Cadence Design Systems (NASDAQ:CDNS) Releases Q2 Earnings Guidance

Cadence Design Systems (NASDAQ:CDNS) updated its second quarter earnings guidance on Monday. The company provided earnings per share guidance of $1.20-$1.24 for the period, compared to the consensus earnings per share estimate of $1.43. The company issued revenue guidance of $1.03-$1.05 billion, compared to the consensus revenue estimate of $1.11 billion. Cadence Design Systems also updated its FY 2024 guidance to 5.880-5.980 EPS.

Analyst Ratings Changes

Several research firms have commented on CDNS. Needham & Company LLC reiterated a buy rating and issued a $320.00 price objective on shares of Cadence Design Systems in a report on Friday, April 19th. Robert W. Baird upped their price target on shares of Cadence Design Systems from $302.00 to $322.00 and gave the company an outperform rating in a research note on Thursday, April 18th. StockNews.com downgraded shares of Cadence Design Systems from a buy rating to a hold rating in a research report on Tuesday, April 16th. Wells Fargo & Company increased their target price on Cadence Design Systems from $330.00 to $350.00 and gave the stock an overweight rating in a research note on Tuesday, April 16th. Finally, Piper Sandler reduced their price target on Cadence Design Systems from $334.00 to $318.00 and set a neutral rating for the company in a research note on Tuesday. Three analysts have rated the stock with a hold rating and seven have given a buy rating to the stock. Based on data from MarketBeat.com, Cadence Design Systems has an average rating of Moderate Buy and a consensus price target of $316.50.

Cadence Design Systems Price Performance

Cadence Design Systems stock opened at $281.76 on Wednesday. The firm has a market cap of $76.71 billion, a PE ratio of 73.38, a price-to-earnings-growth ratio of 3.47 and a beta of 1.04. The company has a debt-to-equity ratio of 0.09, a current ratio of 1.24 and a quick ratio of 1.13. The stock’s fifty day moving average price is $304.84 and its two-hundred day moving average price is $280.99. Cadence Design Systems has a one year low of $194.01 and a one year high of $327.36.

Cadence Design Systems (NASDAQ:CDNS) last issued its quarterly earnings results on Monday, April 22nd. The software maker reported $1.17 EPS for the quarter, topping analysts’ consensus estimates of $1.13 by $0.04. Cadence Design Systems had a return on equity of 33.53% and a net margin of 25.68%. The company had revenue of $1.01 billion for the quarter, compared to analysts’ expectations of $1 billion. During the same quarter last year, the business earned $1.02 earnings per share. Cadence Design Systems’s revenue was down 1.2% on a year-over-year basis. As a group, research analysts expect that Cadence Design Systems will post 4.81 EPS for the current fiscal year.

Insider Transactions at Cadence Design Systems

In related news, VP Aneel Zaman sold 1,207 shares of Cadence Design Systems stock in a transaction that occurred on Tuesday, February 27th. The shares were sold at an average price of $303.90, for a total value of $366,807.30. Following the transaction, the vice president now directly owns 61,150 shares of the company’s stock, valued at $18,583,485. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. In related news, VP Aneel Zaman sold 1,207 shares of the firm’s stock in a transaction dated Tuesday, February 27th. The stock was sold at an average price of $303.90, for a total value of $366,807.30. Following the sale, the vice president now directly owns 61,150 shares of the company’s stock, valued at $18,583,485. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this link. Also, VP Thomas P. Beckley sold 65,268 shares of the business’s stock in a transaction dated Thursday, February 15th. The stock was sold at an average price of $296.98, for a total value of $19,383,290.64. Following the transaction, the vice president now directly owns 156,156 shares of the company’s stock, valued at approximately $46,375,208.88. The disclosure for this sale can be found here. In the last 90 days, insiders sold 173,044 shares of company stock valued at $52,231,207. Company insiders own 0.62% 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.