The stock of Cadence Design Systems, Inc. (NASDAQ: CDNS) has increased by 1.38 when compared to last closing price of 306.36.Despite this, the company has seen a loss of -1.72% in its stock price over the last five trading days. Zacks Investment Research reported 2024-04-02 that Cadence Design Systems (CDNS) reachead $306.36 at the closing of the latest trading day, reflecting a -1.85% change compared to its last close.
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 above average at 81.35x. The 36-month beta value for CDNS is also noteworthy at 1.03. There are mixed opinions on the stock, with 1 analysts rating it as a “buy,” 2 rating it as “overweight,” 5 rating it as “hold,” and 1 rating it as “sell.”
The public float for CDNS is 270.14M, and at present, short sellers hold a 0.98% of that float. The average trading volume of CDNS on April 04, 2024 was 1.53M shares.
CDNS’s Market Performance
The stock of Cadence Design Systems, Inc. (CDNS) has seen a -1.72% decrease in the past week, with a -2.12% drop in the past month, and a 18.14% gain in the past quarter. The volatility ratio for the week is 2.01%, and the volatility levels for the past 30 days are at 2.29% for CDNS. The simple moving average for the last 20 days is -0.19% for CDNS’s stock, with a simple moving average of 19.06% 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 “Overweight.” The predicted price for CDNS in the upcoming period, according to Morgan Stanley is $350 based on the research report published on February 14, 2024 of the current year 2024.
Rosenblatt, on the other hand, stated in their research note that they expect to see CDNS reach a price target of $280. The rating they have provided for CDNS stocks is “Neutral” according to the report published on February 13th, 2024.
Morgan Stanley gave a rating of “Equal-Weight” to CDNS, setting the target price at $260 in the report published on November 10th of the previous year.
CDNS Trading at 2.26% 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 -5.12% of loss for the given period.
Volatility was left at 2.29%, however, over the last 30 days, the volatility rate increased by 2.01%, as shares surge +0.94% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading +5.02% upper at present.
During the last 5 trading sessions, CDNS fell by -1.72%, which changed the moving average for the period of 200-days by +30.62% in comparison to the 20-day moving average, which settled at $311.31. In addition, Cadence Design Systems, Inc. saw 14.03% in overturn over a single year, with a tendency to cut further gains.
Insider Trading
Reports are indicating that there were more than several insider trading activities at CDNS starting from Cunningham Paul, who sale 1,000 shares at the price of $310.46 back on Apr 01 ’24. After this action, Cunningham Paul now owns 68,144 shares of Cadence Design Systems, Inc., valued at $310,460 using the latest closing price.
Nisewaner Karna, the SVP & General Counsel of Cadence Design Systems, Inc., sale 600 shares at $310.46 during a trade that took place back on Apr 01 ’24, which means that Nisewaner Karna is holding 21,080 shares at $186,276 based on the most recent closing price.
Stock Fundamentals for CDNS
Current profitability levels for the company are sitting at:
- 0.31 for the present operating margin
- 0.89 for the gross margin
The net margin for Cadence Design Systems, Inc. stands at 0.25. The total capital return value is set at 0.31. Equity return is now at value 33.86, with 19.27 for asset returns.
Based on Cadence Design Systems, Inc. (CDNS), the company’s capital structure generated 0.17 points at debt to capital in total, while cash flow to debt ratio is standing at 1.95. The debt to equity ratio resting at 0.2. The interest coverage ratio of the stock is 34.61.
Currently, EBITDA for the company is 1.41 billion with net debt to EBITDA at -0.14. When we switch over and look at the enterprise to sales, we see a ratio of 20.65. The receivables turnover for the company is 8.07for trailing twelve months and the total asset turnover is 0.72. The liquidity ratio also appears to be rather interesting for investors as it stands at 1.24.
Conclusion
In summary, Cadence Design Systems, Inc. (CDNS) has had a mixed performance as of late. Analysts have mixed opinions on the stock, with some viewing it as a “buy” and others as a “hold”. It is worth mentioning that the stock is currently trading in close proximity to its 50-day moving average and its 52-week high.
