Cadence Design Systems (NASDAQ:CDNS) Reaches New 12-Month High - Here's Why

Cadence Design Systems, Inc. (NASDAQ:CDNS - Get Free Report) reached a new 52-week high during mid-day trading on Thursday . The stock traded as high as $383.80 and last traded at $374.05, with a volume of 2358345 shares traded. The stock had previously closed at $381.75.

Analysts Set New Price Targets

Several analysts recently issued reports on the stock. Wells Fargo & Company increased their price target on shares of Cadence Design Systems from $400.00 to $425.00 and gave the stock an "overweight" rating in a research report on Tuesday. Robert W. Baird increased their price objective on shares of Cadence Design Systems from $381.00 to $385.00 and gave the company an "outperform" rating in a research note on Tuesday, April 28th. Berenberg Bank set a $440.00 price objective on shares of Cadence Design Systems in a research note on Wednesday. Rosenblatt Securities reissued a "buy" rating and issued a $360.00 price objective on shares of Cadence Design Systems in a research note on Friday, April 24th. Finally, KeyCorp increased their price objective on shares of Cadence Design Systems from $405.00 to $425.00 and gave the company an "overweight" rating in a research note on Tuesday, April 28th. Fourteen investment analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the stock. According to MarketBeat.com, Cadence Design Systems has an average rating of "Moderate Buy" and a consensus target price of $384.41.

Cadence Design Systems Price Performance

The company's 50 day moving average price is $317.92 and its 200-day moving average price is $312.02. The stock has a market cap of $103.17 billion, a P/E ratio of 87.19, a P/E/G ratio of 4.52 and a beta of 1.13. The company has a quick ratio of 1.32, a current ratio of 1.47 and a debt-to-equity ratio of 0.38.

Cadence Design Systems (NASDAQ:CDNS - Get Free Report) last released its quarterly earnings results on Monday, April 27th. The software maker reported $1.96 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.91 by $0.05. The firm had revenue of $1.47 billion during the quarter, compared to the consensus estimate of $1.46 billion. Cadence Design Systems had a net margin of 21.18% and a return on equity of 28.44%. The company's revenue for the quarter was up 18.6% on a year-over-year basis. During the same quarter last year, the firm earned $1.57 earnings per share. Cadence Design Systems has set its FY 2026 guidance at 7.850-7.950 EPS and its Q2 2026 guidance at 2.020-2.080 EPS. As a group, sell-side analysts expect that Cadence Design Systems, Inc. will post 6.23 earnings per share for the current year.

Insider Activity

In other news, VP Paul Scannell sold 10,500 shares of the firm's stock in a transaction on Friday, May 1st. The shares were sold at an average price of $339.00, for a total transaction of $3,559,500.00. Following the completion of the transaction, the vice president owned 33,946 shares of the company's stock, valued at approximately $11,507,694. This trade represents a 23.62% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, VP Paul Cunningham sold 1,000 shares of the firm's stock in a transaction on Monday, March 2nd. The shares were sold at an average price of $297.78, for a total transaction of $297,780.00. Following the transaction, the vice president directly owned 94,137 shares of the company's stock, valued at $28,032,115.86. The trade was a 1.05% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders have sold 93,138 shares of company stock valued at $32,492,540. 0.49% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Cadence Design Systems

A number of hedge funds have recently bought and sold shares of CDNS. Norges Bank bought a new position in Cadence Design Systems during the fourth quarter worth $1,352,922,000. J. Stern & Co. LLP raised its stake in Cadence Design Systems by 10,159.3% during the fourth quarter. J. Stern & Co. LLP now owns 2,953,256 shares of the software maker's stock worth $923,129,000 after buying an additional 2,924,470 shares during the last quarter. Wellington Management Group LLP raised its stake in Cadence Design Systems by 218.6% during the fourth quarter. Wellington Management Group LLP now owns 2,553,225 shares of the software maker's stock worth $798,087,000 after buying an additional 1,751,927 shares during the last quarter. Arrowstreet Capital Limited Partnership raised its stake in Cadence Design Systems by 232.1% during the first quarter. Arrowstreet Capital Limited Partnership now owns 1,430,599 shares of the software maker's stock worth $397,521,000 after buying an additional 999,862 shares during the last quarter. Finally, Assenagon Asset Management S.A. raised its stake in Cadence Design Systems by 120.9% during the fourth quarter. Assenagon Asset Management S.A. now owns 1,124,417 shares of the software maker's stock worth $351,470,000 after buying an additional 615,440 shares during the last quarter. Institutional investors own 84.85% of the company's stock.

About Cadence Design Systems

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.