Cadence Design Systems (NASDAQ:CDNS) Updates Q3 2026 Earnings Guidance

Cadence Design Systems (NASDAQ:CDNS) issued an update on its third quarter 2026 earnings guidance on Monday morning. The company provided earnings per share guidance of 2.010-2.070 for the period, compared to the consensus earnings per share estimate of 1.840. The company issued revenue guidance of -, compared to the consensus revenue estimate of $1.5 billion. Cadence Design Systems also updated its FY 2026 guidance to 8.050-8.150 EPS.

Cadence Design Systems Stock Up 3.8%

Shares of Cadence Design Systems stock traded up $12.37 on Monday, reaching $338.61. The company’s stock had a trading volume of 3,643,078 shares, compared to its average volume of 2,469,496. The company has a market capitalization of $93.40 billion, a price-to-earnings ratio of 78.93, a P/E/G ratio of 3.86 and a beta of 1.15. The firm’s fifty day simple moving average is $373.92 and its two-hundred day simple moving average is $329.47. Cadence Design Systems has a 52 week low of $262.75 and a 52 week high of $416.69. The company has a quick ratio of 1.32, a current ratio of 1.47 and a debt-to-equity ratio of 0.38.

Cadence Design Systems (NASDAQ:CDNS) last released its quarterly earnings data on Monday, July 27th. The software maker reported $2.11 EPS for the quarter, beating the consensus estimate of $2.05 by $0.06. Cadence Design Systems had a return on equity of 28.44% and a net margin of 21.18%.The company had revenue of $1.58 billion for the quarter, compared to analysts’ expectations of $1.58 billion. Cadence Design Systems has set its FY 2026 guidance at 8.050-8.150 EPS and its Q3 2026 guidance at 2.010-2.070 EPS. Equities analysts anticipate that Cadence Design Systems will post 6.23 earnings per share for the current year.

Wall Street Analysts Forecast Growth

Several equities analysts have recently weighed in on CDNS shares. Citigroup lifted their price objective on Cadence Design Systems from $385.00 to $400.00 and gave the company a “buy” rating in a report on Wednesday, April 29th. Piper Sandler raised their target price on shares of Cadence Design Systems from $319.00 to $325.00 and gave the stock a “neutral” rating in a report on Tuesday, April 28th. Rosenblatt Securities raised their target price on shares of Cadence Design Systems from $375.00 to $410.00 and gave the stock a “buy” rating in a report on Tuesday, July 14th. Robert W. Baird upped their price target on shares of Cadence Design Systems from $381.00 to $385.00 and gave the company an “outperform” rating in a report on Tuesday, April 28th. Finally, Weiss Ratings reissued a “hold (c)” rating on shares of Cadence Design Systems in a research report on Thursday, July 2nd. One analyst has rated the stock with a Strong Buy rating, thirteen have given a Buy rating and three have given a Hold rating to the company. According to MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $393.65.

Insider Buying and Selling at Cadence Design Systems

In other news, CEO Anirudh Devgan sold 51,887 shares of the firm’s stock in a transaction that occurred on Friday, May 22nd. The shares were sold at an average price of $370.00, for a total transaction of $19,198,190.00. Following the completion of the transaction, the chief executive officer directly owned 303,525 shares of the company’s stock, valued at $112,304,250. This trade represents a 14.60% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, VP Paul Scannell sold 10,500 shares of Cadence Design Systems stock in a transaction that occurred on Friday, May 1st. The shares were sold at an average price of $339.00, for a total transaction of $3,559,500.00. Following the completion of the sale, the vice president owned 33,946 shares in the company, valued at $11,507,694. This trade represents a 23.62% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 157,057 shares of company stock valued at $60,272,277 in the last 90 days. 0.49% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Cadence Design Systems

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Imprint Wealth LLC acquired a new position in shares of Cadence Design Systems during the 3rd quarter worth about $31,000. Swiss RE Ltd. bought a new position in shares of Cadence Design Systems in the 4th quarter valued at about $29,000. JPL Wealth Management LLC acquired a new stake in shares of Cadence Design Systems in the third quarter valued at about $35,000. Strategic Wealth Investment Group LLC acquired a new stake in shares of Cadence Design Systems in the second quarter valued at about $32,000. Finally, Kemnay Advisory Services Inc. bought a new stake in Cadence Design Systems during the fourth quarter worth about $34,000. 84.85% of the stock is currently owned by institutional investors and hedge funds.

Cadence Design Systems Company Profile

Cadence Design Systems, Inc (NASDAQ: CDNS) is a global provider of electronic design automation (EDA) software, hardware and intellectual property used to design and verify advanced semiconductor chips, systems-on-chip (SoCs), printed circuit boards (PCBs) and packaging. Headquartered in San Jose, California and founded in 1988, Cadence serves semiconductor companies, original equipment manufacturers and system designers across the globe, helping customers accelerate design cycles and manage the complexity of modern integrated systems.

The company’s offerings span software tools for digital, custom/analog and mixed-signal design, verification and signoff, as well as solutions for system-level modeling, thermal and signal integrity analysis, and PCB and package design.