Cadence Design Systems (NASDAQ:CDNS) Releases FY 2025 Earnings Guidance

Cadence Design Systems (NASDAQ:CDNS - Get Free Report) issued an update on its FY 2025 earnings guidance on Tuesday morning. The company provided earnings per share (EPS) guidance of 6.650-6.750 for the period, compared to the consensus estimate of 6.820. The company issued revenue guidance of $5.1 billion-$5.2 billion, compared to the consensus revenue estimate of $5.3 billion. Cadence Design Systems also updated its Q1 2025 guidance to 1.460-1.520 EPS.

Cadence Design Systems Trading Down 4.4 %

Shares of Cadence Design Systems stock traded down $11.96 during trading on Friday, reaching $258.27. 4,553,254 shares of the company were exchanged, compared to its average volume of 1,870,280. The company has a quick ratio of 2.27, a current ratio of 2.93 and a debt-to-equity ratio of 0.53. Cadence Design Systems has a twelve month low of $241.29 and a twelve month high of $328.99. The business has a 50-day moving average price of $301.51 and a 200-day moving average price of $286.95. The firm has a market capitalization of $70.83 billion, a price-to-earnings ratio of 66.91, a P/E/G ratio of 3.17 and a beta of 1.03.

Cadence Design Systems (NASDAQ:CDNS - Get Free Report) last announced its quarterly earnings data on Tuesday, February 18th. The software maker reported $1.49 EPS for the quarter, missing analysts' consensus estimates of $1.82 by ($0.33). Cadence Design Systems had a return on equity of 29.24% and a net margin of 22.74%. The company had revenue of $1.36 billion for the quarter, compared to analyst estimates of $1.35 billion. Sell-side analysts anticipate that Cadence Design Systems will post 5.57 EPS for the current fiscal year.

Analysts Set New Price Targets

CDNS has been the subject of a number of research analyst reports. Wells Fargo & Company initiated coverage on Cadence Design Systems in a research note on Friday, November 22nd. They issued an "overweight" rating and a $350.00 target price for the company. Mizuho boosted their target price on Cadence Design Systems from $325.00 to $350.00 and gave the company an "outperform" rating in a research note on Friday, December 13th. Loop Capital decreased their target price on Cadence Design Systems from $360.00 to $340.00 and set a "buy" rating for the company in a research note on Wednesday. Robert W. Baird decreased their target price on Cadence Design Systems from $340.00 to $335.00 and set an "outperform" rating for the company in a research note on Thursday. Finally, StockNews.com lowered Cadence Design Systems from a "buy" rating to a "hold" rating in a report on Thursday, February 6th. One research analyst has rated the stock with a sell rating, two have assigned a hold rating and ten have given a buy rating to the company. Based on data from MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and a consensus price target of $326.92.

Insiders Place Their Bets

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

Cadence Design Systems Company Profile

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.