Cadence Design Systems (NASDAQ:CDNS) Given Outperform Rating at Royal Bank of Canada

Cadence Design Systems (NASDAQ:CDNS)‘s stock had its “outperform” rating reaffirmed by Royal Bank of Canada in a research report issued to clients and investors on Thursday, The Fly reports. They presently have a $85.00 price objective on the software maker’s stock. Royal Bank of Canada’s price target points to a potential upside of 7.11% from the stock’s previous close.

A number of other research firms also recently commented on CDNS. Needham & Company LLC raised their target price on Cadence Design Systems from $76.00 to $86.00 and gave the company a “buy” rating in a report on Thursday. Wells Fargo & Co raised their target price on Cadence Design Systems from $80.00 to $85.00 and gave the company an “overweight” rating in a report on Thursday, February 6th. Zacks Investment Research downgraded Cadence Design Systems from a “buy” rating to a “hold” rating and set a $74.00 target price for the company. in a report on Tuesday, December 24th. Credit Suisse Group reissued a “neutral” rating and issued a $75.00 target price (up previously from $70.00) on shares of Cadence Design Systems in a report on Tuesday, October 22nd. Finally, BidaskClub raised Cadence Design Systems from a “hold” rating to a “buy” rating in a report on Thursday, January 23rd. Six research analysts have rated the stock with a hold rating and five have given a buy rating to the company’s stock. The stock presently has an average rating of “Hold” and a consensus price target of $79.75.

Cadence Design Systems stock traded up $2.26 during midday trading on Thursday, reaching $79.36. The company’s stock had a trading volume of 1,718,620 shares, compared to its average volume of 1,379,461. Cadence Design Systems has a fifty-two week low of $51.01 and a fifty-two week high of $77.22. The company has a debt-to-equity ratio of 0.23, a quick ratio of 1.59 and a current ratio of 1.70. The stock’s 50 day simple moving average is $72.70 and its 200 day simple moving average is $69.00. The firm has a market capitalization of $20.94 billion, a PE ratio of 52.21, a P/E/G ratio of 4.43 and a beta of 1.12.

Cadence Design Systems (NASDAQ:CDNS) last released its earnings results on Wednesday, February 12th. The software maker reported $0.54 EPS for the quarter, beating analysts’ consensus estimates of $0.53 by $0.01. Cadence Design Systems had a return on equity of 30.74% and a net margin of 18.54%. The company had revenue of $599.56 million during the quarter, compared to the consensus estimate of $595.48 million. During the same quarter last year, the company earned $0.52 earnings per share. Cadence Design Systems’s quarterly revenue was up 5.2% compared to the same quarter last year. Equities analysts predict that Cadence Design Systems will post 1.51 earnings per share for the current year.

In related news, CEO Lip Bu Tan sold 40,000 shares of Cadence Design Systems stock in a transaction dated Friday, November 15th. The stock was sold at an average price of $67.21, for a total transaction of $2,688,400.00. Following the completion of the sale, the chief executive officer now owns 888,272 shares in the company, valued at approximately $59,700,761.12. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. Also, VP Thomas P. Beckley sold 55,750 shares of Cadence Design Systems stock in a transaction dated Wednesday, January 22nd. The stock was sold at an average price of $75.00, for a total value of $4,181,250.00. Following the sale, the vice president now owns 308,504 shares of the company’s stock, valued at approximately $23,137,800. The disclosure for this sale can be found here. In the last 90 days, insiders sold 392,707 shares of company stock valued at $27,884,169. Company insiders own 2.34% of the company’s stock.

A number of institutional investors have recently bought and sold shares of the stock. Shine Investment Advisory Services Inc. boosted its stake in Cadence Design Systems by 50.5% in the 3rd quarter. Shine Investment Advisory Services Inc. now owns 453 shares of the software maker’s stock worth $30,000 after buying an additional 152 shares during the last quarter. Advisory Services Network LLC acquired a new stake in Cadence Design Systems in the 4th quarter worth about $31,000. Prime Capital Investment Advisors LLC acquired a new stake in Cadence Design Systems in the 3rd quarter worth about $35,000. Carroll Financial Associates Inc. acquired a new stake in Cadence Design Systems in the 4th quarter worth about $39,000. Finally, Solstein Capital LLC acquired a new stake in Cadence Design Systems in the 4th quarter worth about $40,000. Hedge funds and other institutional investors own 85.90% of the company’s stock.

Cadence Design Systems Company Profile

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 simulation platform; Palladium Z1, an enterprise emulation platform; and Protium S1 field-programmable gate array prototyping platform.

Read More: Price to Earnings Ratio (PE) Basics

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Analyst Recommendations for Cadence Design Systems (NASDAQ:CDNS)

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