Join our Free Newsletter and unlock 50% off AltIndexFree newsletter + 50% offJoin free
69 / 100
AltIndex AI Score
Buy
AI Score · 12-mo trend
+24 pts over 3 months43% of CDNS’s tracked signals bullish
FundamentalsNeutral
TechnicalsNeutral
Alternative dataBullish
SentimentBullish
Price$348.42
Year Range$265.66 – $416.39
Market Cap$97.2B
PE Ratio70.15
IndustryApplication Software

What Is Cadence Design Systems’s AI Stock Analysis?

Cadence Design Systems’s AI stock analysis on AltIndex combines the company’s fundamentals, price technicals and 25+ alternative data signals — like hiring, web traffic, app downloads and online sentiment — into a single AI Score from 0 to 100 and a plain-English Buy, Hold or Sell read. Unlike a traditional analyst rating that updates a few times a year, the AI Score refreshes as new data arrives, so it tracks Cadence Design Systems’s momentum in near-real time.

Cadence Design Systems (CDNS) has an AltIndex AI Score of 69/100, currently a Buy signal. The AI Score distills Cadence Design Systems's fundamentals, price technicals and 25+ alternative data signals into a single 0–100 rating, so a rising score reflects strengthening data across the board and a falling score the opposite.

Cadence Design Systems’s Full AI Analysis

Cadence Design Systems, Inc. (NASDAQ: CDNS) is a leading company in the electronic design automation (EDA) industry. Headquartered in San Jose, California, Cadence provides software, hardware, and intellectual property (IP) that enable electronic design engineers to develop advanced semiconductor solutions. Known for its comprehensive design solutions, Cadence's portfolio includes products for custom IC design, digital design and signoff, functional verification, and system design and analysis.

Fundamental Analysis

Cadence Design Systems showcased a solid performance in its most recent quarter, reflecting both quarter-over-quarter and year-over-year growth. The company reported revenues of $1.58 billion for the last quarter, marking a 7.48% increase compared to the previous quarter and a notable 24.23% increase compared to the same quarter last year. This indicates a robust growth trajectory.

Premium

Keep reading AltIndex’s full AI analysis of Cadence Design Systems — the fundamental, technical and alternative-data breakdown and the recommendation.

Sign up to read the full analysis

What’s Driving CDNS’s AI Score?

Fundamentals

Revenue for the last quarter was $1.58B. This is an increase of 7.48% compared to the quarter before it, which is a positive sign of growth. Compared to the same quarter last year, there is an increase of 24.23%, suggesting positive year-over-year growth. Net income for the last quarter was $367M. This is an increase of 9.36% compared to the quarter before it, which is a positive sign of growth. Compared to the same quarter last year, there is an increase of 129.35%, suggesting positive year-over-year growth. Ebitda for the last quarter was $570M. This is an increase of 4.72% compared to the quarter before it, which is a positive sign of growth. Compared to the same quarter last year, there is an increase of 55.12%, suggesting positive year-over-year growth. The current P/E ratio is 70.15. This may be considered high, potentially indicating overvaluation and a bearish outlook. In the last couple of months, there's been a couple of company insiders selling their stock, a potentially bearish signal.

See Cadence Design Systems’s earnings and insider transactions.

Technicals

Today's stock price is $348.42. This is an increase of 20.41% compared to a month ago, indicating a positive short-term trend. Compared to a year ago, there is an increase of 4.87%, suggesting a positive long-term trend. The trend is bearish. The current SMA10 is $352.76, which is lower than the previous SMA10 of $353.06. This suggests a potential downward trend in price movement. The RSI is 73.2, indicating a potentially overbought (bearish) condition.

See the full technical analysis and price prediction.

Alternative data

Cadence Design Systems has an estimated 778 open positions. This number is up by 8% in the last couple of months, indicating a company that looking to grow and expand. Potentially a healthy sign. The business outlook among employees at Cadence Design Systems is neutral. Cadence Design Systems has an estimate of 840,000 visitors to their webpage. The number of visitors is up by 21% in the last couple of months, a bullish trend as this can indicate can increase in customers.

Explore Cadence Design Systems’s job postings, web traffic and app downloads.

Sentiment & social

The sentiment for the stock on various stock forums is neutral. Cadence Design Systems has 16 followers on their Instagram page. The number of followers is up by 7% in the last couple of months, indicating an increased interest in the company. Cadence Design Systems has 21,000 followers on their Twitter page, with no meaningful increase or decrese in the last couple of months.

Track Cadence Design Systems’s market sentiment.

Frequently Asked Questions: Cadence Design Systems AI Stock Analysis

Cadence Design Systems's AltIndex AI Score is 69/100, currently a Buy signal. The AI Score blends fundamentals, technicals and 25+ alternative data signals into a single rating from 0 to 100.

AltIndex's AI Score model rates Cadence Design Systems a Buy (69/100). This is a data-driven signal, not investment advice — review the breakdown above and combine it with your own research.

The AI Score is generated from fundamental data (earnings, valuation), technical indicators (price trend and momentum), and alternative data signals such as hiring, web traffic, app downloads and sentiment. AltIndex weighs these into a single 0-100 score; the exact weighting is proprietary.

AltIndex generates a complete written AI analysis of Cadence Design Systems — company overview, fundamentals, technicals and alternative data, with a recommendation. See the CDNS AI Score or sign up to read the full thesis.

The analytics provided are estimates and not a substitute for professional advice. All investments involve risks, including possible capital loss.