Cadence Design Systems (NASDAQ:CDNS) Releases FY 2025 Earnings Guidance

Cadence Design Systems (NASDAQ:CDNS - Get Free Report) issued an update on its FY 2025 earnings guidance on Monday morning. The company provided earnings per share (EPS) guidance of 6.730-6.830 for the period, compared to the consensus estimate of 6.720. The company issued revenue guidance of $5.2 billion-$5.2 billion, compared to the consensus revenue estimate of $5.2 billion. Cadence Design Systems also updated its Q2 2025 guidance to 1.550-1.610 EPS.

Analysts Set New Price Targets

CDNS has been the subject of several analyst reports. Needham & Company LLC restated a "buy" rating and issued a $325.00 target price on shares of Cadence Design Systems in a research report on Tuesday. Oppenheimer lowered their price objective on shares of Cadence Design Systems from $225.00 to $200.00 and set an "underperform" rating for the company in a research report on Wednesday, March 19th. Rosenblatt Securities raised their target price on Cadence Design Systems from $295.00 to $300.00 and gave the company a "neutral" rating in a report on Tuesday. Loop Capital lowered their price target on Cadence Design Systems from $360.00 to $340.00 and set a "buy" rating for the company in a report on Wednesday, February 19th. Finally, JPMorgan Chase & Co. raised Cadence Design Systems from a "neutral" rating to an "overweight" rating and raised their price objective for the company from $300.00 to $325.00 in a research note on Thursday, April 24th. One investment analyst has rated the stock with a sell rating, two have issued a hold rating and eleven have issued a buy rating to the company's stock. Based on data from MarketBeat, the company has a consensus rating of "Moderate Buy" and a consensus price target of $322.54.

Cadence Design Systems Trading Up 2.8 %

Shares of Cadence Design Systems stock traded up $8.42 on Friday, hitting $308.15. The stock had a trading volume of 1,935,489 shares, compared to its average volume of 1,955,760. The stock has a 50 day moving average of $258.32 and a 200 day moving average of $282.94. The firm has a market capitalization of $84.53 billion, a P/E ratio of 79.83, a PEG ratio of 3.88 and a beta of 1.14. Cadence Design Systems has a twelve month low of $221.56 and a twelve month high of $328.99. The company has a debt-to-equity ratio of 0.53, a quick ratio of 2.27 and a current ratio of 2.93.

Cadence Design Systems (NASDAQ:CDNS - Get Free Report) last released its quarterly earnings results on Monday, April 28th. The software maker reported $1.57 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.50 by $0.07. The firm had revenue of $1.24 billion during the quarter, compared to the consensus estimate of $1.24 billion. Cadence Design Systems had a net margin of 22.74% and a return on equity of 29.24%. The company's revenue for the quarter was up 23.1% on a year-over-year basis. During the same quarter last year, the firm earned $1.17 earnings per share. Sell-side analysts expect that Cadence Design Systems will post 5.41 earnings per share for the current fiscal year.

Insiders Place Their Bets

In related news, VP Paul Cunningham sold 650 shares of Cadence Design Systems stock in a transaction that occurred on Tuesday, April 1st. The stock was sold at an average price of $252.64, for a total value of $164,216.00. Following the transaction, the vice president now directly owns 108,799 shares of the company's stock, valued at $27,486,979.36. The trade was a 0.59 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Ita M. Brennan sold 180 shares of the stock in a transaction that occurred on Thursday, April 24th. The shares were sold at an average price of $275.00, for a total transaction of $49,500.00. Following the sale, the director now directly owns 7,411 shares of the company's stock, valued at $2,038,025. This represents a 2.37 % decrease in their position. The disclosure for this sale can be found here. In the last three months, insiders have sold 6,840 shares of company stock valued at $1,980,999. 1.99% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Cadence Design Systems

A hedge fund recently raised its stake in Cadence Design Systems stock. Brighton Jones LLC lifted its holdings in shares of Cadence Design Systems, Inc. (NASDAQ:CDNS - Free Report) by 80.2% during the 4th quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor owned 1,519 shares of the software maker's stock after purchasing an additional 676 shares during the period. Brighton Jones LLC's holdings in Cadence Design Systems were worth $456,000 at the end of the most recent reporting period. Institutional investors and hedge funds own 84.85% of the company's stock.

Cadence Design Systems Company Profile

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.