Alkeon Capital Management LLC Decreases Stock Position in Cadence Design Systems, Inc. $CDNS

Key Points

• Alkeon Capital Management LLC reduced its stake in Cadence Design Systems by selling 730 shares, holding 1,622,874 shares, which makes up 0.9% of its portfolio.
• Vanguard Group Inc. and Jennison Associates LLC both increased their holdings in Cadence Design Systems by 1.7% and 13.2%, respectively, indicating continued institutional interest in the stock.
• Cadence Design Systems reported quarterly earnings of $1.65 per share, surpassing expectations, with a year-over-year revenue increase of 20.2% to $1.28 billion.

Alkeon Capital Management LLC lessened its stake in shares of Cadence Design Systems, Inc. (NASDAQ:CDNS - Free Report) by 0.0% in the first quarter, according to the company in its most recent Form 13F filing with the SEC. The firm owned 1,622,874 shares of the software maker's stock after selling 730 shares during the quarter. Cadence Design Systems makes up approximately 0.9% of Alkeon Capital Management LLC's portfolio, making the stock its 18th biggest position. Alkeon Capital Management LLC owned 0.59% of Cadence Design Systems worth $412,746,000 at the end of the most recent reporting period.

A number of other institutional investors have also recently made changes to their positions in CDNS. Park Square Financial Group LLC purchased a new stake in Cadence Design Systems in the fourth quarter worth $348,000. Merit Financial Group LLC lifted its stake in Cadence Design Systems by 42.6% in the first quarter. Merit Financial Group LLC now owns 3,165 shares of the software maker's stock worth $805,000 after acquiring an additional 946 shares during the period. Novem Group lifted its stake in Cadence Design Systems by 30.3% in the first quarter. Novem Group now owns 4,067 shares of the software maker's stock worth $1,034,000 after acquiring an additional 945 shares during the period. Seilern Investment Management Ltd purchased a new stake in Cadence Design Systems in the first quarter worth $64,800,000. Finally, Integrated Advisors Network LLC lifted its stake in Cadence Design Systems by 156.9% in the fourth quarter. Integrated Advisors Network LLC now owns 3,406 shares of the software maker's stock worth $1,023,000 after acquiring an additional 2,080 shares during the period. Hedge funds and other institutional investors own 84.85% of the company's stock.

Insider Activity

In other news, VP Paul Cunningham sold 1,000 shares of the company's stock in a transaction dated Tuesday, September 2nd. The shares were sold at an average price of $343.95, for a total transaction of $343,950.00. Following the completion of the sale, the vice president owned 102,499 shares of the company's stock, valued at $35,254,531.05. This represents a 0.97% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, Director Ita M. Brennan sold 180 shares of the stock in a transaction that occurred on Tuesday, June 10th. The stock was sold at an average price of $304.00, for a total transaction of $54,720.00. Following the completion of the sale, the director directly owned 8,010 shares of the company's stock, valued at $2,435,040. This represents a 2.20% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 4,180 shares of company stock valued at $1,365,740 in the last ninety days. Insiders own 1.99% of the company's stock.

Analyst Upgrades and Downgrades

A number of analysts recently commented on CDNS shares. Wall Street Zen lowered Cadence Design Systems from a "buy" rating to a "hold" rating in a research note on Sunday, August 31st. Berenberg Bank set a $400.00 price objective on Cadence Design Systems in a research report on Wednesday, July 30th. The Goldman Sachs Group started coverage on Cadence Design Systems in a research report on Thursday, July 10th. They set a "buy" rating and a $380.00 price objective for the company. Piper Sandler reissued a "neutral" rating and set a $355.00 price objective (up previously from $328.00) on shares of Cadence Design Systems in a research report on Tuesday, July 29th. Finally, KeyCorp raised their price objective on Cadence Design Systems from $358.00 to $405.00 and gave the company an "overweight" rating in a research report on Tuesday, July 29th. Twelve analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, Cadence Design Systems presently has an average rating of "Moderate Buy" and an average price target of $364.33.

Cadence Design Systems Stock Performance

NASDAQ CDNS traded up $1.68 during trading hours on Friday, hitting $351.01. The company's stock had a trading volume of 1,115,780 shares, compared to its average volume of 1,252,134. Cadence Design Systems, Inc. has a 12 month low of $221.56 and a 12 month high of $376.45. The company's 50 day simple moving average is $339.27 and its two-hundred day simple moving average is $299.17. The company has a market cap of $95.65 billion, a P/E ratio of 94.87, a price-to-earnings-growth ratio of 4.58 and a beta of 1.00. The company has a debt-to-equity ratio of 0.49, a current ratio of 2.82 and a quick ratio of 2.67.

Cadence Design Systems (NASDAQ:CDNS - Get Free Report) last released its quarterly earnings results on Monday, July 28th. The software maker reported $1.65 EPS for the quarter, beating the consensus estimate of $1.56 by $0.09. Cadence Design Systems had a net margin of 19.88% and a return on equity of 29.65%. The firm had revenue of $1.28 billion during the quarter, compared to analyst estimates of $1.25 billion. During the same quarter in the prior year, the firm 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. As a group, sell-side analysts expect that Cadence Design Systems, Inc. will post 5.41 EPS for the current fiscal year.

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.