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Cadence Design Systems, Inc.

CDNS

Last
$350.01
Day
+0.3%
1y
+0.0%
5y
+135.6%
52w
-16.3%
SPY YTD
+13.3%
XLK
+37.1%
Earnings
2026-10-2616d
EMA 21
330.75
EMA 50
327.22
EMA 200
329.57
20d high
-3.6%
5y high
-16.3%
5y range
76th
Website · 15,445 employees · United States

Positions held

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Score
55
Hold
swing
Signal
Strong Buy
Target
$370.92
Stop
$330.44
Stop distance
5.6%
Target vs last
+6.0%

Bull / bear case

Site-generated summary from fundamentals, news, and score — not investment advice. As of 2026-10-07.

Bull case
  • Cadence Design Systems operates in the growing semiconductor design software industry, which is critical for the advancement of technology across various sectors.
  • Revenue increased by 7% compared to the prior quarter, reaching $1.6 billion.
  • The company has a strong profit margin of 23.6%, indicating efficient cost management.
Bear case
  • The high trailing P/E ratio of 71.48 suggests that the stock may be overvalued compared to its earnings.
  • Gross margin decreased slightly to 84.9% from 85.4% in the prior quarter.
  • The debt-to-equity ratio of 38.66 indicates a relatively high level of debt compared to equity, which could pose risks.

Fundamentals

Market cap$96.07BEnterprise value$97.19BTrailing P/E69.35Forward P/E36.46
PEG2.72Price / book14.01Beta1.13Dividend yield0.00%
Revenue growth24.2%Earnings growth125.4%Gross margin85.9%Operating margin28.6%
Profit margin23.6%ROE23.2%ROA10.6%Debt / equity0.39
Current ratio1.74Free cash flow$1.61BAnalyst recommendationstrong_buyMean target$406.24
52w high$416.6952w low$262.75

Quarterly

2026-Q22026-Q12025-Q42025-Q32025-Q2
Revenue$1.6B$1.5B$1.4B$1.3B$1.3B
Op margin28.4%29.3%32.3%33.8%29.0%
Net income$367M$336M$388M$287M$160M
Gross margin84.9%85.4%86.9%86.4%85.6%
Gross profit$1.3B$1.3B$1.3B$1.2B$1.1B
Operating income$450M$431M$465M$453M$370M
  • Revenue +7% vs prior quarter ($1.6B vs $1.5B).
  • Gross margin 84.9% (was 85.4% prior quarter).

Yearly (6y)

2025202420232022
Revenue$5.3B$4.6B$4.1B$3.6B
Op margin31.1%29.8%30.9%30.1%
Net income$1.1B$1.1B$1.0B$849M
Gross margin86.4%86.0%89.4%89.6%
Gross profit$4.6B$4.0B$3.7B$3.2B
Operating income$1.6B$1.4B$1.3B$1.1B
Headline scan

No flags

• No distress or material-risk keywords in recent headlines (keyword scan only — not a guarantee).

News

CDNS · daily-0.4% over 260 sessions
Close EMA21 EMA50 EMA200
255.05297.39339.72382.05424.392025-092025-112026-012026-042026-062026-082026-10
Quarterly · revenue, net income, margins
Revenue Net income Gross margin Op margin
$0M$396M$792M$1.2B$1.6B0%43%87%2025-Q22025-Q32025-Q42026-Q12026-Q2