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Cadence Design Systems (CDNS) Declines More Than Market: Some Information for Investors
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Cadence Design Systems (CDNS - Free Report) ended the recent trading session at $348.42, demonstrating a -1.25% change from the preceding day's closing price. This move lagged the S&P 500's daily loss of 0.06%. Elsewhere, the Dow gained 0.38%, while the tech-heavy Nasdaq lost 0.44%.
The stock of maker of hardware and software products for validating chip designs has risen by 21.93% in the past month, leading the Computer and Technology sector's gain of 4.85% and the S&P 500's gain of 2.36%.
Analysts and investors alike will be keeping a close eye on the performance of Cadence Design Systems in its upcoming earnings disclosure. The company's earnings report is set to go public on October 26, 2026. The company is predicted to post an EPS of $2.04, indicating a 5.7% growth compared to the equivalent quarter last year. Our most recent consensus estimate is calling for quarterly revenue of $1.61 billion, up 20.27% from the year-ago period.
CDNS's full-year Zacks Consensus Estimates are calling for earnings of $8.13 per share and revenue of $6.32 billion. These results would represent year-over-year changes of +13.87% and +19.29%, respectively.
Investors should also note any recent changes to analyst estimates for Cadence Design Systems. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.17% higher. Cadence Design Systems presently features a Zacks Rank of #2 (Buy).
Digging into valuation, Cadence Design Systems currently has a Forward P/E ratio of 43.38. This indicates a premium in contrast to its industry's Forward P/E of 16.72.
Meanwhile, CDNS's PEG ratio is currently 2.97. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The Computer - Software industry currently had an average PEG ratio of 1.51 as of yesterday's close.
The Computer - Software industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 52, finds itself in the top 22% echelons of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
View the Zacks #1 Rank List
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Cadence Design Systems (CDNS) Declines More Than Market: Some Information for Investors
Cadence Design Systems (CDNS - Free Report) ended the recent trading session at $348.42, demonstrating a -1.25% change from the preceding day's closing price. This move lagged the S&P 500's daily loss of 0.06%. Elsewhere, the Dow gained 0.38%, while the tech-heavy Nasdaq lost 0.44%.
The stock of maker of hardware and software products for validating chip designs has risen by 21.93% in the past month, leading the Computer and Technology sector's gain of 4.85% and the S&P 500's gain of 2.36%.
Analysts and investors alike will be keeping a close eye on the performance of Cadence Design Systems in its upcoming earnings disclosure. The company's earnings report is set to go public on October 26, 2026. The company is predicted to post an EPS of $2.04, indicating a 5.7% growth compared to the equivalent quarter last year. Our most recent consensus estimate is calling for quarterly revenue of $1.61 billion, up 20.27% from the year-ago period.
CDNS's full-year Zacks Consensus Estimates are calling for earnings of $8.13 per share and revenue of $6.32 billion. These results would represent year-over-year changes of +13.87% and +19.29%, respectively.
Investors should also note any recent changes to analyst estimates for Cadence Design Systems. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.17% higher. Cadence Design Systems presently features a Zacks Rank of #2 (Buy).
Digging into valuation, Cadence Design Systems currently has a Forward P/E ratio of 43.38. This indicates a premium in contrast to its industry's Forward P/E of 16.72.
Meanwhile, CDNS's PEG ratio is currently 2.97. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. The Computer - Software industry currently had an average PEG ratio of 1.51 as of yesterday's close.
The Computer - Software industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 52, finds itself in the top 22% echelons of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.