Prescott Group Capital Management L.L.C. Buys 8,000 Shares of Cadence Design Systems, Inc. $CDNS

Prescott Group Capital Management L.L.C. raised its position in Cadence Design Systems, Inc. (NASDAQ:CDNS) by 492.9% during the third quarter, according to its most recent 13F filing with the SEC. The fund owned 9,623 shares of the software maker’s stock after buying an additional 8,000 shares during the period. Prescott Group Capital Management L.L.C.’s holdings in Cadence Design Systems were worth $3,380,000 as of its most recent filing with the SEC.

Other hedge funds and other institutional investors also recently made changes to their positions in the company. Norges Bank bought a new position in Cadence Design Systems in the second quarter valued at about $1,190,618,000. Massachusetts Financial Services Co. MA boosted its stake in shares of Cadence Design Systems by 16.0% in the 3rd quarter. Massachusetts Financial Services Co. MA now owns 5,314,407 shares of the software maker’s stock valued at $1,866,739,000 after purchasing an additional 731,788 shares during the last quarter. Voya Investment Management LLC grew its position in shares of Cadence Design Systems by 914.2% during the 3rd quarter. Voya Investment Management LLC now owns 691,071 shares of the software maker’s stock worth $242,746,000 after buying an additional 622,934 shares during the period. Scge Management L.P. acquired a new stake in shares of Cadence Design Systems during the 2nd quarter worth approximately $187,663,000. Finally, Bain Capital Public Equity Management II LLC bought a new stake in shares of Cadence Design Systems during the second quarter worth approximately $130,534,000. 84.85% of the stock is owned by institutional investors and hedge funds.

Cadence Design Systems Stock Performance

Shares of Cadence Design Systems stock opened at $288.33 on Friday. The stock’s fifty day simple moving average is $312.43 and its 200 day simple moving average is $330.64. The company has a current ratio of 3.05, a quick ratio of 2.84 and a debt-to-equity ratio of 0.48. The company has a market capitalization of $78.48 billion, a PE ratio of 74.31, a PEG ratio of 3.33 and a beta of 1.01. Cadence Design Systems, Inc. has a 12 month low of $221.56 and a 12 month high of $376.45.

Analyst Ratings Changes

A number of brokerages have issued reports on CDNS. Citigroup began coverage on shares of Cadence Design Systems in a research note on Monday, November 24th. They issued a “buy” rating and a $385.00 price objective on the stock. Oppenheimer upgraded Cadence Design Systems from an “underperform” rating to a “market perform” rating and set a $275.00 price target on the stock in a research report on Monday, December 1st. Robert W. Baird lifted their price objective on Cadence Design Systems from $390.00 to $418.00 and gave the stock an “outperform” rating in a research note on Tuesday, October 28th. Wolfe Research reissued an “outperform” rating and issued a $385.00 target price on shares of Cadence Design Systems in a research note on Tuesday, October 28th. Finally, Weiss Ratings restated a “hold (c)” rating on shares of Cadence Design Systems in a research report on Monday, December 29th. Thirteen equities research analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the company’s stock. According to MarketBeat, the stock presently has an average rating of “Moderate Buy” and an average target price of $379.59.

Insider Activity at Cadence Design Systems

In other Cadence Design Systems news, Director Ita M. Brennan sold 180 shares of Cadence Design Systems stock in a transaction that occurred on Wednesday, December 10th. The shares were sold at an average price of $337.48, for a total value of $60,746.40. Following the transaction, the director owned 7,650 shares of the company’s stock, valued at approximately $2,581,722. The trade was a 2.30% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, CEO Anirudh Devgan sold 20,000 shares of the stock in a transaction on Friday, December 5th. The stock was sold at an average price of $340.00, for a total transaction of $6,800,000.00. Following the sale, the chief executive officer directly owned 195,844 shares of the company’s stock, valued at $66,586,960. This represents a 9.27% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 56,475 shares of company stock valued at $18,505,486 over the last 90 days. Insiders own 1.99% of the company’s stock.

Key Cadence Design Systems News

Here are the key news stories impacting Cadence Design Systems this week:

• Positive Sentiment: Cadence unveiled “ChipStack” — an agentic AI workflow (ChipStack AI Super Agent) that the company says can materially speed chip design and boost EDA competitiveness; media coverage frames this as a potential long-term growth catalyst. Cadence ChipStack AI Super Agent Puts EDA Role In Focus
• Positive Sentiment: Analyst/industry write-ups highlight the ChipStack agent as a productivity multiplier (management claims up to ~10x in some workflows), strengthening Cadence’s positioning in AI-driven chip design tools — a direct revenue/ADP growth angle for investors. Cadence Unveils ChipStack AI Super Agent for Next‑Gen Chips
• Positive Sentiment: Market commentary and roundup pieces have brushed Cadence as a “picks-and-shovels” play for supercharged AI chip demand; some outlets note recent bullish investor sentiment and short‑term share gains earlier in the week. Investors more bullish on Cadence Design Systems (NASDAQ:CDNS)
• Neutral Sentiment: Zacks preview on Q4 (Dec-2025) metrics digs into Wall Street estimates beyond headline revenue/EPS — useful for near-term guidance expectations but not yet a clear catalyst. Unlocking Q4 Potential of Cadence (CDNS)
• Neutral Sentiment: Several short‑interest updates in the feeds flag a “significant increase” but report zero shares / NaN changes and a 0.0 days‑to‑cover figure — the data appears inconsistent and shouldn’t be treated as confirmation of rising bearish bets without cleaner filings.
• Negative Sentiment: Technical and valuation headwinds: the stock sits below its 50‑ and 200‑day moving averages and carries a high P/E and PEG, which can trigger profit‑taking after recent run‑ups and help explain intraday weakness.

Cadence Design Systems Profile

Cadence Design Systems, Inc (NASDAQ: CDNS) is a global provider of electronic design automation (EDA) software, hardware and intellectual property used to design and verify advanced semiconductor chips, systems-on-chip (SoCs), printed circuit boards (PCBs) and packaging. Headquartered in San Jose, California and founded in 1988, Cadence serves semiconductor companies, original equipment manufacturers and system designers across the globe, helping customers accelerate design cycles and manage the complexity of modern integrated systems.

The company’s offerings span software tools for digital, custom/analog and mixed-signal design, verification and signoff, as well as solutions for system-level modeling, thermal and signal integrity analysis, and PCB and package design.