Cadence Design Systems, Inc. (NASDAQ:CDNS) Receives Average Recommendation of “Moderate Buy” from Analysts

Shares of Cadence Design Systems, Inc. (NASDAQ:CDNS) have earned a consensus rating of “Moderate Buy” from the nine brokerages that are currently covering the stock, Marketbeat Ratings reports. One equities research analyst has rated the stock with a hold rating and eight have issued a buy rating on the company. The average 1 year target price among brokerages that have issued a report on the stock in the last year is $334.56.

CDNS has been the subject of a number of research reports. StockNews.com downgraded Cadence Design Systems from a “buy” rating to a “hold” rating in a report on Thursday, May 2nd. Needham & Company LLC reissued a “buy” rating and issued a $320.00 price objective on shares of Cadence Design Systems in a report on Tuesday, July 23rd. KeyCorp lifted their price target on shares of Cadence Design Systems from $350.00 to $355.00 and gave the company an “overweight” rating in a research report on Thursday, June 27th. Piper Sandler upgraded Cadence Design Systems from a “neutral” rating to an “overweight” rating and set a $318.00 target price for the company in a research report on Tuesday, August 6th. Finally, Bank of America raised their price target on Cadence Design Systems from $330.00 to $350.00 and gave the stock a “buy” rating in a research report on Thursday, May 30th.

Cadence Design Systems Stock Performance

Shares of CDNS stock opened at $281.00 on Friday. The company has a market capitalization of $76.55 billion, a price-to-earnings ratio of 73.18, a PEG ratio of 3.14 and a beta of 1.03. The company has a debt-to-equity ratio of 0.23, a quick ratio of 1.32 and a current ratio of 1.43. Cadence Design Systems has a 52 week low of $217.77 and a 52 week high of $328.99. The company has a 50-day simple moving average of $292.63 and a 200 day simple moving average of $296.03.

Cadence Design Systems (NASDAQ:CDNS) last posted its earnings results on Monday, July 22nd. The software maker reported $1.28 EPS for the quarter, beating the consensus estimate of $1.22 by $0.06. The company had revenue of $1.06 billion for the quarter, compared to the consensus estimate of $1.04 billion. Cadence Design Systems had a return on equity of 29.54% and a net margin of 25.36%. The firm’s revenue for the quarter was up 8.6% on a year-over-year basis. During the same quarter in the prior year, the business earned $0.94 earnings per share. On average, sell-side analysts predict that Cadence Design Systems will post 4.74 earnings per share for the current year.

Insider Transactions at Cadence Design Systems

In related news, VP Paul Cunningham sold 650 shares of the firm’s stock in a transaction dated Thursday, August 1st. The stock was sold at an average price of $266.24, for a total value of $173,056.00. Following the sale, the vice president now directly owns 65,194 shares of the company’s stock, valued at $17,357,250.56. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this link. In related news, Director Vincentelli Albert Sangiovanni sold 1,500 shares of the stock in a transaction that occurred on Monday, July 15th. The shares were sold at an average price of $314.57, for a total value of $471,855.00. Following the completion of the transaction, the director now owns 46,551 shares of the company’s stock, valued at approximately $14,643,548.07. The sale was disclosed in a legal filing with the SEC, which is available through the SEC website. Also, VP Paul Cunningham sold 650 shares of the business’s stock in a transaction on Thursday, August 1st. The stock was sold at an average price of $266.24, for a total transaction of $173,056.00. Following the sale, the vice president now directly owns 65,194 shares in the company, valued at approximately $17,357,250.56. The disclosure for this sale can be found here. In the last quarter, insiders sold 47,684 shares of company stock valued at $14,288,863. Corporate insiders own 1.99% of the company’s stock.

Institutional Investors Weigh In On Cadence Design Systems

Several hedge funds have recently modified their holdings of the company. Sequoia Financial Advisors LLC grew its holdings in shares of Cadence Design Systems by 85.8% during the fourth quarter. Sequoia Financial Advisors LLC now owns 5,064 shares of the software maker’s stock worth $1,379,000 after purchasing an additional 2,339 shares during the last quarter. Financial Counselors Inc. increased its position in Cadence Design Systems by 2.2% in the 4th quarter. Financial Counselors Inc. now owns 3,077 shares of the software maker’s stock valued at $838,000 after acquiring an additional 67 shares during the period. Cerity Partners LLC increased its position in Cadence Design Systems by 54.8% in the 4th quarter. Cerity Partners LLC now owns 5,515 shares of the software maker’s stock valued at $1,502,000 after acquiring an additional 1,952 shares during the period. Valeo Financial Advisors LLC raised its stake in shares of Cadence Design Systems by 12.8% during the fourth quarter. Valeo Financial Advisors LLC now owns 1,911 shares of the software maker’s stock valued at $520,000 after acquiring an additional 217 shares during the last quarter. Finally, Perigon Wealth Management LLC grew its stake in shares of Cadence Design Systems by 107.3% in the fourth quarter. Perigon Wealth Management LLC now owns 2,340 shares of the software maker’s stock worth $637,000 after purchasing an additional 1,211 shares during the last quarter. Institutional investors and hedge funds own 84.85% of the company’s stock.

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.