Comerica Bank Reduces Holdings in Cadence Design Systems, Inc. $CDNS

Key Points

• Comerica Bank sold 5,022 shares of Cadence Design Systems, reducing its holdings by 6.9% to a total of 68,287 shares, valued at approximately $17.37 million.
• Several other institutional investors significantly increased their positions in Cadence Design Systems, with GAMMA Investing LLC boosting its stake by 31,049.1% to over 1.2 million shares worth about $309.83 million.
• Cadence Design Systems reported a 20.2% revenue increase year-over-year for the recent quarter, with earnings of $1.65 per share, exceeding analysts' expectations.

Comerica Bank lowered its position in Cadence Design Systems, Inc. (NASDAQ:CDNS - Free Report) by 6.9% during the 1st quarter, according to the company in its most recent Form 13F filing with the SEC. The firm owned 68,287 shares of the software maker's stock after selling 5,022 shares during the quarter. Comerica Bank's holdings in Cadence Design Systems were worth $17,367,000 at the end of the most recent quarter.

Several other institutional investors have also recently made changes to their positions in CDNS. Park Square Financial Group LLC purchased a new position in Cadence Design Systems in the 4th quarter worth approximately $348,000. Merit Financial Group LLC grew its stake in Cadence Design Systems by 42.6% in the 1st quarter. Merit Financial Group LLC now owns 3,165 shares of the software maker's stock worth $805,000 after buying an additional 946 shares in the last quarter. Novem Group grew its stake in Cadence Design Systems by 30.3% in the 1st quarter. Novem Group now owns 4,067 shares of the software maker's stock worth $1,034,000 after buying an additional 945 shares in the last quarter. Seilern Investment Management Ltd purchased a new position in Cadence Design Systems in the 1st quarter worth approximately $64,800,000. Finally, Integrated Advisors Network LLC grew its stake in Cadence Design Systems by 156.9% in the 4th quarter. Integrated Advisors Network LLC now owns 3,406 shares of the software maker's stock worth $1,023,000 after buying an additional 2,080 shares in the last quarter. Institutional investors own 84.85% of the company's stock.

Cadence Design Systems Trading Down 1.1%

CDNS stock traded down $3.86 on Friday, reaching $350.43. The company's stock had a trading volume of 1,303,717 shares, compared to its average volume of 1,433,451. The business has a fifty day simple moving average of $334.39 and a two-hundred day simple moving average of $297.41. Cadence Design Systems, Inc. has a 12-month low of $221.56 and a 12-month high of $376.45. The firm has a market cap of $95.49 billion, a PE ratio of 94.71, a PEG ratio of 4.60 and a beta of 0.97. The company has a debt-to-equity ratio of 0.49, a quick ratio of 2.67 and a current ratio of 2.82.

Cadence Design Systems (NASDAQ:CDNS - Get Free Report) last announced its earnings results on Monday, July 28th. The software maker reported $1.65 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.56 by $0.09. The firm had revenue of $1.28 billion during the quarter, compared to analyst estimates of $1.25 billion. Cadence Design Systems had a return on equity of 29.65% and a net margin of 19.88%.The business's revenue was up 20.2% compared to the same quarter last year. During the same quarter in the prior year, the company earned $1.28 EPS. 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, research analysts forecast that Cadence Design Systems, Inc. will post 5.41 EPS for the current year.

Insiders Place Their Bets

In related news, VP Paul Cunningham sold 1,000 shares of the company's stock in a transaction dated Friday, August 1st. The shares were sold at an average price of $358.72, for a total value of $358,720.00. Following the transaction, the vice president owned 104,499 shares in the company, valued at $37,485,881.28. The trade was a 0.95% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, Director Ita M. Brennan sold 180 shares of the company's stock in a transaction dated 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 transaction, the director owned 8,010 shares in the company, valued at approximately $2,435,040. The trade was a 2.20% decrease in their position. The disclosure for this sale can be found here. Over the last three months, insiders sold 3,830 shares of company stock worth $1,207,671. Insiders own 1.99% of the company's stock.

Analysts Set New Price Targets

CDNS has been the subject of a number of recent research reports. Berenberg Bank set a $400.00 target price on Cadence Design Systems in a research report on Wednesday, July 30th. Rosenblatt Securities reissued a "neutral" rating and issued a $300.00 price target on shares of Cadence Design Systems in a report on Friday, July 25th. The Goldman Sachs Group began coverage on shares of Cadence Design Systems in a report on Thursday, July 10th. They issued a "buy" rating and a $380.00 price target on the stock. Stifel Nicolaus raised their price target on shares of Cadence Design Systems from $350.00 to $395.00 and gave the stock a "buy" rating in a report on Tuesday, July 29th. Finally, Wall Street Zen lowered shares of Cadence Design Systems from a "buy" rating to a "hold" rating in a report on Sunday. 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's stock. According to MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and an average target price of $364.33.

Cadence Design Systems Profile

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.