🇺🇸 US Stock Screener ← Switch market ★ Elite Club ⚡ HerAI

Cadence Design Systems, Inc. CDNS NDXSPXAI

Technology · Software - Application · United States
https://www.cadence.com
Company Profile ↓
$371.50
+17.01% 1Y
Mkt Cap$102.47B
P/E86.40
P/B15.84
52W High$416.39
52W Low$265.66
Book Value$23.79
EPS (TTM)$4.30

Company Overview

Cadence Design Systems, Inc. develops computational, AI-driven software, hardware, and silicon intellectual property products and solutions. The company offers functional verification services, such as Jasper, a formal verification platform; Xcelium, a parallel logic simulation platform; Verisium, a generative AI solution; Palladium, an enterprise emulation platform; and Protium, a prototyping platform for chip verification, as well as digital IC design and sign off products, including In novus platform; and custom IC design and simulation product include Virtuoso, a platform to design and verify analog. It also provides Xcelium logic simulator and other front-end verification and virtual prototyping technologies; controllers and physical interfaces; PCI Express, universal accelerator and compute express links, and multiple memory interfaces; and Ten Silica, a digital signal processor. In addition, the company's design IP portfolio includes serializer/deserializer, peripheral component interconnect, USB, and other standard protocols; and Secure-IC, a solution for embedded security IP. Additionally, it provides System Design and Analysis (SD&A) platform, a solution that enables end-to-end system-level design and verification across chips, packages, PCBs, and electronic systems; Allegro X and Orca X platforms for PCB and advanced packaging; Sigrity X for signal and power integrity; AIR for RF design; Fidelity for computational fluid dynamics; Celsius for thermal and airflow analysis; Clarity 3D solver for electromagnetic and power electronics analysis and simulation; Integrity 3D-IC solution for 3D-IC and multi-chiplet designs; the Optimality Intelligent System Explorer, Reality digital twin, and Millennium enterprise multiphasic platforms; Allegro system design platform; and molecular modeling and simulation solutions and services. The company has a strategic collaboration with NVIDIA. The company was incorporated in 1987 and is headquartered in San Jose, California.

Why Investors Should Care

Strong Return on Equity

Generates a return on equity of 20.7%, reflecting efficient use of shareholder capital.

Healthy Capital Returns

Return on capital employed stands at 17.5%.

Consistent Profit Growth

Net profit has compounded at 13.4% per year over the last five years.

Steady Revenue Expansion

Revenue has grown at a 10.1% CAGR over the past five years.

Healthy Margins

Maintains a net profit margin of 21.2%.

Positive Free Cash Flow

Generates positive free cash flow, funding growth and shareholder returns internally.

Recent Developments

  • Dec 2025 Revenue of $5.30B (+14.1% YoY); net profit $1.11B.
  • Trailing 12 Months Year-on-year growth — revenue +18.7%, earnings +23.0%.
  • 5-Year Trend Long-term compounding — revenue CAGR 10.1%, profit CAGR 13.4%.

Growth & Price Performance

Compounded Sales Growth

5 Years:10.06%
1 Year:18.70%

Compounded Profit Growth

5 Years:13.43%
1 Year:23.00%

Stock Price Performance

1 Year:+17.01%
6 Months:+14.13%
3 Months:+27.07%
1 Month:-3.50%

Highlights auto-generated from reported financials and price data; not investment advice. Verify with official filings before acting.

AI Exposure AI EDA Software / AI Chip Design

Cadence provides AI-driven electronic-design-automation software and IP used to design the chips and systems that power AI — and increasingly uses AI within its own tools.

Core Focus

Computational-software for chip design, verification and system analysis, with AI woven throughout (Verisium, Cerebrus) and a growing IP business.

Key Initiatives
  • AI-driven design (Cerebrus/Verisium) Cadence embeds generative and reinforcement-learning AI to automate and optimise chip design and verification.
  • Tools for AI chips Its EDA software and IP are essential to designing the advanced AI accelerators and SoCs driving demand.
  • System design & analysis AI-enhanced multiphysics and system tools extend Cadence beyond pure chip design.
Why Investors Should Care
  • Duopoly EDA franchise levered to surging AI-chip design complexity — net margin ~21%.
  • AI both drives customer demand and improves Cadence's own tool productivity.
  • Highly recurring revenue with strong free cash flow and a wide moat.
  • Premium valuation and semiconductor-R&D cyclicality are key risks.
AI InvestmentCadence invests heavily in AI-native EDA (Cerebrus, Verisium) and design IP — AI is central to the roadmap.
AI RevenueAI-chip design activity drives tool and IP demand; AI is embedded across the portfolio rather than a separate disclosed line.
ROI (Now)Strong — AI-design demand and recurring software revenue underpin high margins today.
ROI (Expected)Rising AI-chip complexity should keep expanding EDA/IP content per design over time.

