California State Teachers Retirement System Sells 8,870 Shares of Cadence Design Systems, Inc. $CDNS

California State Teachers Retirement System decreased its position in shares of Cadence Design Systems, Inc. (NASDAQ:CDNS) by 2.1% during the first quarter, HoldingsChannel reports. The firm owned 408,278 shares of the software maker’s stock after selling 8,870 shares during the period. California State Teachers Retirement System’s holdings in Cadence Design Systems were worth $113,448,000 at the end of the most recent reporting period.

Other hedge funds have also recently added to or reduced their stakes in the company. Empowered Funds LLC raised its holdings in shares of Cadence Design Systems by 77.2% during the 1st quarter. Empowered Funds LLC now owns 38,948 shares of the software maker’s stock valued at $10,822,000 after buying an additional 16,970 shares in the last quarter. Evelyn Partners Investment Management Services Ltd lifted its position in Cadence Design Systems by 1.1% in the 1st quarter. Evelyn Partners Investment Management Services Ltd now owns 4,341 shares of the software maker’s stock worth $1,206,000 after buying an additional 49 shares during the last quarter. KCM Investment Advisors LLC boosted its stake in Cadence Design Systems by 0.4% in the first quarter. KCM Investment Advisors LLC now owns 8,013 shares of the software maker’s stock worth $2,227,000 after buying an additional 32 shares in the last quarter. Quantinno Capital Management LP boosted its stake in Cadence Design Systems by 21.6% in the first quarter. Quantinno Capital Management LP now owns 184,720 shares of the software maker’s stock worth $51,328,000 after buying an additional 32,772 shares in the last quarter. Finally, Lazard Asset Management LLC grew its position in Cadence Design Systems by 5.2% during the first quarter. Lazard Asset Management LLC now owns 896,325 shares of the software maker’s stock valued at $249,062,000 after acquiring an additional 44,231 shares during the last quarter. Institutional investors own 84.85% of the company’s stock.

Cadence Design Systems Stock Down 3.3%

Shares of NASDAQ CDNS opened at $333.30 on Thursday. The firm’s fifty day moving average is $373.55 and its 200 day moving average is $329.91. Cadence Design Systems, Inc. has a 52 week low of $262.75 and a 52 week high of $416.69. The company has a quick ratio of 1.32, a current ratio of 1.74 and a debt-to-equity ratio of 0.36. The company has a market cap of $91.93 billion, a price-to-earnings ratio of 66.26, a PEG ratio of 4.07 and a beta of 1.15.

Cadence Design Systems (NASDAQ:CDNS) last announced its quarterly earnings results on Monday, July 27th. The software maker reported $2.11 earnings per share for the quarter, beating the consensus estimate of $2.05 by $0.06. The business had revenue of $1.58 billion during the quarter, compared to analysts’ expectations of $1.58 billion. Cadence Design Systems had a net margin of 23.60% and a return on equity of 27.98%. The firm’s revenue for the quarter was up 24.2% compared to the same quarter last year. During the same quarter in the prior year, the company posted $1.65 EPS. Cadence Design Systems has set its FY 2026 guidance at 8.050-8.150 EPS and its Q3 2026 guidance at 2.010-2.070 EPS. On average, equities research analysts expect that Cadence Design Systems, Inc. will post 6.25 earnings per share for the current year.

Wall Street Analysts Forecast Growth

CDNS has been the topic of several research reports. KeyCorp reissued an “overweight” rating on shares of Cadence Design Systems in a research note on Tuesday. Needham & Company LLC reaffirmed a “buy” rating and set a $400.00 target price on shares of Cadence Design Systems in a report on Tuesday. Morgan Stanley reiterated an “overweight” rating and issued a $400.00 target price on shares of Cadence Design Systems in a research report on Wednesday. Robert W. Baird boosted their price target on shares of Cadence Design Systems from $415.00 to $420.00 and gave the stock an “outperform” rating in a research note on Tuesday. Finally, Berenberg Bank set a $440.00 price target on shares of Cadence Design Systems in a research note on Wednesday, May 27th. Thirteen equities research analysts have rated the stock with a Buy rating and three have given a Hold rating to the company. According to MarketBeat.com, Cadence Design Systems presently has a consensus rating of “Moderate Buy” and a consensus target price of $405.69.

More Cadence Design Systems News

Here are the key news stories impacting Cadence Design Systems this week:

• Positive Sentiment: Cadence reported second-quarter adjusted earnings of $2.11 per share, above the $2.05 consensus estimate, while revenue reached approximately $1.58 billion, up 24.2% year over year and broadly in line with expectations. Cadence Q2 Earnings Top Estimates, 2026 Revenue Outlook Raised
• Positive Sentiment: Management raised its 2026 outlook, including full-year adjusted EPS guidance of $8.05 to $8.15, and indicated roughly 19% revenue growth. A record $8.1 billion backlog provides visibility into future results. Cadence signals 19 percent 2026 revenue growth
• Positive Sentiment: Demand for Cadence’s electronic-design automation tools is broadening as customers develop AI and “agentic AI” systems, increasing usage of core design software and supporting growth across the company’s portfolio. Cadence rises after Q2 beat
• Positive Sentiment: Several analysts raised their price targets to $420, including Bank of America, Rosenblatt Securities and Robert W. Baird, while maintaining positive ratings. Needham reaffirmed its buy rating. Analyst price-target changes
• Neutral Sentiment: Piper Sandler raised its target to $349 but retained a neutral rating, suggesting more limited near-term upside than other analysts. Piper Sandler rating update
• Negative Sentiment: Despite the strong fundamentals, CDNS trades at a high valuation—about 66 times earnings and a PEG ratio near 4—leaving the stock vulnerable to profit-taking or a “sell-the-news” reaction after its results and rally. Its shares are also below the 50-day moving average, indicating continued near-term technical pressure.

Insider Activity at Cadence Design Systems

In other news, VP Paul Scannell sold 7,081 shares of the stock in a transaction dated Monday, June 1st. The shares were sold at an average price of $393.91, for a total transaction of $2,789,276.71. Following the completion of the sale, the vice president directly owned 32,181 shares in the company, valued at approximately $12,676,417.71. This represents a 18.04% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director James D. Plummer sold 1,511 shares of the firm’s stock in a transaction dated Thursday, June 11th. The stock was sold at an average price of $381.34, for a total value of $576,204.74. Following the completion of the sale, the director directly owned 23,264 shares in the company, valued at $8,871,493.76. The trade was a 6.10% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 157,057 shares of company stock valued at $60,272,277 in the last quarter. 0.49% of the stock is currently owned by company insiders.

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.