Cadence Design Systems Inc (CDNS) Expected to Post Earnings of $0.48 Per Share

Wall Street brokerages forecast that Cadence Design Systems Inc (NASDAQ:CDNS) will post earnings per share of $0.48 for the current fiscal quarter, according to Zacks. Four analysts have made estimates for Cadence Design Systems’ earnings, with the highest EPS estimate coming in at $0.48 and the lowest estimate coming in at $0.47. Cadence Design Systems reported earnings per share of $0.39 in the same quarter last year, which would indicate a positive year over year growth rate of 23.1%. The company is expected to announce its next quarterly earnings report on Wednesday, January 30th.

According to Zacks, analysts expect that Cadence Design Systems will report full-year earnings of $1.82 per share for the current year, with EPS estimates ranging from $1.81 to $1.83. For the next year, analysts expect that the business will post earnings of $1.95 per share, with EPS estimates ranging from $1.86 to $2.02. Zacks’ earnings per share averages are an average based on a survey of research firms that follow Cadence Design Systems.

Cadence Design Systems (NASDAQ:CDNS) last posted its quarterly earnings results on Monday, October 22nd. The software maker reported $0.49 EPS for the quarter, beating the consensus estimate of $0.41 by $0.08. Cadence Design Systems had a net margin of 11.25% and a return on equity of 28.44%. The business had revenue of $532.47 million during the quarter, compared to analyst estimates of $516.50 million. During the same quarter in the previous year, the business posted $0.35 EPS. The company’s quarterly revenue was up 9.7% compared to the same quarter last year.

Several research firms have recently commented on CDNS. Zacks Investment Research upgraded shares of Cadence Design Systems from a “hold” rating to a “strong-buy” rating and set a $54.00 price target for the company in a report on Thursday, October 25th. BidaskClub lowered shares of Cadence Design Systems from a “buy” rating to a “hold” rating in a research note on Tuesday, July 31st. JPMorgan Chase & Co. boosted their price objective on shares of Cadence Design Systems from $42.00 to $49.00 and gave the stock a “market perform” rating in a research note on Tuesday, July 24th. Credit Suisse Group boosted their price objective on shares of Cadence Design Systems from $44.00 to $46.00 and gave the stock a “neutral” rating in a research note on Tuesday, July 24th. Finally, Needham & Company LLC boosted their price objective on shares of Cadence Design Systems from $47.00 to $50.00 and gave the stock a “buy” rating in a research note on Tuesday, July 24th. One analyst has rated the stock with a sell rating, three have issued a hold rating, five have issued a buy rating and one has given a strong buy rating to the stock. Cadence Design Systems presently has a consensus rating of “Buy” and an average target price of $50.86.

Shares of NASDAQ:CDNS traded down $0.16 during trading hours on Friday, hitting $45.15. The company’s stock had a trading volume of 2,309,100 shares, compared to its average volume of 2,236,068. Cadence Design Systems has a 52 week low of $35.49 and a 52 week high of $47.40. The company has a debt-to-equity ratio of 0.27, a quick ratio of 1.58 and a current ratio of 1.64. The firm has a market cap of $12.52 billion, a P/E ratio of 42.59, a P/E/G ratio of 3.18 and a beta of 1.13.

In related news, VP James J. Cowie sold 60,000 shares of the business’s stock in a transaction that occurred on Thursday, October 25th. The shares were sold at an average price of $45.99, for a total transaction of $2,759,400.00. Following the completion of the transaction, the vice president now owns 106,949 shares in the company, valued at approximately $4,918,584.51. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, CEO Lip Bu Tan sold 100,000 shares of the business’s stock in a transaction that occurred on Wednesday, August 15th. The stock was sold at an average price of $45.33, for a total transaction of $4,533,000.00. Following the transaction, the chief executive officer now owns 552,813 shares of the company’s stock, valued at approximately $25,059,013.29. The disclosure for this sale can be found here. In the last quarter, insiders have sold 280,476 shares of company stock valued at $12,829,314. 2.55% of the stock is currently owned by company insiders.

Several hedge funds and other institutional investors have recently bought and sold shares of CDNS. Ladenburg Thalmann Financial Services Inc. grew its position in Cadence Design Systems by 21.5% during the 1st quarter. Ladenburg Thalmann Financial Services Inc. now owns 10,562 shares of the software maker’s stock worth $389,000 after purchasing an additional 1,871 shares during the last quarter. Allianz Asset Management GmbH grew its position in Cadence Design Systems by 8.4% during the 1st quarter. Allianz Asset Management GmbH now owns 1,926,819 shares of the software maker’s stock worth $70,849,000 after purchasing an additional 148,830 shares during the last quarter. DnB Asset Management AS grew its position in Cadence Design Systems by 15.8% during the 2nd quarter. DnB Asset Management AS now owns 32,300 shares of the software maker’s stock worth $1,399,000 after purchasing an additional 4,400 shares during the last quarter. IFM Investors Pty Ltd grew its position in Cadence Design Systems by 112.3% during the 2nd quarter. IFM Investors Pty Ltd now owns 11,653 shares of the software maker’s stock worth $505,000 after purchasing an additional 6,164 shares during the last quarter. Finally, State of Alaska Department of Revenue grew its position in Cadence Design Systems by 29.5% during the 2nd quarter. State of Alaska Department of Revenue now owns 72,440 shares of the software maker’s stock worth $3,137,000 after purchasing an additional 16,500 shares during the last quarter. Hedge funds and other institutional investors own 87.25% of the company’s stock.

Cadence Design Systems Company Profile

Cadence Design Systems, Inc provides electronic design automation software, emulation and prototyping hardware, system interconnect, and analysis 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 simulation platform; Palladium Z1, a verification computing platform; and Protium S1 field-programmable gate array prototyping platform.

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