Cadence Design Systems, Inc. (NASDAQ:CDNS) Given Consensus Recommendation of “Moderate Buy” by Analysts

Cadence Design Systems, Inc. (NASDAQ:CDNS) has received a consensus recommendation of “Moderate Buy” from the fifteen brokerages that are presently covering the company, MarketBeat.com reports. One equities research analyst has rated the stock with a sell recommendation, two have assigned a hold recommendation and twelve have assigned a buy recommendation to the company. The average 12-month price target among analysts that have covered the stock in the last year is $364.3333.

Several equities research analysts recently issued reports on CDNS shares. Needham & Company LLC lifted their price objective on Cadence Design Systems from $325.00 to $390.00 and gave the company a “buy” rating in a research note on Tuesday, July 29th. Robert W. Baird lifted their price objective on Cadence Design Systems from $340.00 to $380.00 and gave the company an “outperform” rating in a research note on Monday, July 28th. KeyCorp lifted their price target on Cadence Design Systems from $358.00 to $405.00 and gave the stock an “overweight” rating in a research note on Tuesday, July 29th. The Goldman Sachs Group initiated coverage on Cadence Design Systems in a research note on Thursday, July 10th. They set a “buy” rating and a $380.00 price target for the company. Finally, Piper Sandler reaffirmed a “neutral” rating and set a $355.00 price target (up previously from $328.00) on shares of Cadence Design Systems in a research note on Tuesday, July 29th.

Cadence Design Systems Price Performance

NASDAQ:CDNS opened at $373.35 on Monday. The firm has a market capitalization of $101.73 billion, a price-to-earnings ratio of 100.91, a P/E/G ratio of 4.79 and a beta of 1.00. Cadence Design Systems has a 52-week low of $221.56 and a 52-week high of $376.45. The stock has a fifty day moving average of $346.27 and a 200 day moving average of $306.10. The company has a debt-to-equity ratio of 0.49, a quick ratio of 2.67 and a current ratio of 2.82.

Cadence Design Systems (NASDAQ:CDNS) last posted its quarterly earnings data on Monday, July 28th. The software maker reported $1.65 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.56 by $0.09. The company had revenue of $1.28 billion during the quarter, compared to analyst estimates of $1.25 billion. Cadence Design Systems had a return on equity of 29.65% and a net margin of 19.88%.The firm’s quarterly revenue was up 20.2% on a year-over-year basis. During the same quarter last year, the company earned $1.28 earnings per share. Cadence Design Systems has set its Q3 2025 guidance at 1.750-1.810 EPS. FY 2025 guidance at 6.850-6.950 EPS. On average, research analysts expect that Cadence Design Systems will post 5.41 EPS for the current fiscal year.

Insider Activity

In other news, Director Ita M. Brennan sold 180 shares of Cadence Design Systems stock in a transaction dated Wednesday, September 10th. The stock was sold at an average price of $334.51, for a total value of $60,211.80. Following the transaction, the director owned 7,830 shares in the company, valued at approximately $2,619,213.30. The trade was a 2.25% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, VP Paul Cunningham sold 1,000 shares of Cadence Design Systems stock in a transaction dated Tuesday, September 2nd. The stock was sold at an average price of $343.95, for a total value of $343,950.00. Following the completion of the transaction, the vice president owned 102,499 shares in the company, valued at approximately $35,254,531.05. This represents a 0.97% decrease in their position. The disclosure for this sale can be found here. In the last ninety days, insiders have sold 3,180 shares of company stock valued at $1,069,232. Corporate insiders own 1.99% of the company’s stock.

Institutional Inflows and Outflows

Several large investors have recently modified their holdings of the stock. Tiemann Investment Advisors LLC increased its holdings in shares of Cadence Design Systems by 2.9% in the second quarter. Tiemann Investment Advisors LLC now owns 1,050 shares of the software maker’s stock worth $324,000 after buying an additional 30 shares during the period. Petros Family Wealth LLC increased its holdings in Cadence Design Systems by 2.6% during the 2nd quarter. Petros Family Wealth LLC now owns 1,277 shares of the software maker’s stock valued at $394,000 after purchasing an additional 32 shares during the period. Hemington Wealth Management raised its position in Cadence Design Systems by 14.0% during the 2nd quarter. Hemington Wealth Management now owns 261 shares of the software maker’s stock valued at $80,000 after purchasing an additional 32 shares during the last quarter. Legacy Capital Wealth Partners LLC raised its position in Cadence Design Systems by 2.8% during the 1st quarter. Legacy Capital Wealth Partners LLC now owns 1,214 shares of the software maker’s stock valued at $309,000 after purchasing an additional 33 shares during the last quarter. Finally, Empower Advisory Group LLC raised its position in Cadence Design Systems by 4.1% during the 1st quarter. Empower Advisory Group LLC now owns 911 shares of the software maker’s stock valued at $232,000 after purchasing an additional 36 shares during the last quarter. Hedge funds and other institutional investors own 84.85% of the company’s stock.

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.