Short Interest in Cadence Design Systems, Inc. (NASDAQ:CDNS) Drops By 18.0%

Cadence Design Systems, Inc. (NASDAQ:CDNS) saw a significant drop in short interest in the month of April. As of April 15th, there was short interest totaling 5,910,408 shares, a drop of 18.0% from the March 31st total of 7,205,915 shares. Approximately 2.2% of the shares of the stock are short sold. Based on an average daily trading volume, of 2,044,509 shares, the short-interest ratio is currently 2.9 days.

Cadence Design Systems Price Performance

CDNS traded up $11.35 during midday trading on Friday, hitting $340.94. The stock had a trading volume of 1,825,411 shares, compared to its average volume of 2,465,547. Cadence Design Systems has a 1 year low of $262.75 and a 1 year high of $376.45. The company has a debt-to-equity ratio of 0.38, a quick ratio of 2.67 and a current ratio of 1.47. The business has a fifty day moving average of $296.48 and a 200 day moving average of $309.33. The company has a market cap of $94.13 billion, a P/E ratio of 79.47, a price-to-earnings-growth ratio of 3.91 and a beta of 1.13.

Cadence Design Systems (NASDAQ:CDNS) last posted its quarterly earnings results on Monday, April 27th. The software maker reported $1.96 EPS for the quarter, topping the consensus estimate of $1.91 by $0.05. The firm had revenue of $1.47 billion for the quarter, compared to the consensus estimate of $1.46 billion. Cadence Design Systems had a net margin of 21.18% and a return on equity of 28.44%. The business’s revenue was up 18.6% compared to the same quarter last year. During the same period last year, the firm posted $1.57 earnings per share. Cadence Design Systems has set its FY 2026 guidance at 7.850-7.950 EPS and its Q2 2026 guidance at 2.020-2.080 EPS. As a group, equities analysts forecast that Cadence Design Systems will post 6.22 earnings per share for the current fiscal year.

Wall Street Analysts Forecast Growth

Several equities research analysts have issued reports on the stock. Stifel Nicolaus set a $395.00 target price on shares of Cadence Design Systems in a research report on Wednesday, February 18th. KeyCorp raised their price objective on shares of Cadence Design Systems from $405.00 to $425.00 and gave the company an “overweight” rating in a research report on Tuesday. Robert W. Baird lifted their price objective on shares of Cadence Design Systems from $381.00 to $385.00 and gave the stock an “outperform” rating in a report on Tuesday. Rosenblatt Securities reiterated a “buy” rating and issued a $360.00 target price on shares of Cadence Design Systems in a research report on Friday, April 24th. Finally, Piper Sandler increased their target price on Cadence Design Systems from $319.00 to $325.00 and gave the company a “neutral” rating in a research note on Tuesday. Fourteen research analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the stock. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average price target of $380.59.

Insider Buying and Selling

In other news, Director Ita M. Brennan sold 180 shares of Cadence Design Systems stock in a transaction dated Tuesday, March 17th. The stock was sold at an average price of $295.03, for a total transaction of $53,105.40. Following the completion of the sale, the director owned 7,470 shares in the company, valued at approximately $2,203,874.10. This trade represents a 2.35% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, CFO John M. Wall sold 21,500 shares of the business’s stock in a transaction dated Thursday, April 16th. The stock was sold at an average price of $309.45, for a total value of $6,653,175.00. Following the transaction, the chief financial officer directly owned 86,875 shares of the company’s stock, valued at $26,883,468.75. The trade was a 19.84% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 24,680 shares of company stock worth $7,579,340 over the last ninety days. 0.49% of the stock is owned by corporate insiders.

Institutional Trading of Cadence Design Systems

Several hedge funds have recently added to or reduced their stakes in the business. Y.D. More Investments Ltd purchased a new position in shares of Cadence Design Systems in the third quarter worth about $26,000. Caitlin John LLC purchased a new stake in Cadence Design Systems during the 3rd quarter valued at about $29,000. University of Texas Texas AM Investment Management Co. bought a new position in Cadence Design Systems during the 4th quarter worth approximately $28,000. Imprint Wealth LLC bought a new position in Cadence Design Systems during the 3rd quarter worth approximately $31,000. Finally, Whipplewood Advisors LLC increased its stake in Cadence Design Systems by 933.3% in the 1st quarter. Whipplewood Advisors LLC now owns 93 shares of the software maker’s stock worth $26,000 after purchasing an additional 84 shares during the period. 84.85% of the stock is owned by institutional investors.

Cadence Design Systems Company Profile

Cadence Design Systems, Inc (NASDAQ: CDNS) is a global provider of electronic design automation (EDA) software, hardware and intellectual property used to design and verify advanced semiconductor chips, systems-on-chip (SoCs), printed circuit boards (PCBs) and packaging. Headquartered in San Jose, California and founded in 1988, Cadence serves semiconductor companies, original equipment manufacturers and system designers across the globe, helping customers accelerate design cycles and manage the complexity of modern integrated systems.

The company’s offerings span software tools for digital, custom/analog and mixed-signal design, verification and signoff, as well as solutions for system-level modeling, thermal and signal integrity analysis, and PCB and package design.