American Century Companies Inc. Purchases 44,719 Shares of Cadence Design Systems, Inc. $CDNS

Key Points

• American Century Companies Inc. has increased its stake in Cadence Design Systems by 3.5%, owning approximately 1.31 million shares valued at $333.37 million after acquiring an additional 44,719 shares.
• Analysts have raised their price targets for Cadence Design Systems, with Mizuho increasing it to $375.00 and KeyCorp to $405.00, while the stock holds an average rating of "Moderate Buy" with a consensus target price of $364.33.
• Cadence Design Systems reported a quarterly earnings per share (EPS) of $1.65, exceeding estimates by $0.09, along with a revenue of $1.28 billion, which is a year-over-year increase of 20.2%.

American Century Companies Inc. grew its position in shares of Cadence Design Systems, Inc. (NASDAQ:CDNS - Free Report) by 3.5% during the first quarter, according to its most recent disclosure with the Securities & Exchange Commission. The firm owned 1,310,793 shares of the software maker's stock after purchasing an additional 44,719 shares during the period. American Century Companies Inc. owned approximately 0.48% of Cadence Design Systems worth $333,374,000 as of its most recent SEC filing.

A number of other hedge funds also recently made changes to their positions in the company. GAMMA Investing LLC boosted its holdings in Cadence Design Systems by 31,049.1% in the first quarter. GAMMA Investing LLC now owns 1,218,241 shares of the software maker's stock worth $309,835,000 after purchasing an additional 1,214,330 shares during the period. Nuveen LLC acquired a new position in Cadence Design Systems in the first quarter worth $289,744,000. Jennison Associates LLC boosted its holdings in Cadence Design Systems by 13.2% in the first quarter. Jennison Associates LLC now owns 9,064,953 shares of the software maker's stock worth $2,305,489,000 after purchasing an additional 1,054,702 shares during the period. Price T Rowe Associates Inc. MD boosted its holdings in Cadence Design Systems by 25.8% in the fourth quarter. Price T Rowe Associates Inc. MD now owns 2,937,675 shares of the software maker's stock worth $882,655,000 after purchasing an additional 601,834 shares during the period. Finally, Vanguard Group Inc. boosted its holdings in Cadence Design Systems by 1.7% in the first quarter. Vanguard Group Inc. now owns 26,339,142 shares of the software maker's stock worth $6,698,834,000 after purchasing an additional 429,955 shares during the period. Hedge funds and other institutional investors own 84.85% of the company's stock.

Insiders Place Their Bets

In other Cadence Design Systems news, Director Ita M. Brennan sold 180 shares of the business's stock in a transaction that occurred on Tuesday, June 10th. The stock was sold at an average price of $304.00, for a total value of $54,720.00. Following the sale, the director owned 8,010 shares in the company, valued at approximately $2,435,040. The trade was a 2.20% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, VP Paul Cunningham sold 1,000 shares of the company's stock in a transaction that occurred on Friday, August 1st. The stock was sold at an average price of $358.72, for a total value of $358,720.00. Following the sale, the vice president owned 104,499 shares in the company, valued at approximately $37,485,881.28. This represents a 0.95% decrease in their position. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 3,830 shares of company stock valued at $1,207,671. 0.37% of the stock is currently owned by corporate insiders.

Cadence Design Systems Price Performance

Cadence Design Systems stock traded down $9.37 during midday trading on Tuesday, hitting $346.88. The company's stock had a trading volume of 1,819,540 shares, compared to its average volume of 2,048,893. The company has a quick ratio of 2.67, a current ratio of 2.82 and a debt-to-equity ratio of 0.49. The stock's 50-day moving average price is $325.98 and its 200-day moving average price is $294.43. Cadence Design Systems, Inc. has a 12 month low of $221.56 and a 12 month high of $376.45. The company has a market capitalization of $94.52 billion, a PE ratio of 93.75, a price-to-earnings-growth ratio of 4.59 and a beta of 0.97.

Cadence Design Systems (NASDAQ:CDNS - Get Free Report) last posted its quarterly earnings data on Monday, July 28th. The software maker reported $1.65 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.56 by $0.09. Cadence Design Systems had a return on equity of 29.65% and a net margin of 19.88%.The firm had revenue of $1.28 billion for the quarter, compared to the consensus estimate of $1.25 billion. During the same quarter in the previous year, the company earned $1.28 EPS. The business's revenue for the quarter was up 20.2% compared to the same quarter last year. Cadence Design Systems has set its Q3 2025 guidance at 1.750-1.810 EPS. FY 2025 guidance at 6.850-6.950 EPS. Analysts anticipate that Cadence Design Systems, Inc. will post 5.41 earnings per share for the current fiscal year.

Wall Street Analysts Forecast Growth

A number of research firms have commented on CDNS. Needham & Company LLC lifted their price objective on shares of Cadence Design Systems from $325.00 to $390.00 and gave the stock a "buy" rating in a report on Tuesday, July 29th. Robert W. Baird lifted their price objective on shares of Cadence Design Systems from $340.00 to $380.00 and gave the stock an "outperform" rating in a report on Monday, July 28th. JPMorgan Chase & Co. boosted their price target on shares of Cadence Design Systems from $330.00 to $390.00 and gave the company an "overweight" rating in a report on Tuesday, July 29th. Stifel Nicolaus upped their price objective on shares of Cadence Design Systems from $350.00 to $395.00 and gave the stock a "buy" rating in a report on Tuesday, July 29th. Finally, Berenberg Bank set a $400.00 price objective on shares of Cadence Design Systems in a report on Wednesday, July 30th. Twelve investment analysts have rated the stock with a Buy rating, two have given a Hold rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat, Cadence Design Systems presently has an average rating of "Moderate Buy" and a consensus price target of $364.33.

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.