Curated from public filings and analyst commentary; figures are illustrative.

⚙Ad space

Price Chart

Robinhood TradingView

Fundamental Growth Charts

Interactive charts for Revenue, Net Income, EBITDA, Free Cash Flow, EPS, ROE, ROCE, Gross/Net/Operating Margin and more — switch metric and period using the dropdowns above. CAGR is computed across the displayed window (quarterly CAGR is annualised). Visual growth charts make it easy to spot multi-year compounding trends at a glance — far faster than reading raw numbers in a table.

PROS

  • Strong return on equity of 20.7%.
  • Excellent profit margin of 21.2%.
  • Compounding revenue at 10.1% over 5 years.
  • Profit CAGR of 13.4% over 5 years.
  • Generates positive free cash flow.
  • In a confirmed uptrend (50-DMA above 200-DMA).

CONS

  • Trading at a high P/E of 86.4.

* The pros and cons are auto-generated from financial metrics.

⚙Ad space

Valuation

Stock P/E
86.40
Industry PE
34.66
Forward P/E
39.55
PEG Ratio
3.64
Book Value
$23.79
Price to Book
15.84
P/S
18.80
EV/EBITDA
52.36
Dividend Yield
0.00%

Growth (CAGR)

Revenue 5Y
10.06%
Profit 5Y
13.43%
Revenue (YoY)
18.70%
Earnings (YoY)
23.00%

Profitability & Returns

ROCE
17.52%
ROE
20.66%
ROA
10.39%
Profit Margin
21.18%
Op Margin
29.70%
Gross Margin
86.08%
EPS (Latest Qtr)
$1.23
EPS (TTM)
$4.30

Balance Sheet & Liquidity

Debt/Equity
0.47
Quick Ratio
1.21
Current Ratio
1.47
Debt
$3.08B
Total Assets
$12.10B
Current Assets
-
Working Capital
-

Ownership

Promoter Holding
0.29%
Chg in Prom Hold
-
FII / Inst Holding
90.98%
Chg in FII Hold
-0.10%

Financial Snapshot

Enterprise Value
$102.47B
Total Revenue (TTM)
$5.53B
EBITDA
$2.01B
Free Cash Flow
$1.50B
Operating Cash Flow
$1.60B
Shares Outstanding
275.82M
Gross Margin
86.08%
Payout Ratio
0.00%

Peer comparison

Peer companies in the same sector (Technology).

#NameCMP $P/E Mkt CapDiv Yld % ROCE %ROE % Rev CAGR 5Y %Profit CAGR 5Y %
1 CDNS Cadence Design Systems, Inc. NDXSPXAI 371.50 86.40 $102.47B 0.00% 17.52% 20.66% 10.06% 13.43%
2 NVDA NVIDIA Corporation NDXSPXAI 212.50 32.59 $5.15T 0.47% 74.66% 114.29% 24.64% 32.12%
3 AAPL Apple Inc. NDXSPX 327.50 39.60 $4.81T 0.37% 68.72% 141.47% 1.81% 3.92%
4 MSFT Microsoft Corporation NDXSPXAI 395.63 23.96 $2.94T 0.95% 26.90% 34.01% 9.48% 10.85%
5 TSM Taiwan Semiconductor Manufacturing Company Limited AI 419.48 36.41 $2.18T 0.90% 30.20% 36.21% 18.94% 19.57%
6 AVGO Broadcom Inc. NDXSPXAI 394.28 64.96 $1.88T 0.68% 16.70% 37.28% 24.38% 26.24%
7 MU Micron Technology, Inc. NDXSPXAI 904.28 20.44 $1.02T 0.05% 13.69% 66.64% 13.68% 26.02%
8 AMD Advanced Micro Devices, Inc. NDXSPXAI 529.14 172.36 $862.82B 0.00% 6.33% 8.06% 13.64% 48.64%
9 ASML ASML Holding N.V. NDXAI 1,815.27 59.79 $699.64B 0.51% 42.97% 52.24% 15.55% 19.55%
Financial Statements Quarterly Results · Profit & Loss · Balance Sheet · Cash Flows · Ratios

Quarterly Results

Figures in USD.

