NASDAQ: CDNS

Cadence Design Systems (CDNS) Stock Analysis & Forecast

Cadence Design Systems, Inc. Technology services sector, packaged software industry. Market cap $77.91B.

$282.90+2.14 (+0.8%)

Close on Sep 18, 2026. Page updated Sep 19, 9:17 pm ET.

Gekko Brief

AI summary

Cadence Design Systems (CDNS) closes at $282.90, up 0.8%, but sits below both its 50-day average of $324.77 and its 200-day average of $326.08, with the shorter average also under the longer one. The stock has fallen 10.2% over one month, 27% over three months and 18.5% over the past year, and trades near its 52-week low of $262.75, well off the 52-week high of $416.69. The GekkoIndex reads 68.4, placing it in the Accumulation zone, while price sits just 0.1% above Gekko Fair Value of $282.70.

This week's coverage centers on Cadence's Tensilica IP, adopted by Analog Devices for its next-generation SHARC automotive audio processor family, alongside commentary on advanced packaging and 3D-IC demand tied to rising AI design complexity. Separately, two insider transactions were reported: Senior Vice President Paul Cunningham sold 2,000 shares worth $554,240 and exercised options for 1,000 shares valued at $138,020, while director Ita M. Brennan sold 180 shares worth $51,391 under a Rule 10b5-1 plan.

Cadence's next earnings report is set for 26 October 2026 after close, 36 days out and beyond a typical 20-trading-day hold. In the last quarter, EPS of $1.58 missed the $1.62 estimate, with an average absolute reaction of 5.4% historically and a 5.7% move after the last report. Over the last 90 days, Congress recorded 1 buy and 0 sells. Seasonally, the next 20 trading days have averaged a decline of 3.9% over 5 years, rising in only 1 of those years. Analyst coverage from 17 firms remains largely positive, with 15 buy ratings, 2 holds, no sells, and a consensus target of $402.12.

Written by AI and checked automatically against the figures on this page. Generated Sep 20, 2026 from the data above.

Price vs fair value

Close $282.90200-day averageGekko Fair Value $282.70

Key stats

Market cap
$77.91B
P/E ratio
54.6
Forward P/E
29.1
EPS, TTM
$5.02
Revenue, TTM
$5.84B
Profit margin
23.6%
Dividend yield
Beta
1.14
Volume
4.02M avg 2.55M
1-year return
−18.5%
Typical daily move
±3.6%
Typical 20-day move
±6.1%
50-day average
$324.77
200-day average
$326.08
Next earnings
Oct 26 after close
Shares outstanding
275.4M
52-week range
$262.75$416.69

Cadence Design Systems swing-trade checklist

Cadence Design Systems scores 3 supportive, 1 mixed and 2 headwinds across the 6 checklist items with data.

Six things swing traders check before a 20-day hold, read from the latest data.

3 supportive1 mixed2 headwinds

  • Trendheadwind

    Below 50 and 200-day

    Close $282.90 is below the 50-day ($324.77) and 200-day ($326.08) averages, and the 50-day is below the 200-day.

    See the chart
  • GekkoIndexsupportive

    68.4, Accumulation

    Reading 68.4 is in the Accumulation zone.

    See the GekkoIndex
  • Fair valuemixed

    0.1% above

    Price is within 5% of Gekko Fair Value (0.1% above).

    See fair value
  • Smart moneysupportive

    Leans bullish

    Last 90 days: Congress 1 buy / 0 sales.

    See smart money
  • Earnings risksupportive

    Reports in 36 days

    Next report Oct 26, 2026, 36 days away — outside a typical 20-trading-day hold.

    See earnings
  • Seasonalityheadwind

    −3.9% on average

    From this point in the calendar, the next 20 trading days averaged −3.9% over 5 years, rising in 1 of them.

    See seasonality

A description of current data, not a recommendation. How this page works

Cadence Design Systems stock chart and price history

Cadence Design Systems closed at $282.90 on Sep 18, 2026, −18.5% over the past year, inside a 52-week range of $262.75 to $416.69.

Close50-day average200-day averageVolume

Use the left and right arrow keys to read daily values.

