Cadence Design Systems, Inc. $CDNS Holdings Boosted by Vanguard Personalized Indexing Management LLC

Key Points

• Vanguard Personalized Indexing Management LLC raised its stake in Cadence Design Systems by 23.8%, now holding a total of 44,285 shares worth approximately $13.65 million.
• Wall Street analysts have generally positive forecasts for Cadence, with multiple firms raising their price targets, including KeyCorp and JPMorgan Chase & Co., both assigning an "overweight" rating.
• Cadence reported better-than-expected quarterly earnings of $1.65 EPS, surpassing estimates, and projected guidance for future earnings between $1.750-$1.810 EPS for Q3 2025.

Vanguard Personalized Indexing Management LLC boosted its position in shares of Cadence Design Systems, Inc. (NASDAQ:CDNS - Free Report) by 23.8% during the 2nd quarter, according to the company in its most recent filing with the SEC. The institutional investor owned 44,285 shares of the software maker's stock after purchasing an additional 8,510 shares during the period. Vanguard Personalized Indexing Management LLC's holdings in Cadence Design Systems were worth $13,648,000 at the end of the most recent reporting period.

Other institutional investors and hedge funds have also recently added to or reduced their stakes in the company. Smallwood Wealth Investment Management LLC purchased a new position in Cadence Design Systems during the 1st quarter worth approximately $25,000. Costello Asset Management INC purchased a new position in shares of Cadence Design Systems during the 1st quarter valued at $25,000. Saudi Central Bank purchased a new position in shares of Cadence Design Systems during the 1st quarter valued at $27,000. Valley National Advisers Inc. grew its holdings in shares of Cadence Design Systems by 707.1% during the 1st quarter. Valley National Advisers Inc. now owns 113 shares of the software maker's stock valued at $28,000 after acquiring an additional 99 shares in the last quarter. Finally, Barrett & Company Inc. purchased a new position in shares of Cadence Design Systems during the 2nd quarter valued at $31,000. 84.85% of the stock is currently owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

CDNS has been the topic of several research analyst reports. KeyCorp boosted their price target on shares of Cadence Design Systems from $358.00 to $405.00 and gave the company an "overweight" rating in a report on Tuesday, July 29th. 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. Piper Sandler restated a "neutral" rating and set a $355.00 price target (up from $328.00) on shares of Cadence Design Systems in a report on Tuesday, July 29th. Wall Street Zen cut shares of Cadence Design Systems from a "buy" rating to a "hold" rating in a report on Sunday, September 21st. Finally, Mizuho boosted their price target on shares of Cadence Design Systems from $360.00 to $375.00 and gave the company an "outperform" rating in a report on Tuesday, July 29th. Fourteen investment analysts have rated the stock with a Buy rating, three have given a Hold rating and one has given a Sell rating to the stock. According to MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and an average price target of $368.53.

Cadence Design Systems Stock Down 6.2%

CDNS stock opened at $327.00 on Friday. The company has a current ratio of 2.82, a quick ratio of 2.67 and a debt-to-equity ratio of 0.49. Cadence Design Systems, Inc. has a 1 year low of $221.56 and a 1 year high of $376.45. The company has a fifty day simple moving average of $351.68 and a 200 day simple moving average of $316.92. The firm has a market cap of $89.10 billion, a PE ratio of 88.38, a PEG ratio of 4.29 and a beta of 0.99.

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

Insiders Place Their Bets

In other Cadence Design Systems news, CFO John M. Wall sold 7,500 shares of the business's stock in a transaction on Tuesday, September 30th. The shares were sold at an average price of $349.16, for a total transaction of $2,618,700.00. Following the completion of the transaction, the chief financial officer owned 70,715 shares of the company's stock, valued at $24,690,849.40. The trade was a 9.59% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, VP Paul Cunningham sold 1,000 shares of the business's stock in a transaction on Wednesday, October 1st. The stock was sold at an average price of $348.27, for a total transaction of $348,270.00. Following the transaction, the vice president directly owned 99,672 shares of the company's stock, valued at approximately $34,712,767.44. This represents a 0.99% decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 10,680 shares of company stock valued at $3,729,852 in the last quarter. Insiders own 1.99% 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.

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