The stock price of Cadence Design Systems, Inc (NASDAQ: CDNS) has jumped by 0.21 compared to previous close of 307.20. Despite this, the company has seen a gain of 3.90% in its stock price over the last five trading days. zacks.com reported 2025-06-11 that Recently, Zacks.com users have been paying close attention to Cadence (CDNS). This makes it worthwhile to examine what the stock has in store.
Is It Worth Investing in Cadence Design Systems, Inc (NASDAQ: CDNS) Right Now?
Cadence Design Systems, Inc (NASDAQ: CDNS) has a price-to-earnings ratio that is above its average at 77.97x. The stock has a 36-month beta value of 0.99. Opinions on the stock are mixed, with 14 analysts rating it as a “buy,” 5 as “overweight,” 3 as “hold,” and 1 as “sell.”
The public float for CDNS is 271.50M, and at present, short sellers hold a 1.35% of that float. On June 13, 2025, the average trading volume of CDNS was 2.25M shares.
CDNS’s Market Performance
CDNS stock saw a decrease of 3.90% in the past week, with a monthly decline of -3.39% and a quarterly a decrease of 27.44%. The volatility ratio for the week is 0.65%, and the volatility levels for the last 30 days are 2.77% for Cadence Design Systems, Inc (CDNS). The simple moving average for the last 20 days is 0.77% for CDNS’s stock, with a simple moving average of 8.62% for the last 200 days.
Analysts’ Opinion of CDNS
Many brokerage firms have already submitted their reports for CDNS stocks, with JP Morgan repeating the rating for CDNS by listing it as a “Overweight.” The predicted price for CDNS in the upcoming period, according to JP Morgan is $325 based on the research report published on April 24, 2025 of the current year 2025.
Redburn Atlantic, on the other hand, stated in their research note that they expect to see CDNS reach a price target of $350. The rating they have provided for CDNS stocks is “Buy” according to the report published on January 13th, 2025.
Wells Fargo gave a rating of “Overweight” to CDNS, setting the target price at $350 in the report published on November 22nd of the previous year.
CDNS Trading at 6.37% from the 50-Day Moving Average
After a stumble in the market that brought CDNS to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -6.43% of loss for the given period.
Insider Trading
Reports are indicating that there were more than several insider trading activities at CDNS starting from Brennan Ita M, who sale 180 shares at the price of $304.00 back on Jun 10 ’25. After this action, Brennan Ita M now owns 8,010 shares of Cadence Design Systems, Inc, valued at $54,720 using the latest closing price.
Cunningham Paul, the Sr. Vice President of Cadence Design Systems, Inc, sale 650 shares at $285.97 during a trade that took place back on Jun 02 ’25, which means that Cunningham Paul is holding 107,499 shares at $185,881 based on the most recent closing price.
Stock Fundamentals for CDNS
Current profitability levels for the company are sitting at:
- 0.3 for the present operating margin
- 0.86 for the gross margin
The net margin for Cadence Design Systems, Inc stands at 0.22. The total capital return value is set at 0.19. Equity return is now at value 25.92, with 14.68 for asset returns.
Based on Cadence Design Systems, Inc (CDNS), the company’s capital structure generated 0.34 points at debt to capital in total, while cash flow to debt ratio is standing at 0.6. The debt to equity ratio resting at 0.52. The interest coverage ratio of the stock is 15.17.
Currently, EBITDA for the company is 1.67 billion with net debt to EBITDA at -0.17. When we switch over and look at the enterprise to sales, we see a ratio of 17.18. The receivables turnover for the company is 8.39for trailing twelve months and the total asset turnover is 0.54. The liquidity ratio also appears to be rather interesting for investors as it stands at 3.07.
Conclusion
To sum up, Cadence Design Systems, Inc (CDNS) has seen a better performance recently. Analysts have differing views on the stock, with some seeing it as a “buy” and others as a “hold”. It is worth mentioning that the stock is currently trading in close proximity to its 50-day moving average and its 52-week high.
