Cadence Design Systems (NASDAQ:CDNS) Releases Q2 2024 Earnings Guidance

Cadence Design Systems (NASDAQ:CDNS) updated its second quarter 2024 earnings guidance on Monday. The company provided earnings per share (EPS) guidance of 1.200-1.240 for the period, compared to the consensus estimate of 1.430. The company issued revenue guidance of $1.0 billion-$1.1 billion, compared to the consensus revenue estimate of $1.1 billion. Cadence Design Systems also updated its FY 2024 guidance to 5.880-5.980 EPS.

Cadence Design Systems Price Performance

Shares of NASDAQ:CDNS traded up $4.77 during midday trading on Monday, hitting $285.02. The company’s stock had a trading volume of 2,739,894 shares, compared to its average volume of 1,514,106. Cadence Design Systems has a 12-month low of $194.01 and a 12-month high of $327.36. The company has a market cap of $77.59 billion, a P/E ratio of 73.36, a price-to-earnings-growth ratio of 3.41 and a beta of 1.04. The company has a debt-to-equity ratio of 0.09, a quick ratio of 1.13 and a current ratio of 1.24. The business’s 50 day simple moving average is $305.52 and its 200 day simple moving average is $280.37.

Cadence Design Systems (NASDAQ:CDNS) last released its quarterly earnings data on Monday, April 22nd. The software maker reported $1.17 earnings per share for the quarter, topping analysts’ consensus estimates of $1.13 by $0.04. Cadence Design Systems had a return on equity of 35.57% and a net margin of 25.46%. The company had revenue of $1.01 billion for the quarter, compared to analyst estimates of $1 billion. During the same quarter in the previous year, the company posted $1.02 earnings per share. The firm’s revenue for the quarter was down 1.2% compared to the same quarter last year. On average, analysts forecast that Cadence Design Systems will post 4.81 EPS for the current year.

Wall Street Analyst Weigh In

CDNS has been the topic of a number of recent research reports. Piper Sandler assumed coverage on Cadence Design Systems in a research report on Thursday, April 4th. They set a neutral rating and a $334.00 price objective on the stock. KeyCorp boosted their price target on Cadence Design Systems from $335.00 to $340.00 and gave the company an overweight rating in a research report on Monday, April 15th. Morgan Stanley upgraded Cadence Design Systems from an equal weight rating to an overweight rating and lifted their target price for the company from $260.00 to $350.00 in a research note on Wednesday, February 14th. Stifel Nicolaus upped their price objective on shares of Cadence Design Systems from $300.00 to $350.00 and gave the stock a buy rating in a research report on Tuesday, February 13th. Finally, Robert W. Baird increased their price target on shares of Cadence Design Systems from $302.00 to $322.00 and gave the stock an outperform rating in a report on Thursday. Three research analysts have rated the stock with a hold rating and seven have given a buy rating to the company. According to MarketBeat, Cadence Design Systems currently has an average rating of Moderate Buy and a consensus target price of $318.10.

Insider Buying and Selling at Cadence Design Systems

In other news, VP Thomas P. Beckley sold 65,268 shares of the firm’s stock in a transaction on Thursday, February 15th. The stock was sold at an average price of $296.98, for a total value of $19,383,290.64. Following the transaction, the vice president now directly owns 156,156 shares in the company, valued at approximately $46,375,208.88. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. In other news, CEO Anirudh Devgan sold 1,454 shares of the business’s stock in a transaction dated Tuesday, February 27th. The shares were sold at an average price of $303.90, for a total transaction of $441,870.60. Following the transaction, the chief executive officer now directly owns 136,455 shares in the company, valued at approximately $41,468,674.50. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, VP Thomas P. Beckley sold 65,268 shares of Cadence Design Systems stock in a transaction dated Thursday, February 15th. The stock was sold at an average price of $296.98, for a total transaction of $19,383,290.64. Following the completion of the sale, the vice president now owns 156,156 shares of the company’s stock, valued at approximately $46,375,208.88. The disclosure for this sale can be found here. In the last 90 days, insiders sold 177,544 shares of company stock worth $53,581,207. 0.62% of the stock is currently owned by corporate insiders.

About 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.