Cadence Design Systems (NASDAQ:CDNS) Stock Jumps 7.4% – Time to Buy?

Posted by Stanley Muller on Oct 1st, 2026

Cadence Design Systems, Inc. (NASDAQ:CDNS – Get Free Report) traded up 7.4% on Thursday. The company traded as high as $349.77 and last traded at $354.6320. Approximately 291,709 shares traded hands during trading, a decline of 88% from the average daily volume of 2,457,548 shares. The stock had previously closed at $330.18.

Analysts Set New Price Targets

CDNS has been the subject of several research reports. Stifel Nicolaus increased their price objective on shares of Cadence Design Systems from $395.00 to $432.00 and gave the stock a “buy” rating in a research report on Tuesday, June 9th. FBN Securities initiated coverage on shares of Cadence Design Systems in a research note on Friday, September 11th. They issued an “outperform” rating and a $375.00 price target for the company. Wall Street Zen upgraded Cadence Design Systems from a “hold” rating to a “buy” rating in a research note on Saturday, September 26th. Robert W. Baird upped their price target on shares of Cadence Design Systems from $415.00 to $420.00 and gave the company an “outperform” rating in a research note on Tuesday, July 28th. Finally, Morgan Stanley restated an “overweight” rating and set a $400.00 price objective on shares of Cadence Design Systems in a report on Wednesday, July 29th. One investment analyst has rated the stock with a Strong Buy rating, thirteen have issued a Buy rating and three have issued a Hold rating to the company’s stock. Based on data from MarketBeat.com, Cadence Design Systems currently has a consensus rating of “Moderate Buy” and a consensus price target of $403.88.

Read Our Latest Research Report on Cadence Design Systems

Cadence Design Systems Stock Up 4.1%

The firm’s 50 day simple moving average is $317.03 and its two-hundred day simple moving average is $334.29. The firm has a market cap of $94.65 billion, a price-to-earnings ratio of 68.39, a PEG ratio of 3.48 and a beta of 1.14. The company has a current ratio of 1.74, a quick ratio of 1.53 and a debt-to-equity ratio of 0.36.

Cadence Design Systems (NASDAQ:CDNS – Get Free Report) last issued its quarterly earnings results on Monday, July 27th. The software maker reported $2.11 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.05 by $0.06. The business had revenue of $1.58 billion during the quarter, compared to analysts’ expectations of $1.58 billion. Cadence Design Systems had a return on equity of 27.98% and a net margin of 23.60%.The firm’s revenue for the quarter was up 24.2% compared to the same quarter last year. During the same period in the previous year, the company posted $1.65 earnings per share. 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. On average, equities analysts forecast that Cadence Design Systems, Inc. will post 6.4 EPS for the current year.

Insider Activity

In related news, VP Paul Scannell sold 280 shares of the stock in a transaction that occurred on Wednesday, August 26th. The shares were sold at an average price of $339.00, for a total transaction of $94,920.00. Following the sale, the vice president owned 31,720 shares in the company, valued at approximately $10,753,080. This trade represents a 0.88% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, VP Paul Cunningham sold 2,000 shares of Cadence Design Systems stock in a transaction that occurred on Tuesday, September 15th. The shares were sold at an average price of $277.12, for a total transaction of $554,240.00. Following the completion of the transaction, the vice president directly owned 121,793 shares in the company, valued at $33,751,276.16. This trade represents a 1.62% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders sold 5,710 shares of company stock worth $1,748,292. Insiders own 0.49% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the business. J. Stern & Co. LLP increased its holdings in Cadence Design Systems by 10,159.3% in the fourth quarter. J. Stern & Co. LLP now owns 2,953,256 shares of the software maker’s stock valued at $923,129,000 after purchasing an additional 2,924,470 shares during the period. Legal & General Group Plc bought a new stake in shares of Cadence Design Systems in the 2nd quarter valued at about $702,615,000. Jupiter Topco LLC acquired a new stake in shares of Cadence Design Systems in the second quarter valued at about $688,746,000. Bank of New York Mellon Corp bought a new position in shares of Cadence Design Systems during the second quarter worth about $607,350,000. Finally, Deutsche Bank AG bought a new position in shares of Cadence Design Systems during the second quarter worth about $532,338,000. Institutional investors own 84.85% of the company’s stock.

Cadence Design Systems Company Profile

(Get Free Report)

Cadence Design Systems, Inc is a technology company that develops electronic design automation (EDA) software, hardware, and semiconductor intellectual property. Its products help engineers design, verify, analyze, and manufacture complex semiconductor chips, printed circuit boards, and electronic systems.

The company’s offerings include digital and custom/analog integrated-circuit design tools, functional verification and emulation platforms, semiconductor intellectual property, and system analysis solutions.