Cadence Design Systems, Inc. (NASDAQ:CDNS) Receives $380.72 Average Target Price from Brokerages

Shares of Cadence Design Systems, Inc. (NASDAQ:CDNS) have received an average rating of “Moderate Buy” from the seventeen ratings firms that are presently covering the firm, Marketbeat Ratings reports. Four analysts have rated the stock with a hold recommendation and thirteen have issued a buy recommendation on the company. The average twelve-month price target among analysts that have updated their coverage on the stock in the last year is $379.5882.

A number of brokerages have recently weighed in on CDNS. Wells Fargo & Company boosted their price objective on shares of Cadence Design Systems from $405.00 to $410.00 and gave the stock an “overweight” rating in a research note on Tuesday, October 28th. Weiss Ratings reissued a “hold (c)” rating on shares of Cadence Design Systems in a research report on Monday, December 29th. Robert W. Baird raised their price target on Cadence Design Systems from $390.00 to $418.00 and gave the company an “outperform” rating in a research report on Tuesday, October 28th. BNP Paribas Exane assumed coverage on Cadence Design Systems in a research note on Thursday, October 2nd. They issued an “outperform” rating and a $400.00 price objective on the stock. Finally, Wolfe Research reissued an “outperform” rating and set a $385.00 price objective on shares of Cadence Design Systems in a research report on Tuesday, October 28th.

Cadence Design Systems Price Performance

Shares of NASDAQ:CDNS opened at $317.09 on Friday. The stock has a market capitalization of $86.31 billion, a P/E ratio of 81.72, a P/E/G ratio of 3.50 and a beta of 1.02. The business has a 50-day moving average of $317.10 and a two-hundred day moving average of $333.26. Cadence Design Systems has a fifty-two week low of $221.56 and a fifty-two week high of $376.45. The company has a debt-to-equity ratio of 0.48, a current ratio of 3.05 and a quick ratio of 2.84.

Cadence Design Systems (NASDAQ:CDNS) last issued its quarterly earnings data on Monday, October 27th. The software maker reported $1.93 earnings per share for the quarter, beating analysts’ consensus estimates of $1.79 by $0.14. Cadence Design Systems had a return on equity of 30.13% and a net margin of 20.35%.The business had revenue of $1.34 billion for the quarter, compared to the consensus estimate of $1.32 billion. During the same period last year, the business earned $1.64 EPS. The firm’s revenue was up 10.1% compared to the same quarter last year. Cadence Design Systems has set its FY 2025 guidance at 7.020-7.080 EPS and its Q4 2025 guidance at 1.880-1.940 EPS. On average, equities research analysts predict that Cadence Design Systems will post 5.41 EPS for the current fiscal year.

Insider Activity at Cadence Design Systems

In related news, CFO John M. Wall sold 27,805 shares of the business’s stock in a transaction on Tuesday, December 16th. The shares were sold at an average price of $318.57, for a total transaction of $8,857,838.85. Following the transaction, the chief financial officer owned 69,957 shares of the company’s stock, valued at approximately $22,286,201.49. The trade was a 28.44% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, VP Paul Cunningham sold 1,000 shares of the stock in a transaction on Monday, December 1st. The shares were sold at an average price of $312.64, for a total transaction of $312,640.00. Following the completion of the sale, the vice president directly owned 97,067 shares of the company’s stock, valued at approximately $30,347,026.88. This trade represents a 1.02% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last quarter, insiders sold 62,025 shares of company stock valued at $20,369,946. 1.99% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently made changes to their positions in the stock. Y.D. More Investments Ltd acquired a new stake in Cadence Design Systems during the third quarter worth about $26,000. Caitlin John LLC acquired a new position in Cadence Design Systems in the 3rd quarter valued at approximately $29,000. Lodestone Wealth Management LLC bought a new stake in shares of Cadence Design Systems in the 4th quarter worth approximately $30,000. Barrett & Company Inc. acquired a new stake in shares of Cadence Design Systems during the 2nd quarter worth approximately $31,000. Finally, Imprint Wealth LLC bought a new stake in shares of Cadence Design Systems during the third quarter valued at approximately $31,000. Institutional investors own 84.85% of the company’s stock.

Cadence Design Systems Company Profile

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.