Needham & Company LLC Forecasts Strong Price Appreciation for Cadence Design Systems (NASDAQ:CDNS) Stock

Cadence Design Systems (NASDAQ:CDNS) had its price target raised by equities research analysts at Needham & Company LLC from $390.00 to $400.00 in a research report issued on Monday,Benzinga reports. The firm presently has a “buy” rating on the software maker’s stock. Needham & Company LLC’s target price would indicate a potential upside of 28.60% from the stock’s previous close.

CDNS has been the topic of a number of other research reports. Morgan Stanley dropped their price target on shares of Cadence Design Systems from $385.00 to $370.00 and set an “overweight” rating on the stock in a research report on Wednesday, February 18th. Weiss Ratings reissued a “hold (c)” rating on shares of Cadence Design Systems in a research report on Monday, December 29th. Wells Fargo & Company dropped their price target on shares of Cadence Design Systems from $410.00 to $375.00 and set an “overweight” rating on the stock in a research report on Wednesday, February 18th. Rosenblatt Securities reissued a “buy” rating and issued a $360.00 price target on shares of Cadence Design Systems in a research report on Thursday, February 26th. Finally, Piper Sandler dropped their price target on shares of Cadence Design Systems from $355.00 to $319.00 and set a “neutral” rating on the stock in a research report on Wednesday, February 18th. Fifteen equities research analysts have rated the stock with a Buy rating and three have given a Hold rating to the company’s stock. According to data from MarketBeat, the company currently has an average rating of “Moderate Buy” and an average price target of $377.06.

Cadence Design Systems Price Performance

Shares of CDNS opened at $311.03 on Monday. The firm has a market cap of $85.87 billion, a PE ratio of 76.61, a PEG ratio of 3.74 and a beta of 1.04. The firm’s 50 day moving average price is $290.81 and its 200 day moving average price is $309.98. The company has a debt-to-equity ratio of 0.45, a quick ratio of 2.67 and a current ratio of 2.86. Cadence Design Systems has a twelve month low of $247.70 and a twelve month high of $376.45.

Cadence Design Systems (NASDAQ:CDNS) last released its quarterly earnings results on Tuesday, February 17th. The software maker reported $1.99 EPS for the quarter, beating analysts’ consensus estimates of $1.91 by $0.08. Cadence Design Systems had a net margin of 20.93% and a return on equity of 29.34%. The company had revenue of $1.44 billion for the quarter, compared to analyst estimates of $1.42 billion. During the same quarter last year, the firm posted $1.88 earnings per share. The company’s quarterly revenue was up 6.2% compared to the same quarter last year. Cadence Design Systems has set its Q1 2026 guidance at 1.890-1.950 EPS and its FY 2026 guidance at 8.050-8.150 EPS. As a group, research analysts expect that Cadence Design Systems will post 5.41 EPS for the current fiscal year.

Insider Buying and Selling at Cadence Design Systems

In other news, Director Ita M. Brennan sold 180 shares of the firm’s stock in a transaction on Tuesday, March 17th. The shares were sold at an average price of $295.03, for a total value of $53,105.40. Following the sale, the director owned 7,470 shares in the company, valued at approximately $2,203,874.10. This trade represents a 2.35% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, VP Paul Cunningham sold 1,000 shares of the firm’s stock in a transaction on Wednesday, April 1st. The stock was sold at an average price of $280.19, for a total transaction of $280,190.00. Following the completion of the sale, the vice president owned 128,586 shares in the company, valued at approximately $36,028,511.34. The trade was a 0.77% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders sold 3,185 shares of company stock worth $927,728. 0.49% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Cadence Design Systems

Several hedge funds and other institutional investors have recently modified their holdings of CDNS. Brighton Jones LLC grew its stake in shares of Cadence Design Systems by 80.2% in the fourth quarter. Brighton Jones LLC now owns 1,519 shares of the software maker’s stock worth $456,000 after acquiring an additional 676 shares during the last quarter. Integrated Wealth Concepts LLC boosted its stake in Cadence Design Systems by 3.8% during the first quarter. Integrated Wealth Concepts LLC now owns 2,203 shares of the software maker’s stock worth $560,000 after buying an additional 80 shares in the last quarter. Thompson Davis & CO. Inc. acquired a new stake in Cadence Design Systems during the second quarter worth $205,000. NewEdge Advisors LLC boosted its stake in Cadence Design Systems by 39.3% during the second quarter. NewEdge Advisors LLC now owns 34,787 shares of the software maker’s stock worth $10,720,000 after buying an additional 9,807 shares in the last quarter. Finally, Glenview Trust co acquired a new stake in Cadence Design Systems during the second quarter worth $226,000. Institutional investors and hedge funds own 84.85% of the company’s stock.

About Cadence Design Systems

Cadence Design Systems, Inc (NASDAQ: CDNS) is a global provider of electronic design automation (EDA) software, hardware and intellectual property used to design and verify advanced semiconductor chips, systems-on-chip (SoCs), printed circuit boards (PCBs) and packaging. Headquartered in San Jose, California and founded in 1988, Cadence serves semiconductor companies, original equipment manufacturers and system designers across the globe, helping customers accelerate design cycles and manage the complexity of modern integrated systems.

The company’s offerings span software tools for digital, custom/analog and mixed-signal design, verification and signoff, as well as solutions for system-level modeling, thermal and signal integrity analysis, and PCB and package design.