design Systems’s market cap?
Cadence Design Systems’s market cap is $103.41B.
When is Cadence Design Systems’s upcoming earnings report date?
Cadence Design Systems’s upcoming earnings report date is Jul 27, 2026 which is in 54 days.
How were Cadence Design Systems’s earnings last quarter?
Cadence Design Systems released its earnings results on Apr 27, 2026. The company reported $1.96 earnings per share for the quarter, beating the consensus estimate of $1.906 by $0.054.
Is Cadence Design Systems overvalued?
According to Wall Street analysts Cadence Design Systems’s price is currently Undervalued.
Does Cadence Design Systems pay dividends?
Cadence Design Systems does not currently pay dividends.
What is Cadence Design Systems’s EPS estimate?
Cadence Design Systems’s EPS estimate is 2.05.
How many shares outstanding does Cadence Design Systems have?
Cadence Design Systems has 275,816,000 shares outstanding.
What happened to Cadence Design Systems’s price movement after its last earnings report?
Cadence Design Systems reported an EPS of $1.96 in its last earnings report, beating expectations of $1.906. Following the earnings report the stock price went down -3.337%.
Which hedge fund is a major shareholder of Cadence Design Systems?
Currently, no hedge funds are holding shares in CDNS
What is the TipRanks Smart Score and how is it calculated?
Smart Score combines eight research factors - such as analyst recommendations, hedge fund trends, and technical indicators - to measure a stock’s outlook. These signals are unified into a single score that reflects bullish or bearish momentum. See detailed methodology
Cadence Design Stock Smart Score
Outperform
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Analyst Consensus
Strong Buy
Average Price Target:
$381.69 (22.72% Upside)
$381.69 (22.72% Upside)
Blogger Sentiment
Bullish
CDNS Sentiment 70%
Sector Average ―
Sector Average ―
Hedge Fund Trend
Decreased
By 139.6K Shares
Last Quarter.
Last Quarter.
Insider Transactions
Bought Shares
Worth $6.0K over
the Last 3 Months
the Last 3 Months
Crowd Wisdom
Very Positive
Last 7 Days ▲ 1.0%
Last 30 Days ▲ 3.6%
Last 30 Days ▲ 3.6%
News Sentiment
Bullish
Bullish news 67%
Bearish news 33%
Bearish news 33%
Technicals
SMA
Positive
20 days / 200 days
Momentum
44.27%
12-Months-Change
Fundamentals
Return on Equity
21.06%
Trailing 12-Months
Asset Growth
34.23%
Trailing 12-Months
Company Description
Cadence Design Systems
Cadence Design Systems, Inc. provides software, hardware, services, and reusable integrated circuit (IC) design blocks worldwide. The company offers functional verification services, including emulation and prototyping hardware. Its functional verification offering consists of JasperGold, a formal verification platform; Xcelium, a parallel logic simulation platform; Palladium, an enterprise emulation platform; and Protium, a prototyping platform for chip verification. The company also provides digital IC design and sign off products, including Genus logic synthesis and Joules RTL power solutions, as well as Modus software solution to reduce systems-on-chip design-for-test time; physical implementation tools, such as place and route, optimization, and multiple patterning preparation; and signoff products to signoff the design as ready for silicon manufacturing. In addition, it offers custom IC design and simulation products to create schematic and physical representations of circuits down to the transistor level for analog, mixed-signal, custom digital, memory, and radio frequency designs; and system design and analysis products to develop printed circuit boards and IC packages, as well as to analyze electromagnetic, electro-thermal, and other multi-physics effects. Further, the company provides intellectual property (IP) products comprising pre-verified and customizable functional blocks to integrate into customer's ICs; and verification IP and memory models to emulate and model the expected behavior and interaction of standard industry system interface protocols. Additionally, it offers services related to methodology, education, and hosted design solutions, as well as technical support and maintenance services. The company serves 5G communications, aerospace and defense, automotive, industrial and healthcare, mobile, consumer, and hyperscale computing markets. Cadence Design Systems, Inc. was incorporated in 1987 and is headquartered in San Jose, California.
CDNS Earnings Call
Q1 2026
0:00 / 0:00
Earnings Call Sentiment|Positive
The call reflects strong, broad-based operational and financial momentum: double-digit growth across major businesses (IP, EDA, SDA), record backlog, best-ever hardware quarter, major product launches in agentic AI and strategic partnerships. The principal near-term negatives are integration-related dilution and prudence in guidance tied to the Hexagon acquisition, plus leverage and regional lumpiness. These lowlights are manageable in context and management expects acquisition accretion in 2027.View all CDNS earnings summariesCDNS Revenue Breakdown
70.00% Core EDA
14.00% IP
16.00% System Design and Analysis
CDNS Stock 12 Month Forecast
Average Price Target
$381.69
▲(22.72% Upside)
Technical Analysis
Ownership Overview
0.31% Insiders
24.39% Mutual Funds
16.67% Other Institutional Investors
29.33% Public Companies and Individual Investors