The stock of Cadence Design Systems, Inc (CDNS) has gone down by -14.31% for the week, with a -22.05% drop in the past month and a -15.58% drop in the past quarter. The volatility ratio for the week is 4.83%, and the volatility levels for the past 30 days are 3.36% for CDNS. The simple moving average for the past 20 days is -13.20% for CDNS’s stock, with a -12.37% simple moving average for the past 200 days.
Is It Worth Investing in Cadence Design Systems, Inc (NASDAQ: CDNS) Right Now?
Cadence Design Systems, Inc (NASDAQ: CDNS) has a price-to-earnings ratio that is above its average at 65.63x. The stock has a 36-month beta value of 1.04. Opinions on the stock are mixed, with 13 analysts rating it as a “buy,” 5 as “overweight,” 3 as “hold,” and 1 as “sell.”
The public float for CDNS is 273.43M, and at present, short sellers hold a 1.49% of that float. On February 25, 2025, the average trading volume of CDNS was 1.72M shares.
CDNS) stock’s latest price update
The stock price of Cadence Design Systems, Inc (NASDAQ: CDNS) has dropped by -2.09 compared to previous close of 258.34. Despite this, the company has seen a fall of -14.31% in its stock price over the last five trading days. zacks.com reported 2025-02-24 that Cadence (CDNS) has been one of the stocks most watched by Zacks.com users lately. So, it is worth exploring what lies ahead for the stock.
Analysts’ Opinion of CDNS
Many brokerage firms have already submitted their reports for CDNS stocks, with Redburn Atlantic repeating the rating for CDNS by listing it as a “Buy.” The predicted price for CDNS in the upcoming period, according to Redburn Atlantic is $350 based on the research report published on January 13, 2025 of the current year 2025.
Wells Fargo, on the other hand, stated in their research note that they expect to see CDNS reach a price target of $350. The rating they have provided for CDNS stocks is “Overweight” according to the report published on November 22nd, 2024.
Loop Capital gave a rating of “Buy” to CDNS, setting the target price at $360 in the report published on November 12th of the previous year.
CDNS Trading at -15.65% 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 -23.11% of loss for the given period.
Volatility was left at 3.36%, however, over the last 30 days, the volatility rate increased by 4.83%, as shares sank -21.07% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -18.34% lower at present.
During the last 5 trading sessions, CDNS fell by -14.31%, which changed the moving average for the period of 200-days by -11.30% in comparison to the 20-day moving average, which settled at $291.43. In addition, Cadence Design Systems, Inc saw -15.81% in overturn over a single year, with a tendency to cut further losses.
Insider Trading
Reports are indicating that there were more than several insider trading activities at CDNS starting from Nisewaner Karna, who sale 571 shares at the price of $296.10 back on Feb 18 ’25. After this action, Nisewaner Karna now owns 15,364 shares of Cadence Design Systems, Inc, valued at $169,073 using the latest closing price.
KARNA NISEWANER, the Officer of Cadence Design Systems, Inc, proposed sale 571 shares at $296.10 during a trade that took place back on Feb 18 ’25, which means that KARNA NISEWANER is holding shares at $169,073 based on the most recent closing price.
Stock Fundamentals for CDNS
Current profitability levels for the company are sitting at:
- 0.29 for the present operating margin
- 0.92 for the gross margin
The net margin for Cadence Design Systems, Inc stands at 0.23. The total capital return value is set at 0.18. Equity return is now at value 26.13, with 14.42 for asset returns.
Based on Cadence Design Systems, Inc (CDNS), the company’s capital structure generated 0.29 points at debt to capital in total, while cash flow to debt ratio is standing at 0.44. The debt to equity ratio resting at 0.41. The interest coverage ratio of the stock is 83.68.
Currently, EBITDA for the company is 1.35 billion with net debt to EBITDA at -0.11. When we switch over and look at the enterprise to sales, we see a ratio of 14.91. The receivables turnover for the company is 6.82for trailing twelve months and the total asset turnover is 0.52. The liquidity ratio also appears to be rather interesting for investors as it stands at 2.93.
Conclusion
To sum up, Cadence Design Systems, Inc (CDNS) has seen a bad performance recently. Analysts have differing views on the stock, with some seeing it as a “buy” and others as a “hold”. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.