Metric Mar 2013Jun 2013Sep 2013Mar 2014Jun 2014Sep 2014Apr 2015Jul 2015Oct 2015Apr 2016Jul 2016Oct 2016Apr 2017Jul 2017Sep 2017Mar 2018Jun 2018Sep 2018Mar 2019Jun 2019Sep 2019Mar 2020Jun 2020Sep 2020Apr 2021Jul 2021Oct 2021Apr 2022Jul 2022Oct 2022Mar 2023Jun 2023Sep 2023Mar 2024Jun 2024Sep 2024Mar 2025Jun 2025Sep 2025Mar 2026
Revenue --------------485.40M517.31M518.39M532.47M576.74M580.42M579.60M617.96M638.42M666.61M736.03M728.28M750.89M901.77M857.52M902.55M1.02B976.58M1.02B1.01B1.06B1.22B1.24B1.28B1.34B1.47B
Operating Income 58.14M45.14M47.93M42.31M35.50M54.05M49.28M76.40M77.90M58.04M66.91M66.84M79.60M82.69M80.39M85.83M93.06M103.63M128.40M133.68M120.83M139.35M151.95M169.27M203.94M185.44M194.03M318.93M282.89M260.75M322.46M299.33M292.91M249.96M293.88M350.06M361.52M241.80M425.39M431.33M
Net Income 78.61M9.43M38.50M33.07M23.26M37.53M36.26M58.16M77.62M50.56M49.34M64.71M68.26M69.13M81.16M72.89M75.15M99.32M120.56M107.23M101.51M123.99M131.29M161.63M187.17M155.90M176.31M235.34M186.92M186.31M241.80M221.12M254.32M247.64M229.52M238.11M273.58M160.05M287.12M335.66M
Diluted EPS 0.270.030.130.110.080.120.120.190.250.170.170.230.250.250.290.260.270.350.430.380.360.440.470.580.670.560.630.850.680.680.890.810.930.910.840.871.000.591.051.23
R&D Expense ---------------------241.67M250.82M250.93M270.99M285.23M289.11M290.89M286.60M323.63M350.30M354.42M369.64M378.96M370.74M407.37M439.10M442.06M423.03M508.44M

Profit & Loss (Annual)

Figures in USD.

Metric Jan 2009Jan 2010Jan 2011Dec 2011Dec 2012Dec 2013Jan 2015Jan 2016Dec 2016Dec 2017Dec 2018Dec 2019Jan 2021Jan 2022Dec 2022Dec 2023Dec 2024Dec 2025
Revenue 1.04B852.63M935.95M1.15B1.33B1.46B1.58B1.70B1.82B1.94B2.14B2.34B2.68B2.99B3.56B4.09B4.64B5.30B
Operating Income -1.57B-123.59M-28.97M120.38M211.67M189.01M206.64M285.43M244.90M323.95M396.21M491.80M645.55M779.09M1.07B1.25B1.35B1.49B
Net Income -1.86B-149.87M126.54M72.23M439.95M164.24M158.90M252.42M203.09M204.10M345.78M988.98M590.64M695.96M848.95M1.04B1.06B1.11B
Diluted EPS -7.30-0.580.480.271.570.560.520.810.700.731.233.532.112.503.093.823.854.06

Balance Sheet (Annual)

Figures in USD.

Metric Dec 2007Jan 2009Jan 2010Jan 2011Dec 2011Dec 2012Dec 2013Jan 2015Jan 2016Dec 2016Dec 2017Dec 2018Dec 2019Jan 2021Jan 2022Dec 2022Dec 2023Dec 2024Dec 2025
Total Assets --1.41B1.73B1.76B2.29B2.43B3.21B2.35B2.10B2.42B2.47B3.36B3.95B4.39B5.14B5.67B8.97B10.15B
Total Equity 2.17B186.71M108.37M276.65M411.13M915.17M1.16B1.33B1.38B741.77M989.20M1.29B2.10B2.49B2.74B2.75B3.40B4.67B5.47B
Cash & Equivalents 1.06B568.25M569.12M557.41M601.60M726.36M536.26M932.16M616.69M465.23M688.09M533.30M705.21M928.43M1.09B882.33M1.01B2.64B3.00B
Current Liabilities --397.90M697.55M1.02B1.22B1.15B1.39B536.31M585.56M642.40M708.98M672.39M796.81M971.23M1.35B1.59B1.37B1.64B

Cash Flows (Annual)

Figures in USD.

