Cadence Design Systems, Inc. (NASDAQ: CDNS) has seen a decline in its stock price by -2.51 in relation to its previous close of 272.62. However, the company has experienced a 3.66% gain in its stock price over the last five trading sessions. Zacks Investment Research reported 2023-11-15 that Here is how Cadence Design Systems (CDNS) and Dell Technologies (DELL) have performed compared to their sector so far this year.
Is It Worth Investing in Cadence Design Systems, Inc. (NASDAQ: CDNS) Right Now?
The price-to-earnings ratio for Cadence Design Systems, Inc. (NASDAQ: CDNS) is 75.74x, which is above its average ratio. Moreover, the 36-month beta value for CDNS is 1.06. Analysts have varying opinions on the stock, with 12 analysts rating it as a “buy,” 2 as “overweight,” 2 as “hold,” and 0 as “sell.”
The average price recommended by analysts for Cadence Design Systems, Inc. (CDNS) is $277.85, which is $12.06 above the current market price. The public float for CDNS is 269.45M and currently, short sellers hold a 0.91% of that float. On November 16, 2023, CDNS’s average trading volume was 1.27M shares.
CDNS’s Market Performance
CDNS stock saw an increase of 3.66% in the past week, with a monthly gain of 6.31% and a quarterly increase of 20.64%. The volatility ratio for the week is 2.55%, and the volatility levels for the last 30 days are 2.54% for Cadence Design Systems, Inc. (CDNS). The simple moving average for the last 20 days is 7.89% for CDNS stock, with a simple moving average of 19.30% for the last 200 days.
Analysts’ Opinion of CDNS
Many brokerage firms have already submitted their reports for CDNS stocks, with Morgan Stanley repeating the rating for CDNS by listing it as a “Equal-Weight.” The predicted price for CDNS in the upcoming period, according to Morgan Stanley is $260 based on the research report published on November 10, 2023 of the current year 2023.
CDNS Trading at 9.74% 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 -2.64% of loss for the given period.
Volatility was left at 2.54%, however, over the last 30 days, the volatility rate increased by 2.55%, as shares surge +7.80% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading +7.74% upper at present.
During the last 5 trading sessions, CDNS rose by +3.66%, which changed the moving average for the period of 200-days by +45.38% in comparison to the 20-day moving average, which settled at $247.30. In addition, Cadence Design Systems, Inc. saw 65.46% in overturn over a single year, with a tendency to cut further gains.
Reports are indicating that there were more than several insider trading activities at CDNS starting from WALL JOHN M, who sale 1,250 shares at the price of $255.00 back on Nov 08. After this action, WALL JOHN M now owns 85,375 shares of Cadence Design Systems, Inc., valued at $318,750 using the latest closing price.
Cunningham Paul, the Sr. Vice President of Cadence Design Systems, Inc., sale 1,000 shares at $240.80 during a trade that took place back on Nov 01, which means that Cunningham Paul is holding 88,316 shares at $240,800 based on the most recent closing price.
Stock Fundamentals for CDNS
Current profitability levels for the company are sitting at:
- +30.15 for the present operating margin
- +89.05 for the gross margin
The net margin for Cadence Design Systems, Inc. stands at +23.84. The total capital return value is set at 31.17, while invested capital returns managed to touch 25.24. Equity return is now at value 32.90, with 18.42 for asset returns.
Based on Cadence Design Systems, Inc. (CDNS), the company’s capital structure generated 33.67 points at debt to equity in total, while total debt to capital is 25.19. Total debt to assets is 17.99, with long-term debt to equity ratio resting at 28.68. Finally, the long-term debt to capital ratio is 21.46.
When we switch over and look at the enterprise to sales, we see a ratio of 18.93, with the company’s debt to enterprise value settled at 0.02. The receivables turnover for the company is 8.34 and the total asset turnover is 0.75. The liquidity ratio also appears to be rather interesting for investors as it stands at 1.27.
To wrap up, the performance of Cadence Design Systems, Inc. (CDNS) has been better in recent times. The stock has received a mixed of “buy” and “hold” ratings from analysts. It is worth mentioning that the stock is currently trading in close proximity to its 50-day moving average and its 52-week high.