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How to buy Cadence Design Systems stock
Learn how to easily invest in Cadence Design Systems stock.
Cadence Design Systems Inc is a software-application business based in the US. Cadence Design Systems shares (CDNS) are listed on the NASDAQ and all prices are listed in US Dollars. Cadence Design Systems employs 9,300 staff and has a trailing 12-month revenue of around $3.3 billion.
How to buy shares in Cadence Design Systems
- Compare share trading platforms. Use our comparison table to help you find a platform that fits you.
- Open your brokerage account. Complete an application with your details.
- Confirm your payment details. Fund your account.
- Research the stock. Find the stock by name or ticker symbol – CDNS – and research it before deciding if it's a good investment for you.
- Purchase now or later. Buy your desired number of shares with a market order or use a limit order to delay your purchase until the stock reaches a desired price.
- Check in on your investment. Optimize your portfolio by tracking your stock.
What's in this guide?
- CDNS shares summary
- Compare share dealing platforms
- Is CDNS stock a buy or sell?
- Stock performance over time
- Is CDNS suitable for ethical investing?
- Are CDNS shares over-valued?
- Cadence Design Systems's financials
- How volatile are CDNS shares?
- Does Cadence Design Systems pay a dividend?
- Have CDNS shares ever split?
- Other common questions
Cadence Design Systems stock price (NASDAQ: CDNS)Use our graph to track the performance of CDNS stocks over time.
Cadence Design Systems shares at a glance
|Latest market close||$163.43|
|52-week range||$132.32 - $194.97|
|50-day moving average||$175.75|
|200-day moving average||$160.95|
|Wall St. target price||$196.31|
|Dividend yield||$0 (0%)|
|Earnings per share (TTM)||$2.78|
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The value of any investment can go up or down depending on news, trends and market conditions. We are not investment advisers, so do your own due diligence to understand the risks before you invest.
Is it a good time to buy Cadence Design Systems stock?
The technical analysis gauge below displays real-time ratings for the timeframes you select. This is not a recommendation, however. It represents a technical analysis based on the most popular technical indicators: Moving Averages, Oscillators and Pivots. Finder might not concur and takes no responsibility.
This chart is not advice or a guarantee of success. Rather, it gauges the real-time recommendations of three popular technical indicators: moving averages, oscillators and pivots. Finder is not responsible for how your stock performs.
Cadence Design Systems price performance over time
|1 week (2022-09-23)||1.53%|
|1 month (2022-09-02)||-2.82%|
|3 months (2022-07-01)||9.22%|
|6 months (2022-03-30)||0.07%|
|1 year (2021-10-01)||6.81%|
|2 years (2020-10-02)||55.17%|
|3 years (2019-10-02)||155.28%|
|5 years (2017-09-29)||314.06%|
Is Cadence Design Systems stock undervalued or overvalued?
Valuing Cadence Design Systems stock is incredibly difficult, and any metric has to be viewed as part of a bigger picture of Cadence Design Systems's overall performance. However, analysts commonly use some key metrics to help gauge the value of a stock.
Cadence Design Systems's P/E ratio
Cadence Design Systems's current share price divided by its per-share earnings (EPS) over a 12-month period gives a "trailing price/earnings ratio" of roughly 58x. In other words, Cadence Design Systems shares trade at around 58x recent earnings.
That's relatively high compared to, say, the trailing 12-month P/E ratio for the NASDAQ 100 at the end of 2019 (27.29). The high P/E ratio could mean that investors are optimistic about the outlook for the shares or simply that they're over-valued.
Cadence Design Systems's PEG ratio
Cadence Design Systems's "price/earnings-to-growth ratio" can be calculated by dividing its P/E ratio by its growth – to give 2.0351. A low ratio can be interpreted as meaning the shares offer better value, while a higher ratio can be interpreted as meaning the shares offer worse value.
The PEG ratio provides a broader view than just the P/E ratio, as it gives more insight into Cadence Design Systems's future profitability. By accounting for growth, it could also help you if you're comparing the share prices of multiple high-growth companies.
Cadence Design Systems's EBITDA
Cadence Design Systems's EBITDA (earnings before interest, taxes, depreciation and amortisation) is $1.1 billion.
The EBITDA is a measure of a Cadence Design Systems's overall financial performance and is widely used to measure a its profitability.
