Cadence Design Systems, Inc. $CDNS Stock Sold by Fifth Third Bancorp

Key Points

• Fifth Third Bancorp reduced its Cadence Design Systems stake by 64% in the third quarter, selling 181,756 shares and retaining 102,190 shares valued at about $33.7 million. Institutional investors overall own 84.85% of the company.
• Analyst sentiment remains broadly positive: the stock has a “Moderate Buy” consensus rating and an average price target of $410.05, though some firms recently downgraded it to Hold.
• Cadence topped quarterly earnings expectations, reporting $2.11 per share and $1.63 billion in revenue; revenue rose 22% year over year. Shares opened at $333.32 in the report’s cited trading session.

Fifth Third Bancorp cut its stake in shares of Cadence Design Systems, Inc. (NASDAQ:CDNS - Free Report) by 64.0% during the 3rd quarter, according to its most recent Form 13F filing with the SEC. The institutional investor owned 102,190 shares of the software maker's stock after selling 181,756 shares during the period. Fifth Third Bancorp's holdings in Cadence Design Systems were worth $33,741,000 at the end of the most recent quarter.

Other institutional investors and hedge funds also recently bought and sold shares of the company. George Kaiser Family Foundation bought a new stake in Cadence Design Systems during the 2nd quarter worth approximately $725,000. MassMutual Private Wealth & Trust FSB lifted its holdings in Cadence Design Systems by 65.7% during the third quarter. MassMutual Private Wealth & Trust FSB now owns 26,160 shares of the software maker's stock valued at $8,638,000 after purchasing an additional 10,376 shares in the last quarter. Vega Investment Solutions bought a new position in shares of Cadence Design Systems in the second quarter worth approximately $1,957,000. Park National Corp OH boosted its position in shares of Cadence Design Systems by 186.9% in the third quarter. Park National Corp OH now owns 372,703 shares of the software maker's stock worth $123,063,000 after purchasing an additional 242,816 shares during the period. Finally, American National Bank & Trust boosted its position in shares of Cadence Design Systems by 7,625.4% in the third quarter. American National Bank & Trust now owns 9,116 shares of the software maker's stock worth $3,010,000 after purchasing an additional 8,998 shares during the period. 84.85% of the stock is currently owned by hedge funds and other institutional investors.

Analysts Set New Price Targets

CDNS has been the subject of a number of analyst reports. Wall Street Zen cut shares of Cadence Design Systems from a "buy" rating to a "hold" rating in a research note on Thursday, November 5th. Piper Sandler lifted their target price on shares of Cadence Design Systems from $325.00 to $349.00 and gave the company a "neutral" rating in a research note on Tuesday, July 28th. Weiss Ratings downgraded shares of Cadence Design Systems from a "hold (c+)" rating to a "hold (c)" rating in a report on Wednesday, November 4th. Rosenblatt Securities reaffirmed a "buy" rating and issued a $420.00 target price on shares of Cadence Design Systems in a report on Friday, October 23rd. Finally, Morgan Stanley reiterated an "overweight" rating and issued a $400.00 price target (up from $370.00) on shares of Cadence Design Systems in a research note on Wednesday, July 29th. One analyst has rated the stock with a Strong Buy rating, eighteen have issued a Buy rating and three have assigned a Hold rating to the company's stock. According to data from MarketBeat, the stock currently has an average rating of "Moderate Buy" and an average target price of $410.05.

Key Headlines Impacting Cadence Design Systems

These are some of the CDNS headlines that stood out recently:

• Positive Sentiment: Cadence’s new Edge AI subsystem and OrCAD Xplore launch highlight continued product development and may support demand for its design tools. Edge AI subsystem article OrCAD Xplore article
• Neutral Sentiment: Options-market implied volatility has risen, signaling greater expectations of price movement but not indicating whether traders anticipate gains or losses. Options volatility article
• Neutral Sentiment: Director Lewis Chew sold 375 shares, while VP Paul Scannell sold 2,401 shares under a pre-arranged Rule 10b5-1 plan. Insider sales can draw attention, though the planned nature of Scannell’s transaction makes it less clearly a signal about near-term prospects. Chew SEC filing Scannell SEC filing

Cadence Design Systems Stock Up 1.2%

NASDAQ CDNS opened at $333.32 on Friday. The stock's 50 day moving average is $320.47 and its 200 day moving average is $327.74. The company has a current ratio of 1.36, a quick ratio of 1.18 and a debt-to-equity ratio of 0.29. Cadence Design Systems, Inc. has a 12 month low of $262.75 and a 12 month high of $416.69. The stock has a market cap of $91.46 billion, a PE ratio of 66.27, a P/E/G ratio of 3.12 and a beta of 1.10.

Cadence Design Systems (NASDAQ:CDNS - Get Free Report) last posted its quarterly earnings results on Monday, October 26th. The software maker reported $2.11 earnings per share for the quarter, topping the consensus estimate of $2.05 by $0.06. The business had revenue of $1.63 billion during the quarter, compared to the consensus estimate of $1.61 billion. Cadence Design Systems had a return on equity of 26.56% and a net margin of 22.51%. The firm's revenue for the quarter was up 22.0% compared to the same quarter last year. During the same period in the prior year, the company posted $1.93 EPS. Research analysts predict that Cadence Design Systems, Inc. will post 6.71 EPS for the current fiscal year.

Insider Transactions at Cadence Design Systems

In other Cadence Design Systems news, Director Albert Sangiovanni-Vincentelli sold 1,250 shares of Cadence Design Systems stock in a transaction on Tuesday, August 25th. The shares were sold at an average price of $320.88, for a total value of $401,100.00. Following the sale, the director directly owned 40,794 shares in the company, valued at approximately $13,089,978.72. The trade was a 2.97% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, VP Paul Scannell sold 2,401 shares of Cadence Design Systems stock in a transaction on Monday, November 9th. The shares were sold at an average price of $339.00, for a total transaction of $813,939.00. Following the completion of the sale, the vice president owned 27,763 shares in the company, valued at approximately $9,411,657. This represents a 7.96% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last three months, insiders have sold 11,736 shares of company stock valued at $3,772,365. 0.49% of the stock is owned by corporate insiders.

Cadence Design Systems Company Profile

Cadence Design Systems, Inc. develops software, hardware and intellectual property used to design and verify semiconductors and electronic systems. Its electronic design automation (EDA) tools help customers plan, build, test and analyze complex chips and circuit boards. The company also offers semiconductor intellectual property and hardware platforms for design prototyping and verification, as well as software for system analysis, including computational fluid dynamics and electromagnetic simulation.

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