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

Cadence Design Systems, Inc. (NASDAQ:CDNS) has earned an average rating of “Moderate Buy” from the seventeen research firms that are presently covering the firm, Marketbeat.com reports. Four analysts have rated the stock with a hold recommendation and thirteen have assigned a buy recommendation to the company. The average 1-year price target among brokerages that have issued ratings on the stock in the last year is $379.5882.

Several equities research analysts recently commented on CDNS shares. Robert W. Baird increased their price objective 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. Wolfe Research reaffirmed an “outperform” rating and set a $385.00 price target on shares of Cadence Design Systems in a report on Tuesday, October 28th. BNP Paribas Exane initiated coverage on shares of Cadence Design Systems in a research note on Thursday, October 2nd. They issued an “outperform” rating and a $400.00 price target for the company. Oppenheimer upgraded shares of Cadence Design Systems from an “underperform” rating to a “market perform” rating and set a $275.00 price objective on the stock in a research report on Monday, December 1st. Finally, Wells Fargo & Company raised their target price on shares of Cadence Design Systems from $405.00 to $410.00 and gave the stock an “overweight” rating in a report on Tuesday, October 28th.

Cadence Design Systems Price Performance

Shares of CDNS opened at $318.32 on Friday. Cadence Design Systems has a twelve month low of $221.56 and a twelve month high of $376.45. The company has a market capitalization of $86.65 billion, a P/E ratio of 82.04, a price-to-earnings-growth ratio of 3.55 and a beta of 1.02. The firm has a 50 day moving average of $317.17 and a 200 day moving average of $333.31. The company has a quick ratio of 2.84, a current ratio of 3.05 and a debt-to-equity ratio of 0.48.

Cadence Design Systems (NASDAQ:CDNS) last issued its earnings results on Monday, October 27th. The software maker reported $1.93 EPS for the quarter, beating the consensus estimate of $1.79 by $0.14. The business had revenue of $1.34 billion for the quarter, compared to the consensus estimate of $1.32 billion. Cadence Design Systems had a return on equity of 30.13% and a net margin of 20.35%.The company’s revenue was up 10.1% compared to the same quarter last year. During the same period last year, the business posted $1.64 EPS. 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. As a group, equities research analysts anticipate that Cadence Design Systems will post 5.41 earnings per share for the current fiscal year.

Insider Transactions at Cadence Design Systems

In related news, CFO John M. Wall sold 27,805 shares of Cadence Design Systems stock in a transaction on Tuesday, December 16th. The stock was sold at an average price of $318.57, for a total value of $8,857,838.85. Following the completion of the sale, the chief financial officer owned 69,957 shares of the company’s stock, valued at $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 at this link. Also, CEO Anirudh Devgan sold 20,000 shares of the company’s stock in a transaction on Friday, December 5th. The shares were sold at an average price of $340.00, for a total value of $6,800,000.00. Following the sale, the chief executive officer owned 195,844 shares of the company’s stock, valued at approximately $66,586,960. This trade represents a 9.27% decrease in their position. The SEC filing for this sale provides additional information. Over the last quarter, insiders sold 62,025 shares of company stock worth $20,369,946. Company insiders own 1.99% of the company’s stock.

Hedge Funds Weigh In On Cadence Design Systems

A number of institutional investors and hedge funds have recently made changes to their positions in the business. Y.D. More Investments Ltd purchased a new stake in Cadence Design Systems during the third quarter valued at approximately $26,000. Caitlin John LLC bought a new stake in shares of Cadence Design Systems during the 3rd quarter valued at $29,000. Lodestone Wealth Management LLC purchased a new stake in shares of Cadence Design Systems in the 4th quarter worth $30,000. Barrett & Company Inc. bought a new position in Cadence Design Systems in the 2nd quarter worth $31,000. Finally, Imprint Wealth LLC purchased a new position in Cadence Design Systems during the third quarter valued at $31,000. Hedge funds and other institutional investors 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.