Performance Breakdown

1 month
−10.2%
3 months
−27.0%
6 months
−1.6%
1 year
−18.5%
The full CDNS chart adds GekkoIndex, insider, options, Congress and hedge fund markers, plus TrendCandles™.Open CDNS in Gekko

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About Cadence Design Systems

Cadence Design Systems supplies the software, hardware and pre-built circuit components that engineers rely on to design and verify computer chips. It is recognized for its verification tools, which pair simulation software with dedicated emulation and prototyping machines, offered under names such as JasperGold, Xcelium, Palladium and Protium. The company also makes tools for laying out digital chip designs, checking their power use, testing their structure, and preparing finished layouts for manufacture.

Its product line extends to tools for building analog, mixed-signal and radio-frequency circuits at a detailed transistor level, as well as software for designing circuit boards and chip packaging and studying how electrical and thermal effects interact within them. Cadence sells reusable, pre-verified circuit designs and simulation models that help customers test how different chip interfaces behave together, and it backs its products with consulting, training, hosted design tools and ongoing support. Its customers work in fields including 5G networking, aerospace and defense, automotive, industrial and medical equipment, mobile devices, consumer electronics and large-scale computing.

Cadence Design Systems was founded in 1987 and is based in San Jose, California, with its shares listed on the NASDAQ under the ticker CDNS.

Listed
NASDAQ
Sector
Technology services
Industry
Packaged software
Website
cadence.com

Cadence Design Systems GekkoIndex: the smart money zone

Cadence Design Systems’s GekkoIndex — Gekko’s 0 to 100 smart money score — reads 68.4, in the Accumulation zone, down 1.5 points over five sessions.

010068.4Accumulation

Down 1.5 points over five sessions.

Reading for Sep 18, 2026

What followed past readings in each zone

ZoneReadings5 days10 days20 days50 days
Buying41+0.5%+2.1%+5.0%+11.2%
Accumulation (current zone)190+1.2%+1.7%+2.0%+9.3%
Neutral395−0.2%−0.4%−0.2%−1.4%
Distribution34−1.8%−0.8%−1.4%−6.5%
Selling2Too few readings yet

Average CDNS share-price change over the trading days after each daily reading in its GekkoIndex history. Across every stock Gekko tracks, Accumulation readings averaged +2.3% over 20 days. Past behaviour doesn’t guarantee future results.

Accumulation zone: Institutional interest building. About the five zones →

See every daily GekkoIndex reading plotted over the CDNS price, zone by zone.Track CDNS in Gekko

Is Cadence Design Systems stock overvalued? Gekko Fair Value

Cadence Design Systems trades 0.1% above Gekko Fair Value of $282.70, so the shares are about fair value on Gekko’s estimate.

Gekko’s own estimate of what Cadence Design Systems shares are worth, recalculated every trading day.

$282.70

Gekko Fair Value, Sep 17, 2026

0.1% above fair value · About fair value

How Gekko Fair Value works →

Gekko Fair Value on every chart, with the gap to price updating daily.Open CDNS in Gekko

Cadence Design Systems insider and Congress trading

No open-market insider purchases were filed for Cadence Design Systems, and members of Congress disclosed 1 purchase and 0 sales, in the last 90 days.

Plus buybacks, unusual options and fund positions, each dated to when it became public.

Insider buying last 90 days

No open-market insider purchases were filed for CDNS in the last 90 days.

From Form 4 filings, dated to when each was filed.

Every CDNS insider filing, plotted on the chart in Gekko.Open CDNS in Gekko

Congress trades last 90 days

1trade disclosed: 1 purchase and 0 sales.

MemberTypeAmountDisclosed
Ro Khanna
House, CA, purchase
Purchase$1,001 - $15,000Aug 12
traded Jul 7

From congressional disclosures, which report amounts as ranges.

Buybacks

Cadence Design Systems has been buying back its own shares.

Bought back, quarter ended Jun 30, 2026
$200.0M
As a share of market cap
0.26%
Trailing four quarters
$800.0M

From company filings.

Hedge funds and billionaires quarter ended Jun 30

1of the funds Gekko tracks holds CDNS.

0added0opened1trimmed1sold out
Which funds are on each side, name by name.Unlock in Gekko

Cadence Design Systems earnings: next date and track record

Cadence Design Systems reports on Oct 26, 2026, after the close (36 days away), and beat the EPS estimate in 7 of its last 8 reports.

