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Cadence Design Systems, Inc. (CDNS)

292.70 -12.18 (-3.99%)
At close: September 4 at 4:00:01 PM EDT
293.54 +0.84 (+0.29%)
After hours: September 4 at 7:59:03 PM EDT
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What's happening with CDNS?

27m ago
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Cadence Design Systems (CDNS) is making headlines with its recent PCIe 6.0 compliance milestone, signaling strong growth potential in AI-driven chip design. Despite a 26.4% declinefrom its 52-week high, analysts maintain a 'Strong Buy'consensus with a mean price target of $409.18, indicating substantial upside potential.

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  • Previous Close 304.88
  • Open 305.95
  • Bid 340.58 x 100
  • Ask 306.08 x 100
  • Day's Range 287.90 - 308.17
  • 52 Week Range 262.75 - 416.69
  • Volume 4,223,335
  • Avg. Volume 2,324,644
  • Market Cap (intraday) 80.731B
  • Beta (5Y Monthly) 1.14
  • PE Ratio (TTM) 60.60
  • EPS (TTM) 4.83
  • Earnings Date (est.) Oct 26, 2026
  • Forward Dividend & Yield --
  • Ex-Dividend Date --
  • 1y Target Est 403.12

Cadence Design Systems, Inc. develops computational, AI-driven software, hardware, and silicon intellectual property products and solutions. The company offers functional verification services, such as Jasper, a formal verification platform; Xcelium, a parallel logic simulation platform; Verisium, a generative AI solution; Palladium, an enterprise emulation platform; and Protium, a prototyping platform for chip verification, as well as digital IC design and sign off products, including In novus platform; and custom IC design and simulation product include Virtuoso, a platform to design and verify analog. It also provides Xcelium logic simulator and other front-end verification and virtual prototyping technologies; controllers and physical interfaces; PCI Express, universal accelerator and compute express links, and multiple memory interfaces; and Ten Silica, a digital signal processor. In addition, the company's design IP portfolio includes serializer/deserializer, peripheral component interconnect, USB, and other standard protocols; and Secure-IC, a solution for embedded security IP. Additionally, it provides System Design and Analysis (SD&A) platform, a solution that enables end-to-end system-level design and verification across chips, packages, PCBs, and electronic systems; Allegro X and Orca X platforms for PCB and advanced packaging; Sigrity X for signal and power integrity; AIR for RF design; Fidelity for computational fluid dynamics; Celsius for thermal and airflow analysis; Clarity 3D solver for electromagnetic and power electronics analysis and simulation; Integrity 3D-IC solution for 3D-IC and multi-chiplet designs; the Optimality Intelligent System Explorer, Reality digital twin, and Millennium enterprise multiphasic platforms; Allegro system design platform; and molecular modeling and simulation solutions and services. The company has a strategic collaboration with NVIDIA. The company was incorporated in 1987 and is headquartered in San Jose, California.

www.cadence.com

15,445

Full Time Employees

December 31

Fiscal Year Ends

Technology

Sector

Performance Overview

Trailing total returns as of 9/4/2026, which may include dividends or other distributions. Benchmark is S&P 500 (^GSPC) .

YTD Return

CDNS
6.36%
S&P 500 (^GSPC)
12.75%

1-Year Return

CDNS
16.21%
S&P 500 (^GSPC)
18.71%

3-Year Return

CDNS
20.18%
S&P 500 (^GSPC)
70.93%

5-Year Return

CDNS
76.63%
S&P 500 (^GSPC)
70.18%

Earnings Trends

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Earnings Per Share

GAAP
Normalized
GAAP
Normalized

Revenue vs. Earnings

Annual
Quarterly
Annual
Quarterly
Q2 FY26
Revenue 1.58B
Earnings 367.08M
Profit Margin 23.17%

Q3

FY25

Q4

FY25

Q1

FY26

Q2

FY26

0
500M
1B
2B
22.0%
23.0%
24.0%
25.0%
26.0%

Analyst Insights

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Top Analyst

B of A Securities
73/100
Latest Rating
Buy

Analyst Price Targets

300.00
403.12 Average
292.70 Current
470.00 High

Analyst Recommendations

  • Strong Buy
  • Buy
  • Hold
  • Underperform
  • Sell

Latest Rating

Date 7/28/2026
Analyst B of A Securities
Rating Action Maintains
Rating Buy
Price Action Raises
Price Target 400 -> 420

Statistics

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Valuation Measures

Annual
As of 9/2/2026
  • Market Cap

    84.45B

  • Enterprise Value

    85.67B

  • Trailing P/E

    60.97

  • Forward P/E

    31.65

  • PEG Ratio (5yr expected)

    2.32

  • Price/Sales (ttm)

    14.40

  • Price/Book (mrq)

    12.31

  • Enterprise Value/Revenue

    14.67

  • Enterprise Value/EBITDA

    37.63

Financial Highlights

Profitability and Income Statement

  • Profit Margin

    23.60%

  • Return on Assets (ttm)

    10.61%

  • Return on Equity (ttm)

    23.23%

  • Revenue (ttm)

    5.84B

  • Net Income Avi to Common (ttm)

    1.38B

  • Diluted EPS (ttm)

    4.83

Balance Sheet and Cash Flow

  • Total Cash (mrq)

    1.53B

  • Total Debt/Equity (mrq)

    38.66%

  • Levered Free Cash Flow (ttm)

    1.61B

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Company Insights

Fair Value

292.70 Current

Dividend Score

0 Low
Sector Avg.
100 High

Hiring Score

0 Low
Sector Avg.
100 High

Insider Sentiment Score

0 Low
Sector Avg.
100 High

Research Reports

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  • Lowering target price to $351.00

    Cadence Design Systems Inc has an Investment Rating of BUY; a target price of $351.000000; an Industry Subrating of High; a Management Subrating of High; a Safety Subrating of High; a Financial Strength Subrating of High; a Growth Subrating of High; and a Value Subrating of Medium.

    Rating
    Price Target
  • Raising target price to $372.00

    Cadence Design Systems Inc has an Investment Rating of BUY; a target price of $372.000000; an Industry Subrating of High; a Management Subrating of High; a Safety Subrating of High; a Financial Strength Subrating of High; a Growth Subrating of High; and a Value Subrating of High.

    Rating
    Price Target
  • Lowering target price to $355.00

    Cadence Design Systems Inc has an Investment Rating of BUY; a target price of $355.000000; an Industry Subrating of High; a Management Subrating of High; a Safety Subrating of High; a Financial Strength Subrating of High; a Growth Subrating of High; and a Value Subrating of Medium.

    Rating
    Price Target
  • Lowering target price to $367.00

    Cadence Design Systems Inc has an Investment Rating of BUY; a target price of $367.000000; an Industry Subrating of High; a Management Subrating of High; a Safety Subrating of High; a Financial Strength Subrating of High; a Growth Subrating of High; and a Value Subrating of Medium.

    Rating
    Price Target

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