We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Insights Into Cadence (CDNS) Q3: Wall Street Projections for Key Metrics
Read MoreHide Full Article
Analysts on Wall Street project that Cadence Design Systems (CDNS - Free Report) will announce quarterly earnings of $1.44 per share in its forthcoming report, representing an increase of 14.3% year over year. Revenues are projected to reach $1.18 billion, increasing 15.7% from the same quarter last year.
The current level reflects a downward revision of 0.2% in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial projections over this period.
Before a company reveals its earnings, it is vital to take into account any changes in earnings projections. These revisions play a pivotal role in predicting the possible reactions of investors toward the stock. Multiple empirical studies have consistently shown a strong association between trends in earnings estimates and the short-term price movements of a stock.
While investors usually depend on consensus earnings and revenue estimates to assess the business performance for the quarter, delving into analysts' forecasts for certain key metrics often provides a more comprehensive understanding.
Bearing this in mind, let's now explore the average estimates of specific Cadence metrics that are commonly monitored and projected by Wall Street analysts.
The combined assessment of analysts suggests that 'Revenue- Product and maintenance' will likely reach $1.09 billion. The estimate suggests a change of +12.7% year over year.
The collective assessment of analysts points to an estimated 'Revenue- Services' of $94.08 million. The estimate suggests a change of +64.3% year over year.
Analysts predict that the 'Revenue Mix by Product Group - Functional Verification, including Emulation Hardware' will reach 26.3%. The estimate compares to the year-ago value of 26%.
Based on the collective assessment of analysts, 'Revenue Mix by Product Group - Digital IC Design and Signoff' should arrive at 26.2%. The estimate is in contrast to the year-ago figure of 28%.
Analysts forecast 'Revenue Mix by Product Group - IP' to reach 11.9%. The estimate is in contrast to the year-ago figure of 11%.
The average prediction of analysts places 'Revenue Mix by Product Group - System Design and Analysis' at 14.3%. The estimate compares to the year-ago value of 13%.
It is projected by analysts that the 'Revenue Mix by Product Group - Custom IC Design' will reach 21.4%. Compared to the current estimate, the company reported 22% in the same quarter of the previous year.
Over the past month, shares of Cadence have returned -8% versus the Zacks S&P 500 composite's +2.7% change. Currently, CDNS carries a Zacks Rank #2 (Buy), suggesting that it may outperform the overall market in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Insights Into Cadence (CDNS) Q3: Wall Street Projections for Key Metrics
Analysts on Wall Street project that Cadence Design Systems (CDNS - Free Report) will announce quarterly earnings of $1.44 per share in its forthcoming report, representing an increase of 14.3% year over year. Revenues are projected to reach $1.18 billion, increasing 15.7% from the same quarter last year.
The current level reflects a downward revision of 0.2% in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial projections over this period.
Before a company reveals its earnings, it is vital to take into account any changes in earnings projections. These revisions play a pivotal role in predicting the possible reactions of investors toward the stock. Multiple empirical studies have consistently shown a strong association between trends in earnings estimates and the short-term price movements of a stock.
While investors usually depend on consensus earnings and revenue estimates to assess the business performance for the quarter, delving into analysts' forecasts for certain key metrics often provides a more comprehensive understanding.
Bearing this in mind, let's now explore the average estimates of specific Cadence metrics that are commonly monitored and projected by Wall Street analysts.
The combined assessment of analysts suggests that 'Revenue- Product and maintenance' will likely reach $1.09 billion. The estimate suggests a change of +12.7% year over year.
The collective assessment of analysts points to an estimated 'Revenue- Services' of $94.08 million. The estimate suggests a change of +64.3% year over year.
Analysts predict that the 'Revenue Mix by Product Group - Functional Verification, including Emulation Hardware' will reach 26.3%. The estimate compares to the year-ago value of 26%.
Based on the collective assessment of analysts, 'Revenue Mix by Product Group - Digital IC Design and Signoff' should arrive at 26.2%. The estimate is in contrast to the year-ago figure of 28%.
Analysts forecast 'Revenue Mix by Product Group - IP' to reach 11.9%. The estimate is in contrast to the year-ago figure of 11%.
The average prediction of analysts places 'Revenue Mix by Product Group - System Design and Analysis' at 14.3%. The estimate compares to the year-ago value of 13%.
It is projected by analysts that the 'Revenue Mix by Product Group - Custom IC Design' will reach 21.4%. Compared to the current estimate, the company reported 22% in the same quarter of the previous year.
View all Key Company Metrics for Cadence here>>>
Over the past month, shares of Cadence have returned -8% versus the Zacks S&P 500 composite's +2.7% change. Currently, CDNS carries a Zacks Rank #2 (Buy), suggesting that it may outperform the overall market in the near future. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>