CI Investments Inc. Cuts Stock Position in Cadence Design Systems, Inc. $CDNS

Key Points

• CI Investments Inc. reduced its Cadence Design Systems stake by 12.6% in the first quarter, selling 6,038 shares and leaving it with 42,017 shares worth about $11.7 million.
• Wall Street remains bullish on Cadence, with several analysts raising price targets; the stock currently carries a Moderate Buy consensus and an average target price of $393.65.
• Insider selling has continued, including notable sales by a vice president and a director, while Cadence recently beat earnings expectations and issued guidance for FY 2026 EPS of $7.85 to $7.95.

CI Investments Inc. trimmed its holdings in Cadence Design Systems, Inc. (NASDAQ:CDNS - Free Report) by 12.6% during the 1st quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor owned 42,017 shares of the software maker's stock after selling 6,038 shares during the period. CI Investments Inc.'s holdings in Cadence Design Systems were worth $11,675,000 as of its most recent filing with the Securities & Exchange Commission.

A number of other hedge funds have also recently made changes to their positions in the business. University of Texas Texas AM Investment Management Co. bought a new stake in shares of Cadence Design Systems during the fourth quarter valued at approximately $28,000. Imprint Wealth LLC bought a new position in shares of Cadence Design Systems during the third quarter worth $31,000. Whipplewood Advisors LLC grew its stake in Cadence Design Systems by 933.3% during the first quarter. Whipplewood Advisors LLC now owns 93 shares of the software maker's stock valued at $26,000 after acquiring an additional 84 shares in the last quarter. Swiss RE Ltd. purchased a new position in Cadence Design Systems during the fourth quarter valued at $29,000. Finally, Brown Lisle Cummings Inc. increased its holdings in Cadence Design Systems by 860.0% in the 1st quarter. Brown Lisle Cummings Inc. now owns 96 shares of the software maker's stock valued at $27,000 after acquiring an additional 86 shares during the last quarter. Institutional investors own 84.85% of the company's stock.

Wall Street Analyst Weigh In

Several research analysts have commented on the stock. Rosenblatt Securities increased their price objective on shares of Cadence Design Systems from $375.00 to $410.00 and gave the company a "buy" rating in a report on Tuesday, July 14th. Robert W. Baird lifted their target price on Cadence Design Systems from $381.00 to $385.00 and gave the stock an "outperform" rating in a report on Tuesday, April 28th. Needham & Company LLC restated a "buy" rating and set a $400.00 price target on shares of Cadence Design Systems in a report on Tuesday, April 28th. Berenberg Bank set a $440.00 price objective on Cadence Design Systems in a research note on Wednesday, May 27th. Finally, Citigroup upped their price objective on Cadence Design Systems from $385.00 to $400.00 and gave the stock a "buy" rating in a report on Wednesday, April 29th. One research analyst has rated the stock with a Strong Buy rating, thirteen have issued a Buy rating and three have given a Hold rating to the company's stock. According to data from MarketBeat, Cadence Design Systems currently has an average rating of "Moderate Buy" and a consensus target price of $393.65.

Insiders Place Their Bets

In other news, VP Paul Scannell sold 7,081 shares of Cadence Design Systems stock in a transaction on Monday, June 1st. The stock was sold at an average price of $393.91, for a total transaction of $2,789,276.71. Following the completion of the sale, the vice president directly owned 32,181 shares in the company, valued at approximately $12,676,417.71. This trade represents a 18.04% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director James D. Plummer sold 1,511 shares of the business's stock in a transaction on Thursday, June 11th. The shares were sold at an average price of $381.34, for a total transaction of $576,204.74. Following the sale, the director directly owned 23,264 shares of the company's stock, valued at $8,871,493.76. This represents a 6.10% 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. Insiders own 0.49% of the company's stock.

Cadence Design Systems Stock Down 2.2%

NASDAQ CDNS opened at $337.01 on Thursday. The firm has a market capitalization of $92.95 billion, a price-to-earnings ratio of 78.56, a PEG ratio of 4.08 and a beta of 1.15. Cadence Design Systems, Inc. has a 52 week low of $262.75 and a 52 week high of $416.69. The company has a fifty day moving average of $374.79 and a two-hundred day moving average of $329.15. The company has a quick ratio of 1.32, a current ratio of 1.47 and a debt-to-equity ratio of 0.38.

Cadence Design Systems (NASDAQ:CDNS - Get Free Report) last announced its quarterly earnings data 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. Cadence Design Systems had a net margin of 21.18% and a return on equity of 28.44%. The business had revenue of $1.47 billion during the quarter, compared to the consensus estimate of $1.46 billion. During the same quarter last year, the firm earned $1.57 earnings per share. The firm's quarterly revenue was up 18.6% compared to the same quarter last year. 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. On average, analysts predict that Cadence Design Systems, Inc. will post 6.23 earnings per share for the current year.

Cadence Design Systems 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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