Equities Analysts Set Expectations for Cadence Design Systems, Inc.’s Q1 2025 Earnings (NASDAQ:CDNS)

Cadence Design Systems, Inc. (NASDAQ:CDNS) – Research analysts at Griffin Securities raised their Q1 2025 earnings estimates for shares of Cadence Design Systems in a research note issued on Tuesday, April 23rd. Griffin Securities analyst J. Vleeschhouwer now forecasts that the software maker will post earnings per share of $1.17 for the quarter, up from their prior forecast of $1.12. The consensus estimate for Cadence Design Systems’ current full-year earnings is $4.81 per share.

Cadence Design Systems (NASDAQ:CDNS) last announced its quarterly earnings data on Monday, April 22nd. The software maker reported $1.17 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.13 by $0.04. Cadence Design Systems had a return on equity of 32.44% and a net margin of 25.68%. The firm had revenue of $1.01 billion for the quarter, compared to analysts’ expectations of $1 billion. During the same period last year, the firm earned $1.02 earnings per share. The company’s revenue for the quarter was down 1.2% compared to the same quarter last year.

Several other brokerages have also recently issued reports on CDNS. Wells Fargo & Company raised their target price on shares of Cadence Design Systems from $330.00 to $350.00 and gave the stock an “overweight” rating in a report on Tuesday, April 16th. Piper Sandler dropped their target price on shares of Cadence Design Systems from $334.00 to $318.00 and set a “neutral” rating for the company in a report on Tuesday. Robert W. Baird boosted their price target on Cadence Design Systems from $302.00 to $322.00 and gave the company an “outperform” rating in a report on Thursday, April 18th. KeyCorp upped their price target on Cadence Design Systems from $335.00 to $340.00 and gave the company an “overweight” rating in a research report on Monday, April 15th. Finally, Needham & Company LLC reiterated a “buy” rating and issued a $320.00 price objective on shares of Cadence Design Systems in a research report on Friday, April 19th. Two equities research analysts have rated the stock with a hold rating and eight have assigned a buy rating to the company’s stock. According to MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus price target of $316.50.

Cadence Design Systems Price Performance

CDNS opened at $277.08 on Thursday. The company has a debt-to-equity ratio of 0.08, a current ratio of 1.32 and a quick ratio of 1.13. Cadence Design Systems has a 1 year low of $198.92 and a 1 year high of $327.36. The stock’s 50 day simple moving average is $304.01 and its 200 day simple moving average is $280.94. The firm has a market cap of $75.43 billion, a price-to-earnings ratio of 72.16, a PEG ratio of 3.43 and a beta of 1.04.

Institutional Investors Weigh In On Cadence Design Systems

Hedge funds have recently added to or reduced their stakes in the stock. Norges Bank purchased a new position in shares of Cadence Design Systems in the 4th quarter worth about $1,141,059,000. Nordea Investment Management AB grew its holdings in shares of Cadence Design Systems by 124.8% during the fourth quarter. Nordea Investment Management AB now owns 1,895,230 shares of the software maker’s stock valued at $515,995,000 after buying an additional 1,052,228 shares during the last quarter. Wellington Management Group LLP grew its holdings in shares of Cadence Design Systems by 143.3% during the third quarter. Wellington Management Group LLP now owns 1,634,920 shares of the software maker’s stock valued at $383,062,000 after buying an additional 962,987 shares during the last quarter. Jennison Associates LLC raised its holdings in Cadence Design Systems by 8.7% in the 3rd quarter. Jennison Associates LLC now owns 7,047,231 shares of the software maker’s stock worth $1,651,166,000 after acquiring an additional 564,085 shares during the last quarter. Finally, Assenagon Asset Management S.A. raised its holdings in Cadence Design Systems by 261.5% in the 4th quarter. Assenagon Asset Management S.A. now owns 620,561 shares of the software maker’s stock worth $169,022,000 after acquiring an additional 448,918 shares during the last quarter. 84.85% of the stock is owned by institutional investors.

Insider Activity

In other Cadence Design Systems news, Director James D. Plummer sold 2,412 shares of the stock in a transaction on Thursday, March 7th. The stock was sold at an average price of $315.40, for a total value of $760,744.80. Following the completion of the transaction, the director now owns 22,923 shares in the company, valued at $7,229,914.20. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. In other Cadence Design Systems news, Director James D. Plummer sold 2,412 shares of the company’s stock in a transaction dated Thursday, March 7th. The shares were sold at an average price of $315.40, for a total value of $760,744.80. Following the sale, the director now owns 22,923 shares in the company, valued at $7,229,914.20. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, Director Vincentelli Albert Sangiovanni sold 1,500 shares of the firm’s stock in a transaction that occurred on Monday, April 15th. The shares were sold at an average price of $308.83, for a total transaction of $463,245.00. Following the transaction, the director now directly owns 50,183 shares of the company’s stock, valued at approximately $15,498,015.89. The disclosure for this sale can be found here. Insiders sold a total of 173,044 shares of company stock worth $52,231,207 in the last quarter. 1.99% of the stock is owned by company insiders.

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.