Nomura Asset Management Co. Ltd. Lowers Holdings in Cadence Design Systems, Inc. $CDNS

Key Points

• Nomura Asset Management cut its Cadence Design Systems stake by 18.9% in the fourth quarter, selling 55,023 shares and ending with 236,240 shares valued at about $73.8 million.
• Cadence shares were up slightly to $374.93, near the stock’s 52-week high of $383.80, and the company still carries a premium valuation with a market cap of $103.4 billion and a P/E ratio of 87.4.
• The company recently beat earnings expectations, posting $1.96 EPS on revenue of $1.47 billion, while also issuing FY2026 and Q2 2026 guidance that supports a positive outlook.

Nomura Asset Management Co. Ltd. decreased its stake in shares of Cadence Design Systems, Inc. (NASDAQ:CDNS - Free Report) by 18.9% in the fourth quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The fund owned 236,240 shares of the software maker's stock after selling 55,023 shares during the quarter. Nomura Asset Management Co. Ltd. owned about 0.09% of Cadence Design Systems worth $73,844,000 at the end of the most recent quarter.

A number of other large investors have also added to or reduced their stakes in CDNS. Spirepoint Private Client LLC raised its stake 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 worth $226,000 after purchasing an additional 32 shares during the last quarter. West Family Investments Inc. raised its stake in shares of Cadence Design Systems by 2.2% in the third quarter. West Family Investments Inc. now owns 1,559 shares of the software maker's stock worth $548,000 after purchasing an additional 33 shares during the last quarter. Pinnacle Associates Ltd. raised its stake in shares of Cadence Design Systems by 3.4% in the third quarter. Pinnacle Associates Ltd. now owns 1,079 shares of the software maker's stock worth $379,000 after purchasing an additional 35 shares during the last quarter. Global Assets Advisory LLC raised its stake in shares of Cadence Design Systems by 2.1% in the fourth 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 during the last quarter. Finally, Bridgewater Advisors Inc. raised its stake in shares of Cadence Design Systems by 3.0% in the fourth quarter. Bridgewater Advisors Inc. now owns 1,233 shares of the software maker's stock worth $384,000 after purchasing an additional 36 shares during the last quarter. Hedge funds and other institutional investors own 84.85% of the company's stock.

Cadence Design Systems Stock Up 0.3%

Cadence Design Systems stock opened at $374.93 on Friday. The stock has a market cap of $103.41 billion, a PE ratio of 87.40, a price-to-earnings-growth ratio of 4.44 and a beta of 1.13. 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, Inc. has a one year low of $262.75 and a one year high of $383.80. The stock has a fifty day moving average of $321.23 and a 200 day moving average of $312.80.

Cadence Design Systems (NASDAQ:CDNS - Get Free Report) last posted its quarterly earnings data on Monday, April 27th. The software maker reported $1.96 EPS for the quarter, beating analysts' consensus estimates of $1.91 by $0.05. The company had revenue of $1.47 billion during the quarter, compared to analysts' expectations of $1.46 billion. Cadence Design Systems had a return on equity of 28.44% and a net margin of 21.18%.Cadence Design Systems's revenue for the quarter was up 18.6% compared to the same quarter last year. During the same quarter in the prior year, the business earned $1.57 earnings per share. 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 predict that Cadence Design Systems, Inc. will post 6.23 EPS for the current year.

Key Headlines Impacting Cadence Design Systems

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

• Positive Sentiment: CDNS’s chart recently flashed a golden cross, with the 50-day moving average moving above the 200-day moving average. Traders often view this as a bullish technical signal that can suggest improving momentum and may attract additional buying. Cadence Design Systems (CDNS)'s Technical Outlook is Bright After Key Golden Cross
• Positive Sentiment: The company continues to benefit from strong fundamentals, including a recent earnings beat and upbeat guidance, which supports confidence in the stock’s longer-term outlook. Shares Fall, Targets Rise—Markets and Analysts Diverge on Synopsys (CDNS)
• Positive Sentiment: Cadence announced a partnership with Samsung to deliver a signoff-ready platform for AI infrastructure, reinforcing its role in the AI and semiconductor design ecosystem. Cadence, Samsung partner to deliver signoff-ready platform for AI infrastructure
• Neutral Sentiment: CEO Anirudh Devgan disclosed the sale of 51,887 shares under a pre-arranged 10b5-1 trading plan. While insider selling can pressure sentiment, the automated plan makes it less alarming than a discretionary sale. Cadence Design Systems NASDAQ: CDNS CEO Sells $19,198,190.00 in Stock
• Negative Sentiment: Some investors may view the stock’s elevated valuation as a risk, since CDNS already trades at a premium multiple after a strong run, which can limit upside if growth cools. Cadence Design Systems stock and company information

Analyst Ratings Changes

CDNS has been the subject of several recent analyst reports. Stifel Nicolaus set a $395.00 price target on Cadence Design Systems in a research note on Wednesday, February 18th. Rosenblatt Securities restated a "buy" rating and issued a $360.00 price target on shares of Cadence Design Systems in a research note on Friday, April 24th. Robert W. Baird boosted their price target on Cadence Design Systems from $381.00 to $385.00 and gave the stock an "outperform" rating in a research note on Tuesday, April 28th. Morgan Stanley decreased their price target on Cadence Design Systems from $385.00 to $370.00 and set an "overweight" rating for the company in a research note on Wednesday, February 18th. Finally, Piper Sandler increased their price target on Cadence Design Systems from $319.00 to $325.00 and gave the company a "neutral" rating in a report on Tuesday, April 28th. Fourteen equities research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the stock. Based on data from MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and an average target price of $384.41.

Insider Activity at Cadence Design Systems

In other Cadence Design Systems news, VP Paul Cunningham sold 1,000 shares of the company's stock in a transaction dated Friday, May 1st. The stock was sold at an average price of $337.49, for a total value of $337,490.00. Following the completion of the sale, the vice president owned 127,586 shares in the company, valued at $43,058,999.14. This represents a 0.78% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Ita M. Brennan sold 180 shares of the company's stock in a transaction dated Tuesday, March 17th. The stock was sold at an average price of $295.03, for a total value of $53,105.40. Following the completion of the sale, the director owned 7,470 shares of the company's stock, valued at approximately $2,203,874.10. The trade was a 2.35% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold 93,138 shares of company stock valued at $32,492,540 in the last 90 days. 0.49% of the stock is owned by company insiders.

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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