Cadence Design Systems (CDNS) Stock Overview
Develops computational, AI-driven software, hardware, and silicon intellectual property products and solutions. More details
| Snowflake Score | |
|---|---|
| Valuation | 0/6 |
| Future Growth | 3/6 |
| Past Performance | 2/6 |
| Financial Health | 4/6 |
| Dividends | 0/6 |
Rewards
Risk Analysis
No risks detected for CDNS from our risk checks.
CDNS Community Fair Values
Create NarrativeSee what 173 others think this stock is worth. Follow their fair value or set your own to get alerts.
Analyst Price Targets
Top Community Narratives
US$344.64
FV
4.3% undervalued intrinsic discount11.10%
Revenue growth p.a.
26
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JO
Jolt_Communications
Community ContributorUS$6.85FV • 71.1% undervalued intrinsic discount
73.0%Revenue growth p.a.
3.1k
7
0
69
Cadence Design Systems, Inc. Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | US$329.95 |
| 52 Week High | US$376.45 |
| 52 Week Low | US$262.75 |
| Beta | 1.04 |
| 1 Month Change | 18.74% |
| 3 Month Change | 11.33% |
| 1 Year Change | 10.08% |
| 3 Year Change | 60.93% |
| 5 Year Change | 160.01% |
| Change since IPO | 7,323.88% |
Recent News & Updates
CDNS: AI Partnerships And Software Multiples Will Shape Forward Returns
The analyst price target for Cadence Design Systems has been raised by $4.31 to $316.06. Analysts cite recent target revisions across the Street that balance higher long term earnings estimates with a more conservative P/E multiple amid software sector volatility and AI related demand expectations.Cadence Design Systems: The Foundation For All Things AI
Apr 28
Cadence Design Systems (CDNS): The Silicon-to-Systems AI Inflection
Cadence Design Systems (CDNS) , the premier architect of computational software for semiconductor and systems design, enters the final trading hours of Friday, April 24, 2026 , as it prepares for its Q1 2026 earnings release scheduled for Monday, April 27, 2026. The company sits at a critical juncture in the "Silicon-to-Systems" era, having just expanded its strategic alliances with NVIDIA and Google Cloud to integrate Gemini LLMs and Cadence’s ChipStack AI Super Agent into its cloud-native platforms.Recent updates
CDNS: AI Partnerships And Software Multiples Will Shape Forward Returns
The analyst price target for Cadence Design Systems has been raised by $4.31 to $316.06. Analysts cite recent target revisions across the Street that balance higher long term earnings estimates with a more conservative P/E multiple amid software sector volatility and AI related demand expectations.Cadence Design Systems: The Foundation For All Things AI
Apr 28Cadence Design Systems (CDNS): The Silicon-to-Systems AI Inflection
Cadence Design Systems (CDNS) , the premier architect of computational software for semiconductor and systems design, enters the final trading hours of Friday, April 24, 2026 , as it prepares for its Q1 2026 earnings release scheduled for Monday, April 27, 2026. The company sits at a critical juncture in the "Silicon-to-Systems" era, having just expanded its strategic alliances with NVIDIA and Google Cloud to integrate Gemini LLMs and Cadence’s ChipStack AI Super Agent into its cloud-native platforms.CDNS: AI Demand And Software Multiple Compression Will Shape Forward Returns
Analysts have modestly adjusted their fair value estimate for Cadence Design Systems to $311.75. This reflects updated expectations for slightly stronger revenue growth, higher profit margins and a lower assumed discount rate, even as price targets across the Street pull back on compressed software multiples and more cautious 2026 assumptions.