7 of 8reports beat the EPS estimate
±5.4%average move across the report
5 of 8reports followed by a gain

Share-price move across each report

+10.6%Oct ’24−7.2%Feb ’25+4.3%Apr ’25+10.3%Jul ’25−1.1%Oct ’25+1.9%Feb ’26−2.3%Apr ’26+5.7%Jul ’26

Last earnings call, Jul 27, 2026 AI summary

What they said
Cadence reported strong Q2 2026 results with revenue of $1,584M, 24% YoY growth, record backlog of $8.1B, strong margins (non-GAAP operating margin 45.5%), GAAP EPS $1.33 and non-GAAP EPS $2.11. Management emphasized AI-driven demand, agentic AI (AuraS and super agents) creating TAM expansion and higher usage of their physically accurate tools (three-layer cake framework). They raised full-year revenue guidance to $6,260–6,340M (19% growth) and provided Q3 guidance. Strength was broad-based across EDA, IP, SDA, hardware; Hexagon integration progressing; new Intel collaboration announced. Management expects continued monetization via add-ons, increased usage, and recurring revenue (~80%). They plan to repurchase ~50% of free cash flow, and $200M in buybacks executed in Q2. They noted investments in integrations and partnerships (Intel, Hexagon) contributing to near-term expenses, but aim for improved margins in 2027. Export controls assumption included in outlook. No explicit mention of lowered guidance or major negatives, though supply constraints in hardware and regulatory/export controls noted as assumptions/risks.
Guidance
Updated 2026 outlook: revenue $6,260–6,340M (19% growth), GAAP operating margin 27.75%–28.75%, non-GAAP operating margin 43.75%–44.75%, GAAP EPS $4.76–$4.86, non-GAAP EPS $8.05–$8.15, operating cash flow ~ $2B. Q3 guidance: revenue $1,595–1,625M, GAAP operating margin 27.5%–28.5%, non-GAAP operating margin 43.5%–44.5%, GAAP EPS $1.11–$1.17, non-GAAP EPS $2.01–$2.07. Expect to use ~50% of free cash flow for share repurchases in 2026.
Risks flagged
Mentioned risks: export control regulations (outlook assumes current regulations remain similar); hardware supply constraints (hardware supply-constrained by demand); timing variability in IP revenue and bookings; integration and investment costs (Hexagon integration); broader macro or regulatory risks referenced via standard forward-looking statements. No dramatic near-term risk highlighted (e.g., no guidance cut).
ReportedEPSSurpriseRevenueSurpriseMove
Jul 27, 2026$1.58
est $1.62
−2.5%$1.58B
est $1.58B
+0.5%+5.7%
Apr 27, 2026$1.96
est $1.80
+8.9%$1.47B
est $1.46B
+1.2%−2.3%
Feb 17, 2026$1.99
est $1.91
+4.2%$1.44B
est $1.42B
+1.1%+1.9%
Oct 27, 2025$1.93
est $1.79
+7.8%$1.34B
est $1.32B
+1.2%−1.1%
Jul 28, 2025$1.65
est $1.56
+5.8%$1.28B
est $1.25B
+2.0%+10.3%
Apr 28, 2025$1.57
est $1.49
+5.4%$1.24B
est $1.24B
+0.2%+4.3%
Feb 18, 2025$1.88
est $1.82
+3.3%$1.36B
est $1.35B
+0.7%−7.2%
Oct 28, 2024$1.64
est $1.46
+12.3%$1.22B
est $1.18B
+2.9%+10.6%

“Move” is the close of the first session after the report compared with the close of the last session before it, so it reads the same whether the company reported before the open or after the close.

Cadence Design Systems stock forecast and analyst price targets

Analysts’ average 12-month price target for Cadence Design Systems is $402.12, +42.1% from the last close, from 17 firms rating the stock in the last 90 days.

$402.12consensus 12-month target, +42.1% from the last close
Low $300High $470
Buy15
Hold2
Sell0

Each firm’s latest rating in the last 90 days: 17 firms.

Latest analyst actions

DateFirmRatingTargetvs price
Sep 11FBN SecuritiesBuy, initiated$375+32.6%
Aug 28Stifel NicolausBuy, maintained$432+52.7%
Aug 19Bank of America SecuritiesBuy, reiterated$420+48.5%
Aug 3Mizuho SecuritiesBuy, reiterated
Jul 29Morgan StanleyBuy, maintained$400+41.4%
+2.0%average 20-day move after past Accumulation readings
−3.9%average move over the next 20 trading days in the last 5 years
±3.6%typical daily move, from the 14-day average range

Gekko doesn’t publish price predictions. These are analyst targets and historical base rates, which don’t guarantee future results.

