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CDNS

BUY

Cadence Design Systems, Inc. · Technology · United States · $90.0B · Avg Vol: $801M/d

70
StockRank
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Q
75
V
20
M
68
P/E (TTM)
76.9x
ROE
20.7%
D/E
0.5x
Dividend %
—
Dir. Trades · 180d
−$64.6M →
Buybacks · 180d
$1B →

COMPANY DESCRIPTION

Cadence Design Systems is a leading provider of electronic design automation (EDA) software, hardware, and intellectual property that are crucial for designing and verifying integrated circuits and electronic systems. The company boasts a significant competitive moat driven by the highly specialized nature of its software, deep customer integration, and high switching costs within the semiconductor industry. Cadence holds a dominant market position, providing indispensable tools for advanced chip development.

FINANCIAL SUMMARY (USD)

Year2022202320242025CAGRTTM2026E2027EFwd CAGR
Revenue3.6B4.1B4.6B5.3B14.1%5.5B6.2B7.0B15.2%
EPS3.133.863.894.099.3%4.294.535.3514.4%
Shares272.7M271.7M273.9M271.8M-0.3%275.8M———
Debt887.4M764.4M2.6B2.6B43.4%3.1B———
Equity2.7B3.4B4.7B5.5B25.9%————
Op CF1.2B1.3B1.3B1.7B11.7%1.6B———
Inv CF-738.6M-412.2M-837.1M-460.5M—————
Fin CF-657.0M-803.6M1.2B-949.0M—————
Loading 1Y...
PRICE (1Y)-12.0%
326343360377395Jun 12Jul 7Jul 27
SMA 50SMA 200
Close
$338.61
RSI (14)
36.1
52W High
$416.69
From 52W High
0.8%

SCORE BREAKDOWN

Quality
75
ROIC
20.1%86.8
ROE
20.7%84.2
GP/Assets
46.9%86.8
Op. Margin
29.7%92.5
FCF/Assets
14.1%88.3
Piotroski
780.2
Int. Cover
14.4x53.7
D/E Ratio
0.47x31.0
Current Ratio
1.47x30.5
Value
20
P/E (TTM)
76.9x22.3
EV/EBITDA
45.9x20.8
P/FCF
62.9x28.9
P/B
13.9x7.8
P/S
16.5x10.4
Div Yield
—N/A
Momentum
68
52W High %
81%83.7
RS 6M
-1%65.1
SMA 50/200
1.14x63.2
EPS Rev 4W
+0.2%83.3
EPS Rev 12W
+0.1%56.2
EPS Improve
+119%60.0
Q Growth
23%52.0

FUNDAMENTALS

Market Cap
$90.0B
P/E (Forward)
35.1x
Gross Margin
86.1%

SECTOR PEERS

Closest peers in Technology, ranked by industry match, size, and score similarity. Cross-listings of CDNS are excluded.

TickerCompanyMkt CapStockRankSignal
CDNSCadence Design Systems, Inc.(you)$90.0B70BUY
INTUIntuit Inc.$81.1B74BUY
DDOGDatadog, Inc.$87.9B62HOLD
UBER.MXUber Technologies, Inc.$154.7B70BUY
FOO.DESalesforce, Inc.$128.2B75BUY
ADBE.MXAdobe Inc.$80.6B83STRONG BUY
ADPAutomatic Data Processing, Inc.$100.0B83STRONG BUY
SAP.DESAP SE$179.7B69BUY
AUD.DEAUTODESK INC. R$41.0B70BUY
CSU.TOConstellation Software Inc.$41.8B69BUY

Peer medians: ROE 6.7% · P/E 31.4x · Gross margin 33.0%

Cadence Design Systems, Inc. (CDNS) — Stock Score Summary

Cadence Design Systems, Inc. (CDNS) has a MoatMap StockRank of 70/100 based on Quality (75/100), Value (20/100), and Momentum (68/100) factor scores. The current signal is BUY.

Cadence Design Systems is a leading provider of electronic design automation (EDA) software, hardware, and intellectual property that are crucial for designing and verifying integrated circuits and electronic systems. The company boasts a significant competitive moat driven by the highly specialized nature of its software, deep customer integration, and high switching costs within the semiconductor industry. Cadence holds a dominant market position, providing indispensable tools for advanced chip development.

Key Financial Metrics

Price$338.61
Market Cap$90.0B
P/E (TTM)76.91
P/E (Forward)35.10
Price/Book13.87
Return on Equity20.7%
Return on Invested Capital20.1%
Debt/Equity0.47x
Gross Margin86.1%
Operating Margin29.7%
Revenue Growth18.7%
Free Cash Flow$1.4B

Cadence Design Systems, Inc. operates in the Software - Application industry, part of the Technology sector (United States).

Frequently Asked Questions

What is Cadence Design Systems, Inc.’s (CDNS) StockRank?
MoatMap’s StockRank for Cadence Design Systems, Inc. (CDNS) is 70/100, with a Buy signal. It is a composite of Quality (75), Value (20), and Momentum (68) factor ranks across MoatMap’s 20,000+ stock universe.
Does Cadence Design Systems, Inc. have an economic moat?
Cadence Design Systems, Inc. (CDNS) has a Quality factor score of 75/100. The Quality factor combines ROIC, Piotroski F-Score, and leverage — the financial fingerprints of a durable competitive advantage. A Quality score above 70 typically indicates a company with the characteristics of a moated business.
Is Cadence Design Systems, Inc. a buy, hold, or sell?
MoatMap’s current signal for Cadence Design Systems, Inc. (CDNS) is Buy, based on a StockRank of 70/100. Signals are derived mechanically from the StockRank composite and should be one input among many — combine with your own thesis on management, competitive position, and valuation.
What sector is Cadence Design Systems, Inc. in?
Cadence Design Systems, Inc. (CDNS) operates in the Technology sector, specifically the Software - Application industry (United States).
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