Cadence Design Systems financials
|Revenue TTM||$3.3 billion|
|Operating margin TTM||30.33%|
|Gross profit TTM||$2.7 billion|
|Return on assets TTM||14.67%|
|Return on equity TTM||30.15%|
|Market capitalisation||$44.1 billion|
TTM: trailing 12 months
Cadence Design Systems's environmental, social and governance track record
Environmental, social and governance (known as ESG) criteria are a set of three factors used to measure the sustainability and social impact of companies like Cadence Design Systems.
When it comes to ESG scores, lower is better, and lower scores are generally associated with lower risk for would-be investors.
Cadence Design Systems's total ESG risk score
Total ESG risk: 15.04
Socially conscious investors use ESG scores to screen how an investment aligns with their worldview, and Cadence Design Systems's overall score of 15.04 (as at 12/31/2018) is excellent – landing it in it in the 9th percentile of companies rated in the same sector.
ESG scores are increasingly used to estimate the level of risk a company like Cadence Design Systems is exposed to within the areas of "environmental" (carbon footprint, resource use etc.), "social" (health and safety, human rights etc.), and "governance" (anti-corruption, tax transparency etc.).
Cadence Design Systems's environmental score
Environmental score: 1.84/100
Cadence Design Systems's social score
Social score: 6.48/100
Cadence Design Systems's governance score
Governance score: 3.4/100
Environmental, social, and governance (ESG) summary
|Total ESG score||15.04|
|Total ESG percentile||9.44|
Cadence Design Systems share dividends
We're not expecting Cadence Design Systems to pay a dividend over the next 12 months.
Have Cadence Design Systems's shares ever split?
Cadence Design Systems's shares were split on a 2:1 basis on 16 November 1997. So if you had owned 1 share the day before before the split, the next day you'd have owned 2 shares. This wouldn't directly have changed the overall worth of your Cadence Design Systems shares – just the quantity. However, indirectly, the new 50% lower share price could have impacted the market appetite for Cadence Design Systems shares which in turn could have impacted Cadence Design Systems's share price.
Cadence Design Systems share price volatility
Over the last 12 months, Cadence Design Systems's shares have ranged in value from as little as $132.32 up to $194.97. A popular way to gauge a stock's volatility is its "beta".
Beta is a measure of a share's volatility in relation to the market. The market (NASDAQ average) beta is 1, while Cadence Design Systems's is 1.1694. This would suggest that Cadence Design Systems's shares are a little bit more volatile than the average for this exchange and represent, relatively-speaking, a slightly higher risk (but potentially also market-beating returns).
Cadence Design Systems overview
Cadence Design Systems, Inc. provides software, hardware, services, and reusable integrated circuit (IC) design blocks worldwide. The company offers functional verification services, including emulation and prototyping hardware. Its functional verification offering consists of JasperGold, a formal verification platform; Xcelium, a parallel logic simulation platform; Palladium, an enterprise emulation platform; and Protium, a prototyping platform for chip verification. The company also provides digital IC design and sign off products, including Genus logic synthesis and Joules RTL power solutions, as well as Modus software solution to reduce systems-on-chip design-for-test time; physical implementation tools, such as place and route, optimization, and multiple patterning preparation; and signoff products to signoff the design as ready for silicon manufacturing. In addition, it offers custom IC design and simulation products to create schematic and physical representations of circuits down to the transistor level for analog, mixed-signal, custom digital, memory, and radio frequency designs; and system design and analysis products to develop printed circuit boards and IC packages, as well as to analyze electromagnetic, electro-thermal, and other multi-physics effects. Further, the company provides intellectual property (IP) products comprising pre-verified and customizable functional blocks to integrate into customer's ICs; and verification IP and memory models to emulate and model the expected behavior and interaction of standard industry system interface protocols.
Cadence Design Systems in the news
A Renewed Career Through the Cadence Returnship Program
Cadence Design Systems (CDNS) Stock Moves -1.37%: What You Should Know
Why These Chip Design Stocks Just Got Fresh Buy Ratings
Frequently asked questionsWhat percentage of Cadence Design Systems is owned by insiders or institutions?
Currently 0.538% of Cadence Design Systems shares are held by insiders and 88.318% by institutions. How many people work for Cadence Design Systems?
Latest data suggests 9,300 work at Cadence Design Systems. When does the fiscal year end for Cadence Design Systems?
Cadence Design Systems's fiscal year ends in December. Where is Cadence Design Systems based?
Cadence Design Systems's address is: Building 5, San Jose, CA, United States, 95134 What is Cadence Design Systems's ISIN number?
Cadence Design Systems's international securities identification number is: US1273871087 What is Cadence Design Systems's CUSIP number?
Cadence Design Systems's Committee on Uniform Securities Identification Procedures number is: 127387108
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