Cadence Design Systems, Inc. $CDNS Shares Sold by Arax Advisory Partners

Key Points

• Arax Advisory Partners cut its Cadence Design Systems stake by 36.4% in the fourth quarter, selling 3,714 shares and leaving it with 6,503 shares valued at about $2.0 million.
• Several analysts remain positive on CDNS, with Wells Fargo raising its target to $425 and the overall consensus rating sitting at Moderate Buy with a target price of $386.59.
• Cadence reported better-than-expected quarterly results, posting EPS of $1.96 and revenue of $1.47 billion, while also issuing FY2026 EPS guidance of $7.85 to $7.95.

Arax Advisory Partners decreased its stake in Cadence Design Systems, Inc. (NASDAQ:CDNS - Free Report) by 36.4% in the 4th quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The institutional investor owned 6,503 shares of the software maker's stock after selling 3,714 shares during the period. Arax Advisory Partners' holdings in Cadence Design Systems were worth $2,033,000 at the end of the most recent reporting period.

Several other large investors have also modified their holdings of the stock. Spirepoint Private Client LLC boosted its holdings in shares of Cadence Design Systems by 4.6% in the 4th quarter. Spirepoint Private Client LLC now owns 722 shares of the software maker's stock valued at $226,000 after buying an additional 32 shares in the last quarter. West Family Investments Inc. grew its position in shares of Cadence Design Systems by 2.2% during the third quarter. West Family Investments Inc. now owns 1,559 shares of the software maker's stock worth $548,000 after acquiring an additional 33 shares during the last quarter. Townsquare Capital LLC grew its position in shares of Cadence Design Systems by 3.6% during the fourth quarter. Townsquare Capital LLC now owns 977 shares of the software maker's stock worth $305,000 after acquiring an additional 34 shares during the last quarter. Pinnacle Associates Ltd. grew its position in shares of Cadence Design Systems by 3.4% during the third quarter. Pinnacle Associates Ltd. now owns 1,079 shares of the software maker's stock worth $379,000 after acquiring an additional 35 shares during the last quarter. Finally, Global Assets Advisory LLC grew its position in shares of Cadence Design Systems by 2.1% during the fourth quarter. Global Assets Advisory LLC now owns 1,726 shares of the software maker's stock worth $540,000 after acquiring an additional 35 shares during the last quarter. Institutional investors and hedge funds own 84.85% of the company's stock.

Analyst Upgrades and Downgrades

A number of equities analysts have recently issued reports on CDNS shares. Wells Fargo & Company raised their target price 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, May 26th. Needham & Company LLC restated a "buy" rating and set a $400.00 target price on shares of Cadence Design Systems in a research report on Tuesday, April 28th. Rosenblatt Securities reaffirmed a "buy" rating and set a $360.00 price target on shares of Cadence Design Systems in a report on Friday, April 24th. Piper Sandler increased their price target on Cadence Design Systems from $319.00 to $325.00 and gave the stock a "neutral" rating in a report on Tuesday, April 28th. Finally, Citigroup increased their price target on Cadence Design Systems from $385.00 to $400.00 and gave the stock a "buy" rating in a report on Wednesday, April 29th. Fourteen investment analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the company's stock. Based on data from MarketBeat, the company has a consensus rating of "Moderate Buy" and a consensus target price of $386.59.

Insider Buying and Selling at Cadence Design Systems

In related news, CFO John M. Wall sold 21,500 shares of Cadence Design Systems stock in a transaction dated Thursday, April 16th. The stock was sold at an average price of $309.45, for a total transaction of $6,653,175.00. Following the completion of the sale, the chief financial officer owned 86,875 shares in the company, valued at approximately $26,883,468.75. This trade represents a 19.84% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, VP Paul Cunningham sold 1,000 shares of Cadence Design Systems stock in a transaction dated Friday, May 1st. The stock was sold at an average price of $337.49, for a total value of $337,490.00. Following the sale, the vice president owned 127,586 shares of the company's stock, valued at approximately $43,058,999.14. This represents a 0.78% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders have sold 177,557 shares of company stock worth $66,423,642. Insiders own 0.49% of the company's stock.

Cadence Design Systems Price Performance

Cadence Design Systems stock opened at $394.50 on Tuesday. The company has a market cap of $108.81 billion, a P/E ratio of 91.96, a price-to-earnings-growth ratio of 4.56 and a beta of 1.15. The company has a debt-to-equity ratio of 0.38, a quick ratio of 1.32 and a current ratio of 1.47. Cadence Design Systems, Inc. has a one year low of $262.75 and a one year high of $416.69. The business has a fifty day moving average of $346.64 and a two-hundred day moving average of $319.47.

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, topping the consensus estimate of $1.91 by $0.05. The business had revenue of $1.47 billion during the quarter, compared to the consensus estimate of $1.46 billion. Cadence Design Systems had a return on equity of 28.44% and a net margin of 21.18%.The business's revenue was up 18.6% on a year-over-year basis. During the same quarter in the previous year, the company posted $1.57 EPS. 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, analysts predict that Cadence Design Systems, Inc. will post 6.23 earnings per share for the current fiscal year.

Cadence Design Systems Company 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.

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