Carderock Capital Management Inc. Trims Stake in Cadence Design Systems, Inc. $CDNS

Carderock Capital Management Inc. lessened its holdings in Cadence Design Systems, Inc. (NASDAQ:CDNS) by 8.8% during the 2nd quarter, HoldingsChannel.com reports. The firm owned 24,899 shares of the software maker’s stock after selling 2,409 shares during the period. Cadence Design Systems accounts for approximately 2.1% of Carderock Capital Management Inc.’s holdings, making the stock its 20th largest holding. Carderock Capital Management Inc.’s holdings in Cadence Design Systems were worth $9,345,000 at the end of the most recent quarter.

Other hedge funds have also modified their holdings of the company. Whipplewood Advisors LLC raised its holdings in Cadence Design Systems by 933.3% in the 1st quarter. Whipplewood Advisors LLC now owns 93 shares of the software maker’s stock valued at $26,000 after buying an additional 84 shares during the period. Brown Lisle Cummings Inc. boosted its stake in Cadence Design Systems by 860.0% during the first quarter. Brown Lisle Cummings Inc. now owns 96 shares of the software maker’s stock worth $27,000 after buying an additional 86 shares during the period. University of Texas Texas AM Investment Management Co. purchased a new position in Cadence Design Systems during the fourth quarter worth about $28,000. Swiss RE Ltd. acquired a new stake in shares of Cadence Design Systems during the fourth quarter valued at about $29,000. Finally, Imprint Wealth LLC purchased a new stake in shares of Cadence Design Systems in the 3rd quarter valued at approximately $31,000. 84.85% of the stock is currently owned by hedge funds and other institutional investors.

Insider Activity at Cadence Design Systems

In other news, CEO Anirudh Devgan sold 25,005 shares of Cadence Design Systems stock in a transaction dated Tuesday, June 2nd. The stock was sold at an average price of $415.00, for a total value of $10,377,075.00. Following the completion of the transaction, the chief executive officer owned 253,519 shares in the company, valued at approximately $105,210,385. This trade represents a 8.98% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Ita M. Brennan sold 180 shares of the business’s stock in a transaction dated Wednesday, June 10th. The stock was sold at an average price of $387.45, for a total value of $69,741.00. Following the transaction, the director directly owned 8,004 shares of the company’s stock, valued at approximately $3,101,149.80. This represents a 2.20% 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. Insiders have sold 140,557 shares of company stock worth $54,631,737 over the last quarter. 0.49% of the stock is currently owned by insiders.

Cadence Design Systems Price Performance

Cadence Design Systems stock opened at $340.62 on Wednesday. The company has a quick ratio of 1.53, a current ratio of 1.74 and a debt-to-equity ratio of 0.36. Cadence Design Systems, Inc. has a 52-week low of $262.75 and a 52-week high of $416.69. The firm has a market cap of $93.80 billion, a PE ratio of 67.72, a price-to-earnings-growth ratio of 3.61 and a beta of 1.15. The company’s 50 day moving average is $370.79 and its two-hundred day moving average is $330.33.

Cadence Design Systems (NASDAQ:CDNS) last posted its quarterly earnings results on Monday, July 27th. The software maker reported $2.11 EPS for the quarter, topping the consensus estimate of $2.05 by $0.06. The business had revenue of $1.58 billion during the quarter, compared to the consensus estimate of $1.58 billion. Cadence Design Systems had a net margin of 23.60% and a return on equity of 27.98%. The company’s quarterly revenue was up 24.2% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $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, research analysts expect that Cadence Design Systems, Inc. will post 6.4 EPS for the current fiscal year.

Wall Street Analyst Weigh In

Several brokerages have recently commented on CDNS. Wall Street Zen upgraded shares of Cadence Design Systems from a “hold” rating to a “buy” rating in a report on Saturday. Berenberg Bank set a $440.00 target price on Cadence Design Systems in a research report on Wednesday, May 27th. Rosenblatt Securities upped their price target on Cadence Design Systems from $410.00 to $420.00 and gave the stock a “buy” rating in a research note on Tuesday, July 28th. Piper Sandler raised their price target on Cadence Design Systems from $325.00 to $349.00 and gave the stock a “neutral” rating in a research report on Tuesday, July 28th. Finally, Stifel Nicolaus boosted their price objective on Cadence Design Systems from $395.00 to $432.00 and gave the company a “buy” rating in a report on Tuesday, June 9th. Thirteen investment analysts have rated the stock with a Buy rating and three have given a Hold rating to the stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $405.69.

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.