CDNS: AI Software Demand And NVIDIA Partnership Will Drive Shares Higher
Analysts have trimmed the blended price target on Cadence Design Systems by about $12 to reflect lower applied P/E multiples amid broader software volatility, even as they highlight solid Q4 results, raised long term EPS estimates, and ongoing AI related demand as key supports for the updated outlook. Analyst Commentary Recent research points to a mixed but generally constructive view on Cadence Design Systems, with analysts adjusting price targets to account for software sector volatility while still pointing to execution on earnings and demand as support for the equity story.CDNS: AI Software Demand And Multiple Compression Will Shape Future Returns
Analyst price targets for Cadence Design Systems have been trimmed by about $25 to $35 per share as analysts factor in lower valuation multiples after recent software volatility. They still point to solid Q4 results, raised longer term EPS estimates, and AI driven recurring software demand as key supports for the updated views.CDNS: AI Demand And Software Volatility Will Shape Future Pricing
Analysts trimmed their fair value estimate for Cadence Design Systems from about $317.59 to $310.77, reflecting lower valuation multiples even as they factor in higher revenue growth, stronger profit margins and updated P/E assumptions supported by recent earnings beats, longer term guidance and continued AI related demand. Analyst Commentary Recent Street research on Cadence Design Systems points to a mixed setup for investors, with several bearish analysts trimming price targets even as they acknowledge solid execution and AI related demand.CDNS: AI Design And Chiplet Advances Will Support Measured Future Pricing
Analysts have modestly lifted their price target on Cadence Design Systems, citing updated assumptions for revenue growth of 10.54%, profit margin of 20.81%, and a future P/E of 74.42. These factors collectively support a fair value estimate near $317.59.CDNS: AI Design And Chiplet Ecosystem Progress Will Shape Fair Pricing
Narrative Update on Cadence Design Systems Analysts now see fair value for Cadence Design Systems at about US$318, roughly US$4 below the prior estimate, reflecting slightly adjusted assumptions on discount rate, revenue growth, profit margin, and future P/E. What's in the News Private equity investor Orlando Bravo highlighted the recent software selloff as creating what he called a "huge buying opportunity," which may shape sentiment around software names that, like Cadence, are tied to critical design and infrastructure tools (Financial Times interview, as cited in periodical).CDNS: AI Design Demand And Chiplet Progress Will Test Fair Valuation
Narrative Update on Cadence Design Systems Analysts have lifted their fair value estimate for Cadence Design Systems from US$278.62 to US$321.36, citing recent price target increases such as the move to US$405, as well as continued confidence in strong chip design demand in artificial intelligence and high performance compute applications. Analyst Commentary Recent commentary around Cadence Design Systems has centered on how current expectations line up with the company’s execution in chip design tools for artificial intelligence and high performance compute.
CDNS: AI And High Performance Compute Demand Will Drive Future Upside
Analysts have raised their fair value estimate for Cadence Design Systems by $8 to $418, citing stronger recent Q3 results, firm forward growth guidance, and continued demand for the company's tools in artificial intelligence and high performance computing as the main reasons for the higher target. Analyst Commentary Analysts reacting to the recent Q3 report are highlighting what they see as solid execution and a supportive demand backdrop for Cadence Design Systems, especially in artificial intelligence and high performance computing workloads.Is There Now An Opportunity In Cadence Design Systems, Inc. (NASDAQ:CDNS)?
Dec 31
CDNS: AI And HPC Design Demand Will Drive Shares Higher
Analysts have nudged their price target on Cadence Design Systems higher by $2 to approximately $384 per share, citing sustained strength in advanced chip design activity for artificial intelligence and high performance computing, as well as solid near term growth guidance. Analyst Commentary JPMorgan lifted its price target on Cadence Design Systems to $405 from $390 and reiterated an Overweight rating following a strong Q3 print and guidance for another quarter of solid growth.CDNS: Advanced Chip Designs in AI Will Drive Share Performance Higher
Analysts have raised their price target for Cadence Design Systems from $390 to $405, citing strong Q3 results and continued growth in advanced chip design activities, particularly in artificial intelligence and high performance computing. Analyst Commentary Bullish Takeaways Bullish analysts point to Cadence's consistently strong earnings performance, highlighting impressive Q3 results and positive forward guidance.CDNS: Advanced Chip Design Demand Will Drive Stronger Share Performance
The analyst price target for Cadence Design Systems has been increased by $3 to $381.64, as analysts cite continued strong demand in advanced chip design as well as a positive growth outlook following robust quarterly results. Analyst Commentary Recent updates from major analysts have highlighted both strengths and risks facing Cadence Design Systems.CDNS: Advanced AI Chip Designs Will Drive Continued Market Leadership
Analysts raised their fair value estimate for Cadence Design Systems to $378.26 from $370.84. They cited improved revenue growth expectations and ongoing strength in demand for advanced chip design, particularly in artificial intelligence and high-performance computing sectors.AI Design And Chiplet Architecture Will Drive Future Success
Analysts have recently raised their price target for Cadence Design Systems to $400, up from previous targets around $350. They cite robust earnings, upward guidance revisions, and expectations for continued growth, driven by strength in hardware and AI-related demand.AI Design And Chiplet Architecture Will Drive Future Success
The analyst price target for Cadence Design Systems has been slightly raised to $370.84. This reflects ongoing confidence in the company's growth prospects and robust demand, according to recent analyst commentary.Investors Can Find Comfort In Cadence Design Systems' (NASDAQ:CDNS) Earnings Quality
Aug 06
Cadence Design Systems, Inc.'s (NASDAQ:CDNS) 32% Jump Shows Its Popularity With Investors
May 08Cadence Design Systems: Gaining Ground To Synopsys
Apr 27Cadence Design Systems: Strong Compounder But Lacks The Growth I Desire
Feb 24Cadence Q3: Export Control Regulations Might Affect Growth; Downgrade To 'Sell'
Dec 02Cadence Design Systems: Initiating With A Buy On AI Strides
Oct 31The Market Has High Expectations, But Cadence May Be Able To Exceed Them
Oct 03Shareholder Returns
| CDNS | US Software | US Market | |
|---|---|---|---|
| 7D | 5.0% | -0.7% | -0.2% |
| 1Y | 10.1% | -6.3% | 27.6% |
Return vs Industry: CDNS exceeded the US Software industry which returned -6.3% over the past year.