Metric Jan 2009Jan 2010Jan 2011Dec 2011Dec 2012Dec 2013Jan 2015Jan 2016Dec 2016Dec 2017Dec 2018Dec 2019Jan 2021Jan 2022Dec 2022Dec 2023Dec 2024Dec 2025
Operating Cash Flow 70.29M25.64M199.14M240.34M315.99M367.61M316.72M378.20M444.88M470.74M604.75M729.60M904.92M1.10B1.24B1.35B1.26B1.73B
Investing Cash Flow -126.89M-50.51M-285.11M-56.50M-201.24M-426.89M-198.01M-44.50M1.36M-191.21M-173.84M-105.71M-292.16M-292.95M-738.63M-412.25M-837.12M-460.52M
Financing Cash Flow -443.42M20.97M59.94M-144.80M15.83M-116.29M288.96M-626.31M-592.70M-70.15M-567.94M-443.89M-415.29M-643.79M-657.05M-803.57M1.24B-948.98M
Capital Expenditure -97.29M-41.31M-34.78M-31.42M-35.97M-44.93M-39.81M-44.81M-53.71M-57.90M-61.50M-74.61M-94.81M-65.30M-123.22M-102.34M-142.54M-141.87M
Free Cash Flow -27.00M-15.67M164.36M208.92M280.03M322.68M276.91M333.39M391.17M412.84M543.25M655.00M810.11M1.04B1.12B1.25B1.12B1.59B
Share Buybacks 273.95M-40.00M000100.12M333.19M960.29M100.03M250.06M306.15M380.06M612.30M1.05B700.13M550.03M925.03M

Ratios (Annual)

Figures in %.

Metric Jan 2009Jan 2010Jan 2011Dec 2011Dec 2012Dec 2013Jan 2015Jan 2016Dec 2016Dec 2017Dec 2018Dec 2019Jan 2021Jan 2022Dec 2022Dec 2023Dec 2024Dec 2025
Gross Margin % ------------------
Operating Margin % -151.5%-14.5%-3.1%10.5%16.0%12.9%13.1%16.8%13.5%16.7%18.5%21.1%24.1%26.1%30.1%30.6%29.1%28.2%
Net Margin % -178.8%-17.6%13.5%6.3%33.2%11.2%10.1%14.8%11.2%10.5%16.2%42.3%22.0%23.3%23.8%25.5%22.7%20.9%
ROE % -994.4%-138.3%45.7%17.6%48.1%14.2%11.9%18.3%27.4%20.6%26.8%47.0%23.7%25.4%30.9%30.6%22.6%20.3%
ROCE % --12.2%-2.8%16.1%19.8%14.8%11.4%15.8%16.2%18.2%22.5%18.3%20.5%22.8%28.3%30.7%17.8%17.5%

Shareholding Pattern

Insiders
0.29%
Institutions
90.98%
Public Float
91.25%

Top Institutional Holders

#Holder% HeldSharesValue
1 Blackrock Inc. 9.23% 25.45M $9.59B
2 Vanguard Capital Management LLC 6.46% 17.81M $6.71B
3 State Street Corporation 4.53% 12.49M $4.71B
4 FMR, LLC 3.32% 9.15M $3.45B
5 Geode Capital Management, LLC 2.86% 7.88M $2.97B
6 Vanguard Portfolio Management LLC 2.55% 7.03M $2.65B
7 JPMORGAN CHASE & CO 2.37% 6.55M $2.47B
8 Jennison Associates LLC 2.09% 5.76M $2.17B
9 Alliancebernstein L.P. 1.82% 5.01M $1.89B
10 Wellington Management Group, LLP 1.78% 4.90M $1.85B

Analyst View

Loading analyst coverage…

Latest News

Recent headlines for CDNS

Google News Wed, 15 Jul 2026

Cadence (CDNS) Stock Could Trade At A Premium Despite AI Chip Demand - Yahoo Finance

<a href="https://news.google.com/rss/articles/CBMimwFBVV95cUxQN0VFZTVud2lwcnVoNURaVExRNGp1M1dPdDFwVkJHUUdoSE9SRjMwWHNKZmhCU0JtcC1GRTlPRUhIdG5yM2FYOXpaWmMzUjhHMHhZNm13X055X3NwenlETFpNdVBCMnFqT184bVF0RFhBNXR6V1pseDljOFlXdkpfNGdZY0JiQ2xlRnQyaH…

