Sumitomo Mitsui Trust Group Inc. Purchases 20,401 Shares of Cadence Design Systems, Inc. $CDNS

Key Points

• Sumitomo Mitsui Trust Group Inc. increased its holdings in Cadence Design Systems by 2.0%, acquiring an additional 20,401 shares to reach a total of 1,057,759 shares, valued at approximately $325.9 million.
• Cadence Design Systems reported $1.65 earnings per share for Q2 2025, surpassing analysts' expectations of $1.56, with a revenue increase of 20.2% year-over-year.
• Multiple analysts have given Cadence Design Systems a positive outlook, with price targets ranging from $355.00 to $400.00 and an overall consensus rating of "Moderate Buy."

Sumitomo Mitsui Trust Group Inc. increased its position in Cadence Design Systems, Inc. (NASDAQ:CDNS - Free Report) by 2.0% during the 2nd quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The firm owned 1,057,759 shares of the software maker's stock after acquiring an additional 20,401 shares during the quarter. Sumitomo Mitsui Trust Group Inc. owned about 0.39% of Cadence Design Systems worth $325,948,000 at the end of the most recent quarter.

Other institutional investors have also recently bought and sold shares of the company. Vanguard Group Inc. grew its position in Cadence Design Systems by 1.7% in the 1st quarter. Vanguard Group Inc. now owns 26,339,142 shares of the software maker's stock worth $6,698,834,000 after purchasing an additional 429,955 shares during the last quarter. Jennison Associates LLC grew its position in Cadence Design Systems by 13.2% in the 1st quarter. Jennison Associates LLC now owns 9,064,953 shares of the software maker's stock worth $2,305,489,000 after purchasing an additional 1,054,702 shares during the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC grew its position in Cadence Design Systems by 7.1% in the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 4,729,026 shares of the software maker's stock worth $1,202,733,000 after purchasing an additional 312,757 shares during the last quarter. Invesco Ltd. grew its position in Cadence Design Systems by 14.0% in the 1st quarter. Invesco Ltd. now owns 2,416,284 shares of the software maker's stock worth $614,534,000 after purchasing an additional 296,983 shares during the last quarter. Finally, Principal Financial Group Inc. grew its position in Cadence Design Systems by 0.4% in the 1st quarter. Principal Financial Group Inc. now owns 2,245,930 shares of the software maker's stock worth $571,208,000 after purchasing an additional 8,361 shares during the last quarter. Institutional investors own 84.85% of the company's stock.

Cadence Design Systems Trading Up 1.2%

CDNS opened at $341.43 on Friday. The company has a debt-to-equity ratio of 0.49, a current ratio of 2.82 and a quick ratio of 2.67. The company has a market cap of $93.04 billion, a price-to-earnings ratio of 92.59, a price-to-earnings-growth ratio of 4.33 and a beta of 0.99. The firm has a 50 day simple moving average of $347.09 and a 200 day simple moving average of $321.29. Cadence Design Systems, Inc. has a fifty-two week low of $221.56 and a fifty-two week high of $376.45.

Cadence Design Systems (NASDAQ:CDNS - Get Free Report) last posted its quarterly earnings results on Monday, July 28th. The software maker reported $1.65 earnings per share for the quarter, topping analysts' consensus estimates 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 business had revenue of $1.28 billion during the quarter, compared to the consensus estimate of $1.25 billion. During the same period in the previous year, the firm posted $1.28 earnings per share. Cadence Design Systems'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. On average, sell-side analysts anticipate that Cadence Design Systems, Inc. will post 5.41 earnings per share for the current year.

Insider Buying and Selling 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 that occurred on Wednesday, October 1st. The shares were sold at an average price of $348.27, for a total value of $348,270.00. Following the completion of the sale, the vice president owned 99,672 shares of the company's stock, valued at approximately $34,712,767.44. This represents a 0.99% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CFO John M. Wall sold 7,500 shares of the stock in a transaction on Tuesday, September 30th. The stock was sold at an average price of $349.16, for a total transaction of $2,618,700.00. Following the sale, the chief financial officer directly owned 70,715 shares of the company's stock, valued at $24,690,849.40. This represents a 9.59% decrease in their position. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 10,680 shares of company stock valued at $3,729,852. Corporate insiders own 1.99% of the company's stock.

Wall Street Analyst Weigh In

Several analysts have recently weighed in on CDNS shares. The Goldman Sachs Group started coverage on shares of Cadence Design Systems in a research report on Thursday, July 10th. They set a "buy" rating and a $380.00 target price on the stock. Berenberg Bank set a $400.00 price target on shares of Cadence Design Systems in a research report on Wednesday, July 30th. BNP Paribas initiated coverage on shares of Cadence Design Systems in a research report on Thursday, October 2nd. They issued an "outperform" rating and a $400.00 price target on the stock. Piper Sandler restated a "neutral" rating and issued a $355.00 price target (up from $328.00) on shares of Cadence Design Systems in a research report on Tuesday, July 29th. Finally, JPMorgan Chase & Co. boosted their price target on shares of Cadence Design Systems from $330.00 to $390.00 and gave the company an "overweight" rating in a research report on Tuesday, July 29th. Thirteen research analysts have rated the stock with a Buy rating, three have assigned a Hold rating and one has given a Sell rating to the stock. According to MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and a consensus price target of $369.71.

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.

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