Cadence Design Systems (NASDAQ:CDNS) Releases Quarterly Earnings Results, Misses Estimates By $0.33 EPS

Cadence Design Systems (NASDAQ:CDNS) issued its quarterly earnings data on Tuesday. The software maker reported $1.49 EPS for the quarter, missing the consensus estimate of $1.82 by ($0.33), Zacks reports. Cadence Design Systems had a net margin of 23.87% and a return on equity of 28.49%. Cadence Design Systems updated its Q1 2025 guidance to 1.460-1.520 EPS and its FY 2025 guidance to 6.650-6.750 EPS.

Cadence Design Systems Stock Up 1.8 %

Shares of NASDAQ:CDNS traded up $5.24 during trading on Tuesday, reaching $300.43. 2,788,225 shares of the stock traded hands, compared to its average volume of 1,540,249. The stock has a 50-day moving average of $303.01 and a two-hundred day moving average of $286.80. Cadence Design Systems has a 52-week low of $241.29 and a 52-week high of $328.99. The company has a debt-to-equity ratio of 0.54, a quick ratio of 2.27 and a current ratio of 2.45. The stock has a market cap of $82.40 billion, a P/E ratio of 78.85, a price-to-earnings-growth ratio of 3.50 and a beta of 1.03.

Analyst Ratings Changes

Several equities analysts recently issued reports on the stock. StockNews.com cut shares of Cadence Design Systems from a “buy” rating to a “hold” rating in a research report on Thursday, February 6th. Loop Capital assumed coverage on shares of Cadence Design Systems in a research report on Monday, November 11th. They set a “buy” rating and a $360.00 price target on the stock. Redburn Atlantic assumed coverage on shares of Cadence Design Systems in a research report on Monday, January 13th. They set a “buy” rating and a $350.00 price target on the stock. Mizuho boosted their price target on shares of Cadence Design Systems from $325.00 to $350.00 and gave the company an “outperform” rating in a research report on Friday, December 13th. Finally, Needham & Company LLC reduced their price target on shares of Cadence Design Systems from $320.00 to $315.00 and set a “buy” rating on the stock in a research report on Tuesday, October 29th. One research analyst has rated the stock with a sell rating, two have issued a hold rating and ten have assigned a buy rating to the company. Based on data from MarketBeat.com, Cadence Design Systems has a consensus rating of “Moderate Buy” and an average target price of $326.08.

Insider Activity

In other news, VP Paul Scannell sold 3,171 shares of the stock in a transaction that occurred on Friday, December 13th. The shares were sold at an average price of $305.78, for a total transaction of $969,628.38. Following the sale, the vice president now owns 14,318 shares in the company, valued at $4,378,158.04. This represents a 18.13 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. Also, VP Paul Cunningham sold 650 shares of the stock in a transaction that occurred on Monday, February 3rd. The shares were sold at an average price of $292.32, for a total transaction of $190,008.00. Following the sale, the vice president now owns 58,773 shares in the company, valued at approximately $17,180,523.36. The trade was a 1.09 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 108,416 shares of company stock worth $33,538,875 over the last 90 days. 1.99% of the stock is currently owned by 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.