Cadence Design Systems, Inc. $CDNS Shares Sold by Sanctuary Advisors LLC

Key Points

• Sanctuary Advisors LLC cut its Cadence Design Systems stake by 20.4% in the first quarter, selling 4,980 shares and ending with 19,423 shares valued at about $5.4 million.
• Several insiders also sold stock, including Director James D. Plummer and VP Paul Scannell, and insiders sold 157,057 shares over the last 90 days. The stock has fallen about 9.5% recently.
• Despite the weakness, analysts remain generally upbeat: Cadence recently beat earnings expectations, and multiple firms raised price targets, with a consensus rating of Moderate Buy and an average target near $393.65.

Sanctuary Advisors LLC lowered its position in Cadence Design Systems, Inc. (NASDAQ:CDNS - Free Report) by 20.4% in the first quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor owned 19,423 shares of the software maker's stock after selling 4,980 shares during the quarter. Sanctuary Advisors LLC's holdings in Cadence Design Systems were worth $5,397,000 at the end of the most recent quarter.

Several other hedge funds and other institutional investors have also made changes to their positions in CDNS. Pinnacle Wealth Management Advisory Group LLC increased its holdings in Cadence Design Systems by 3.1% during the 1st quarter. Pinnacle Wealth Management Advisory Group LLC now owns 1,033 shares of the software maker's stock valued at $287,000 after acquiring an additional 31 shares in the last quarter. Westfuller Advisors LLC lifted its holdings in shares of Cadence Design Systems by 8.2% in the first quarter. Westfuller Advisors LLC now owns 408 shares of the software maker's stock valued at $113,000 after purchasing an additional 31 shares in the last quarter. Spirepoint Private Client LLC grew its position in shares of Cadence Design Systems by 4.6% in the fourth quarter. Spirepoint Private Client LLC now owns 722 shares of the software maker's stock valued at $226,000 after purchasing an additional 32 shares during the last quarter. Townsquare Capital LLC grew its position in shares of Cadence Design Systems by 3.6% in the fourth quarter. Townsquare Capital LLC now owns 977 shares of the software maker's stock valued at $305,000 after purchasing an additional 34 shares during the last quarter. Finally, Global Assets Advisory LLC increased its stake in shares of Cadence Design Systems by 2.1% during the 4th quarter. Global Assets Advisory LLC now owns 1,726 shares of the software maker's stock worth $540,000 after purchasing an additional 35 shares in the last quarter. Institutional investors and hedge funds own 84.85% of the company's stock.

Insiders Place Their Bets

In related news, Director James D. Plummer sold 1,511 shares of the company's stock in a transaction on Thursday, June 11th. The stock was sold at an average price of $381.34, for a total value of $576,204.74. Following the completion of the transaction, the director directly owned 23,264 shares in the company, valued at approximately $8,871,493.76. This represents a 6.10% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, VP Paul Scannell sold 7,081 shares of the stock in a transaction dated Monday, June 1st. The stock was sold at an average price of $393.91, for a total value of $2,789,276.71. Following the transaction, the vice president owned 32,181 shares in the company, valued at $12,676,417.71. This trade represents a 18.04% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last 90 days, insiders have sold 157,057 shares of company stock valued at $60,272,277. 0.49% of the stock is currently owned by company insiders.

Cadence Design Systems Stock Down 9.5%

Shares of NASDAQ CDNS opened at $330.11 on Friday. Cadence Design Systems, Inc. has a 1 year low of $262.75 and a 1 year high of $416.69. The firm's 50 day moving average price is $376.09 and its 200 day moving average price is $328.57. The firm has a market cap of $91.05 billion, a P/E ratio of 76.95, a price-to-earnings-growth ratio of 3.91 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 (NASDAQ:CDNS - Get Free Report) last issued its quarterly earnings results on Monday, April 27th. The software maker reported $1.96 earnings per share for the quarter, beating the consensus estimate of $1.91 by $0.05. Cadence Design Systems had a return on equity of 28.44% and a net margin of 21.18%.The company had revenue of $1.47 billion during the quarter, compared to the consensus estimate of $1.46 billion. During the same period in the previous year, the firm posted $1.57 EPS. Cadence Design Systems's revenue was up 18.6% on a year-over-year basis. 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 anticipate that Cadence Design Systems, Inc. will post 6.23 earnings per share for the current year.

Trending Headlines about Cadence Design Systems

Here are the key news stories impacting Cadence Design Systems this week:

• Positive Sentiment: Benchmark upgraded Cadence to Strong Buy, and recent brokerage commentary put the average price target around $387, indicating Wall Street still sees upside from current levels. Zacks.com
• Positive Sentiment: Cadence recently launched new AI products, including the AuraStack AI Super Agent for PCB and advanced packaging design, reinforcing the company’s growth narrative in AI-driven design workflows. Business Wire article
• Positive Sentiment: The company also announced a partnership with Rapidus to advance agentic AI for advanced SoC design, which could support longer-term demand for Cadence’s software tools. Business Wire article
• Neutral Sentiment: Cadence is due to report second-quarter results on July 27, and some of the weakness may reflect investors taking profits or reducing exposure ahead of earnings. MSN article
• Negative Sentiment: Shares are also being hit by broader fears that Moonshot and other AI-driven tools could disrupt the EDA industry, pressuring Cadence and peers like Synopsys on concerns about future pricing power and competition. MSN article

Analysts Set New Price Targets

CDNS has been the subject of several research reports. Rosenblatt Securities lifted their price objective on Cadence Design Systems from $375.00 to $410.00 and gave the stock a "buy" rating in a research report on Tuesday, July 14th. KeyCorp raised their price target on Cadence Design Systems from $405.00 to $425.00 and gave the stock an "overweight" rating in a research report on Tuesday, April 28th. Weiss Ratings reissued a "hold (c)" rating on shares of Cadence Design Systems in a report on Thursday, July 2nd. Stifel Nicolaus upped their price objective on Cadence Design Systems from $395.00 to $432.00 and gave the company a "buy" rating in a research report on Tuesday, June 9th. Finally, Berenberg Bank set a $440.00 price objective on Cadence Design Systems in a research report on Wednesday, May 27th. One investment analyst has rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating and three have given a Hold rating to the stock. According to data from MarketBeat.com, the company has a consensus rating of "Moderate Buy" and an average target price of $393.65.

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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