Zacks Research Has Positive Estimate for CDNS Q4 Earnings

Cadence Design Systems, Inc. (NASDAQ:CDNS) – Equities research analysts at Zacks Research raised their Q4 2025 earnings estimates for shares of Cadence Design Systems in a report issued on Monday, August 18th. Zacks Research analyst Team now expects that the software maker will post earnings per share of $1.53 for the quarter, up from their prior estimate of $1.52. The consensus estimate for Cadence Design Systems’ current full-year earnings is $5.41 per share. Zacks Research also issued estimates for Cadence Design Systems’ FY2026 earnings at $6.11 EPS.

Cadence Design Systems (NASDAQ:CDNS) last announced its quarterly earnings results on Monday, July 28th. The software maker reported $1.65 earnings per share (EPS) for the quarter, beating the consensus estimate 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 firm had revenue of $1.28 billion during the quarter, compared to the consensus estimate of $1.25 billion. During the same period last year, the firm posted $1.28 EPS. The firm’s quarterly revenue was up 20.2% on a year-over-year basis. Cadence Design Systems has set its Q3 2025 guidance at 1.750-1.810 EPS. FY 2025 guidance at 6.850-6.950 EPS.

Several other equities analysts also recently issued reports on CDNS. The Goldman Sachs Group assumed coverage on shares of Cadence Design Systems in a report on Thursday, July 10th. They set a “buy” rating and a $380.00 price target for the company. Piper Sandler reissued a “neutral” rating and set a $355.00 price target (up from $328.00) on shares of Cadence Design Systems in a report on Tuesday, July 29th. Wall Street Zen downgraded shares of Cadence Design Systems from a “buy” rating to a “hold” rating in a report on Sunday, July 20th. JPMorgan Chase & Co. lifted their price target on shares of Cadence Design Systems from $330.00 to $390.00 and gave the company an “overweight” rating in a report on Tuesday, July 29th. Finally, Robert W. Baird boosted their target price on shares of Cadence Design Systems from $340.00 to $380.00 and gave the stock an “outperform” rating in a research note on Monday, July 28th. Twelve investment analysts have rated the stock with a Buy rating, two have given a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $364.33.

Cadence Design Systems Trading Down 0.4%

Shares of CDNS stock opened at $345.45 on Wednesday. Cadence Design Systems has a 12-month low of $221.56 and a 12-month high of $376.45. The company has a market capitalization of $94.13 billion, a P/E ratio of 93.37, a P/E/G ratio of 4.55 and a beta of 0.97. The firm has a 50-day moving average price of $327.57 and a 200 day moving average price of $295.14. The company has a quick ratio of 2.67, a current ratio of 2.82 and a debt-to-equity ratio of 0.49.

Institutional Investors Weigh In On Cadence Design Systems

Several institutional investors have recently modified their holdings of CDNS. Smallwood Wealth Investment Management LLC acquired a new stake in shares of Cadence Design Systems during the 1st quarter worth approximately $25,000. Costello Asset Management INC acquired a new position in Cadence Design Systems during the first quarter valued at approximately $25,000. Saudi Central Bank acquired a new position in Cadence Design Systems during the first quarter valued at approximately $27,000. Valley National Advisers Inc. grew its holdings in Cadence Design Systems by 707.1% during the first quarter. Valley National Advisers Inc. now owns 113 shares of the software maker’s stock valued at $28,000 after purchasing an additional 99 shares during the period. Finally, Barrett & Company Inc. acquired a new position in Cadence Design Systems during the second quarter valued at approximately $31,000. Institutional investors and hedge funds own 84.85% of the company’s stock.

Insider Activity at Cadence Design Systems

In other news, Director Ita M. Brennan sold 180 shares of Cadence Design Systems stock in a transaction that occurred on Tuesday, June 10th. The shares were sold at an average price of $304.00, for a total transaction of $54,720.00. Following the completion of the sale, the director owned 8,010 shares in the company, valued at $2,435,040. The trade was a 2.20% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, VP Paul Cunningham sold 1,000 shares of Cadence Design Systems stock in a transaction that occurred on Friday, August 1st. The stock was sold at an average price of $358.72, for a total transaction of $358,720.00. Following the sale, the vice president owned 104,499 shares of the company’s stock, valued at approximately $37,485,881.28. This represents a 0.95% decrease in their position. The disclosure for this sale can be found here. In the last quarter, insiders have sold 3,830 shares of company stock valued at $1,207,671. 1.99% of the stock is owned by corporate insiders.

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.