Google News Wed, 15 Jul 2026

How To Bank 13% On CDNS Stock Before Buying A Single Share - Trefis

<a href="https://news.google.com/rss/articles/CBMixgFBVV95cUxOYlF1dkNUczEtVXhhODJYWVJUSnYybmx5MXJkdUhYZWpiUC1QSHdKa3JaSDZ4VnR5SU9LTmpneW1kdHJRUGpaSmhxb0VDQ1hSUi1sM1gxZGR0bmxTcEVZWG80eGs1QXVndVpsek9iS1pIcG9UMkVUTDRTOXBSNHVhQktNODMxNDZOVnhnNF…

Google News Wed, 15 Jul 2026

Cadence Design Systems (CDNS) Nears Earnings With Valuation Questions Still In Focus - simplywall.st

<a href="https://news.google.com/rss/articles/CBMi2AFBVV95cUxOMnF4OHFLcVM5bjJjTy1taUY0V3l4NWR4LWFHekpTV3ZyMXhfcFl6N3REbHdWMmdUVngwOXowellaQ05QeG1DR1J1OU8zVVhWcTBrU2h0eWdwczIzcTY4TjZqLXBZa21iS3dxMDVlUkF2ajd3ZGY5ZzNTLWhzNEVnR2djaERDSXBwQldyQW…

Google News Wed, 15 Jul 2026

Cadence Design Systems, Inc. (CDNS) Is a Trending Stock: Facts to Know Before Betting on It - Yahoo Finance

<a href="https://news.google.com/rss/articles/CBMinAFBVV95cUxPeWNkWE5ESnJFVHpZenBrUHRNVHVGb244VEdzWjV1bVRNcEp4LURXN0tOUTA1N3JmN2RySVo0aG96Y0poRm10VDNZS0xnWUlSbU1aT0xKVlRMSmdHN2dacnB1NDhmLWQ2aDFwLVpVUEpxazRBeHpVamVrSnBlb1AtNmV3TFl5OHpGQ1pXaT…

Google News Wed, 15 Jul 2026

New Buy Rating for Cadence Design (CDNS), the Technology Giant - The Globe and Mail

<a href="https://news.google.com/rss/articles/CBMi3AFBVV95cUxNWEZ0VE5yRDl0QzBMWDJWOHRpa1IwQWpSajNFZzhFMVdmaVg1WlJYZVhyWllyVVppZVFneUIxLUlpenNfM3FxZ1JhbXBUUTJ6OEVkZXlUM3dnd1RyaV9aNF8tWU9sUjBpQW9Ha3d6U1F4QzJrUzZ5bGtIY2R2dG1HMXVfUlV5aVByMERjZD…

Google News Fri, 10 Jul 2026

Cadence Design Sys Inc (NASDAQ:CDNS) Scores High Technical Rating and Setup Quality for Potential Breakout - ChartMill

<a href="https://news.google.com/rss/articles/CBMi6wFBVV95cUxNckpFbzY1QTFBejd2bzJxaHpybG9jU2lyVDBjUzZIVmNfV1ZHTjF6UXJDOFdneVh0YmpHSkQ4cXZLTi14VEt1b3FiN0lRanh5b3g2WDB0RlF3eHdKVkZlbEJtUVJES0xReXhpbmh1bE5TQkdhRl9BaUZNQVkyVVVGTEFsS2o3NzdyeG1ScT…

CDNS — Frequently Asked Questions

What is the current share price of Cadence Design Systems, Inc. (CDNS)?

As of 2026-07-15 16:51 PDT, Cadence Design Systems, Inc. (CDNS) trades at $371.50 on NasdaqGS. Its 52-week range is $265.66 to $416.39.

What is the market capitalisation of CDNS?

Cadence Design Systems, Inc. (CDNS) has a market capitalisation of $102.47B on NasdaqGS.

What is the P/E ratio of CDNS?

CDNS trades at a trailing price-to-earnings (P/E) ratio of 86.40. The industry average P/E is 34.66. Its price-to-book (P/B) ratio is 15.84.

What is the return on equity (ROE) of CDNS?

CDNS has a return on equity (ROE) of 20.66%. Its return on capital employed (ROCE) is 17.52%.

Is CDNS a good stock to buy?

This page provides a data-driven analysis of Cadence Design Systems, Inc. (CDNS), including valuation ratios, profitability, growth trends, auto-generated pros and cons, peer comparison and AI exposure. Review these fundamentals alongside your own research and risk tolerance. This is informational content, not investment advice.

Explore More

📊 Technology Sector 🔍 All Stock Screens 📈 Technical Screens 💰 Fundamental Screens 🔄 Swing Trading Setups 📐 Chart Patterns 📅 Earnings Calendar 📋 All USA Stocks
⚙Ad space