Return vs Market: CDNS underperformed the US Market which returned 27.6% over the past year.
Price Volatility
| CDNS volatility | |
|---|---|
| CDNS Average Weekly Movement | 6.9% |
| Software Industry Average Movement | 10.1% |
| Market Average Movement | 7.2% |
| 10% most volatile stocks in US Market | 16.2% |
| 10% least volatile stocks in US Market | 3.3% |
Stable Share Price: CDNS has not had significant price volatility in the past 3 months compared to the US market.
Volatility Over Time: CDNS's weekly volatility (7%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 1987 | 15,110 | Anirudh Devgan | www.cadence.com |
Cadence Design Systems, Inc. develops computational, AI-driven software, hardware, and silicon intellectual property products and solutions. The company offers functional verification services, such as Jasper, a formal verification platform; Xcelium, a parallel logic simulation platform; Verisium, a generative AI solution; Palladium, an enterprise emulation platform; and Protium, a prototyping platform for chip verification, as well as digital IC design and sign off products, including In novus platform; and custom IC design and simulation product include Virtuoso, a platform to design and verify analog. It also provides Xcelium logic simulator and other front-end verification and virtual prototyping technologies; controllers and physical interfaces; PCI Express, universal accelerator and compute express links, and multiple memory interfaces; and Ten Silica, a digital signal processor.
Cadence Design Systems, Inc. Fundamentals Summary
| CDNS fundamental statistics | |
|---|---|
| Market cap | US$91.12b |
| Earnings (TTM) | US$1.17b |
| Revenue (TTM) | US$5.53b |
77.8x
P/E Ratio16.5x
P/S RatioIs CDNS overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| CDNS income statement (TTM) | |
|---|---|
| Revenue | US$5.53b |
| Cost of Revenue | US$769.66m |
| Gross Profit | US$4.76b |
| Other Expenses | US$3.59b |
| Earnings | US$1.17b |
Last Reported Earnings
Mar 31, 2026
Next Earnings Date
n/a
| Earnings per share (EPS) | 4.24 |
| Gross Margin | 86.08% |
| Net Profit Margin | 21.18% |
| Debt/Equity Ratio | 44.3% |
How did CDNS perform over the long term?
See historical performance and comparisonCompany Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2026/04/30 16:58 |
| End of Day Share Price | 2026/04/29 00:00 |
| Earnings | 2026/03/31 |
| Annual Earnings | 2025/12/31 |
Data Sources
The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.
| Package | Data | Timeframe | Example US Source * |
|---|---|---|---|
| Company Financials | 10 years |
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| Analyst Consensus Estimates | +3 years |
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| Market Prices | 30 years |
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| Ownership | 10 years |
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| Management | 10 years |
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| Key Developments | 10 years |
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* Example for US securities, for non-US equivalent regulatory forms and sources are used.
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.
Analysis Model and Snowflake
Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.
Learn about the world class team who designed and built the Simply Wall St analysis model.
Industry and Sector Metrics
Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.
Analyst Sources
Cadence Design Systems, Inc. is covered by 41 analysts. 23 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.
| Analyst | Institution |
|---|---|
| Joseph Vruwink | Baird |
| Gary Mobley | Benchmark Company |
| Nay Soe Naing | Berenberg |