Cadence Design Systems seasonality: the next 20 trading days

Over the next 20 trading days from Sep 19, Cadence Design Systems averaged −3.9% across the last 5 years, rising in 1 of them.

Next 20 trading days, by year

−2.1%2021−7.8%2022+5.7%2023−6.2%2024−12.7%2025

Average move and hit rate

WindowAverageYears higher
Next 5 trading days−2.6%1 of 5
Next 10 trading days−3.5%1 of 5
Next 15 trading days−3.5%2 of 5
Next 20 trading days−3.9%1 of 5
Next 30 trading days−0.4%3 of 5

For scale, CDNS’s typical 20-trading-day move in either direction is about 6.1%.

Cadence Design Systems market cap and key statistics

Cadence Design Systems’s market cap is $77.91B, with a P/E ratio of 54.6 and revenue of $5.84B over the last twelve months.

Valuation

Market cap
$77.91B
P/E ratio
54.6
Forward P/E
29.1
EPS, TTM
$5.02
Gekko Fair Value
$282.70

Trading

Volume
4.02M
Avg volume, 20 days
2.55M
52-week high
$416.69
52-week low
$262.75
Shares outstanding
275.4M

Financials

Revenue, TTM
$5.84B
Profit margin
23.6%
Return on equity
23.2%
Quarterly earnings growth, YoY
+125.4%

Risk and income

Beta
1.14
Typical daily move
±3.6%
Typical 20-day move
±6.1%

Cadence Design Systems stock news this week

Coverage of Cadence Design Systems this week reads positive: 4 positive, 1 neutral and 0 negative headlines.

News sentiment positive

Cadence Design Systems peers

Cadence Design Systems’s 6 largest industry peers by market value, with today’s move, GekkoIndex zone and gap to Gekko Fair Value.

StockTodayGekkoIndex zonevs Fair Value
MSFTMicrosoft−0.8%Neutral13.4% above
ORCLOracle−1.9%Neutral17.7% below
PLTRPalantir Technologies+0.3%Neutral11.3% above
PANWPalo Alto Networks−3.1%Neutral8.9% above
CRWDCrowdStrike−3.8%Neutral19.0% above
CRMSalesforce−2.6%Neutral1.3% below

A peer links to its own page where one exists.

In the Buying zone today

Reporting earnings this week

Popular on Gekko

Cadence Design Systems stock FAQ

What is Cadence Design Systems’s market cap?

Cadence Design Systems’s market cap is $77.91B at the Sep 18, 2026 close of $282.90, with 275.4M shares outstanding. The shares trade on a P/E ratio of 54.6.

What is the Cadence Design Systems stock forecast?

The consensus analyst 12-month price target for Cadence Design Systems is $402.12, +42.1% from the last close. Of the 17 firms that rated the stock in the last 90 days, 15 rate it a buy, 2 a hold and 0 a sell. Gekko doesn’t publish price predictions of its own.

Is Cadence Design Systems stock overvalued or undervalued?

On Gekko’s estimate Cadence Design Systems is about fair value: the Sep 18, 2026 close of $282.90 is 0.1% above Gekko Fair Value of $282.70. Gekko Fair Value is recalculated every trading day, and a gap inside 5% either way counts as about fair value.

When does Cadence Design Systems report earnings next?

Cadence Design Systems is expected to report on Oct 26, 2026, after the market closes (36 days away). Analysts expect earnings of $2.04 per share on revenue of $1.61B. Cadence Design Systems beat the earnings estimate in 7 of its last 8 reports, moving 5.4% on average across the report.

What is Cadence Design Systems’s 52-week high and low?

Cadence Design Systems’s 52-week high is $416.69 and its 52-week low is $262.75; it closed at $282.90 on Sep 18, 2026, −18.5% over the past year.

Is Cadence Design Systems stock a buy right now?

Gekko describes the data; it does not make buy or sell recommendations. On the swing-trade checklist, 3 of the 6 items with data read as supportive (gekkoindex, smart money and earnings risk), 1 as mixed (fair value) and 2 as headwinds (trend and seasonality). The checklist is a description of current data, not a recommendation.

How this page works

Prices and signals update after every US market close; the GekkoIndex, Gekko Fair Value and the checklist are Gekko’s own, and the Gekko Brief is written by AI from this page’s data and checked against it before it is published. How Gekko’s data works →

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