Cadence Design Systems (NASDAQ:CDNS) Cut to “Hold” at Wall Street Zen

Wall Street Zen lowered shares of Cadence Design Systems (NASDAQ:CDNS) from a buy rating to a hold rating in a report published on Saturday,Wall Street Zen reports.

Other equities research analysts have also recently issued research reports about the stock. Weiss Ratings raised shares of Cadence Design Systems from a “hold (c)” rating to a “hold (c+)” rating in a report on Thursday, July 30th. KeyCorp reissued an “overweight” rating on shares of Cadence Design Systems in a research report on Tuesday, July 28th. Bank of America boosted their target price on Cadence Design Systems from $400.00 to $420.00 and gave the company a “buy” rating in a research note on Tuesday, July 28th. Robert W. Baird upped their price target on Cadence Design Systems from $415.00 to $420.00 and gave the company an “outperform” rating in a research report on Tuesday, July 28th. Finally, Piper Sandler lifted their price objective on Cadence Design Systems from $325.00 to $349.00 and gave the stock a “neutral” rating in a report on Tuesday, July 28th. Fourteen equities research analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the stock. According to MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $403.88.

Cadence Design Systems Price Performance

Shares of NASDAQ CDNS opened at $279.06 on Friday. The company has a market capitalization of $76.85 billion, a PE ratio of 55.48, a PEG ratio of 3.10 and a beta of 1.14. The company has a quick ratio of 1.53, a current ratio of 1.74 and a debt-to-equity ratio of 0.36. The stock’s 50 day moving average price is $330.91 and its 200-day moving average price is $333.80. Cadence Design Systems has a twelve month low of $262.75 and a twelve month high of $416.69.

Cadence Design Systems (NASDAQ:CDNS) last posted its quarterly earnings data on Monday, July 27th. The software maker reported $2.11 earnings per share for the quarter, topping the consensus estimate of $2.05 by $0.06. The business had revenue of $1.58 billion for the quarter, compared to analysts’ expectations of $1.58 billion. Cadence Design Systems had a return on equity of 27.98% and a net margin of 23.60%.The business’s revenue was up 24.2% on a year-over-year basis. During the same quarter in the previous year, the firm earned $1.65 earnings per share. Cadence Design Systems has set its FY 2026 guidance at 8.050-8.150 EPS and its Q3 2026 guidance at 2.010-2.070 EPS. On average, equities analysts anticipate that Cadence Design Systems will post 6.4 EPS for the current year.

Insiders Place Their Bets

In other news, VP Paul Scannell sold 280 shares of the firm’s stock in a transaction on Wednesday, August 26th. The shares were sold at an average price of $339.00, for a total transaction of $94,920.00. Following the sale, the vice president owned 31,720 shares in the company, valued at approximately $10,753,080. This trade represents a 0.88% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, VP Paul Cunningham sold 2,000 shares of Cadence Design Systems stock in a transaction on Monday, August 17th. The stock was sold at an average price of $323.32, for a total transaction of $646,640.00. Following the sale, the vice president directly owned 124,586 shares of the company’s stock, valued at $40,281,145.52. This represents a 1.58% decrease in their ownership of the stock. 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. In the last 90 days, insiders have sold 3,710 shares of company stock worth $1,194,052. Insiders own 0.49% of the company’s stock.

Hedge Funds Weigh In On Cadence Design Systems

Several institutional investors have recently modified their holdings of the company. Whipplewood Advisors LLC lifted its holdings in shares of 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 acquiring an additional 84 shares during the last quarter. Brown Lisle Cummings Inc. grew its holdings in shares of Cadence Design Systems by 860.0% during the 1st quarter. Brown Lisle Cummings Inc. now owns 96 shares of the software maker’s stock valued at $27,000 after purchasing an additional 86 shares during the last quarter. University of Texas Texas AM Investment Management Co. purchased a new position in Cadence Design Systems in the 4th quarter worth $28,000. Avalon Trust Co purchased a new position in Cadence Design Systems in the 2nd quarter worth $30,000. Finally, Fiduciary Financial Advisors bought a new stake in Cadence Design Systems in the second quarter worth $31,000. 84.85% of the stock is currently owned by institutional investors.

About Cadence Design Systems

Cadence Design Systems, Inc is a technology company that develops electronic design automation (EDA) software, hardware and semiconductor intellectual property (IP). Its products help engineers design, verify and analyze integrated circuits, printed circuit boards and complete electronic systems.

The company offers solutions spanning digital and custom IC design, functional verification, digital and analog simulation, emulation and prototyping, system analysis, and 3D computational fluid dynamics.