Cadence Design Systems (CDNS) Updates Q4 Earnings Guidance

Cadence Design Systems (NASDAQ:CDNS) issued an update on its fourth quarter earnings guidance on Monday morning. The company provided earnings per share guidance of $0.46-0.48 for the period, compared to the Thomson Reuters consensus earnings per share estimate of $0.42. The company issued revenue guidance of $545-555 million, compared to the consensus revenue estimate of $529.57 million.Cadence Design Systems also updated its FY 2018 guidance to $1.80-1.82 EPS.

Shares of Cadence Design Systems stock traded up $0.50 during trading hours on Monday, reaching $40.61. 2,676,841 shares of the company’s stock were exchanged, compared to its average volume of 2,159,476. Cadence Design Systems has a fifty-two week low of $35.49 and a fifty-two week high of $47.40. The company has a debt-to-equity ratio of 0.29, a current ratio of 1.30 and a quick ratio of 1.26. The company has a market cap of $11.34 billion, a price-to-earnings ratio of 38.31, a P/E/G ratio of 3.35 and a beta of 1.13.

Cadence Design Systems (NASDAQ:CDNS) last posted its quarterly earnings data on Monday, July 23rd. The software maker reported $0.45 EPS for the quarter, topping the Zacks’ consensus estimate of $0.40 by $0.05. Cadence Design Systems had a net margin of 10.62% and a return on equity of 28.38%. The company had revenue of $518.40 million during the quarter, compared to the consensus estimate of $514.94 million. During the same period in the prior year, the business posted $0.34 EPS. The company’s quarterly revenue was up 8.2% on a year-over-year basis. As a group, sell-side analysts expect that Cadence Design Systems will post 1 earnings per share for the current year.

CDNS has been the subject of a number of recent research reports. Zacks Investment Research downgraded shares of Cadence Design Systems from a buy rating to a hold rating in a research note on Tuesday, September 25th. BidaskClub upgraded shares of Cadence Design Systems from a hold rating to a buy rating in a research note on Thursday, August 16th. DA Davidson increased their price objective on shares of Cadence Design Systems to $52.00 and gave the stock a buy rating in a research note on Tuesday, July 24th. Griffin Securities increased their price objective on shares of Cadence Design Systems from $50.00 to $52.00 and gave the stock a buy rating in a research note on Tuesday, July 24th. Finally, Needham & Company LLC increased their price objective on shares of Cadence Design Systems from $47.00 to $50.00 and gave the stock a buy rating in a research note on Tuesday, July 24th. One equities research analyst has rated the stock with a sell rating, four have issued a hold rating and five have given a buy rating to the company’s stock. Cadence Design Systems presently has an average rating of Hold and an average target price of $48.43.

In other news, Director James D. Plummer sold 7,500 shares of the company’s stock in a transaction dated Thursday, July 26th. The shares were sold at an average price of $46.49, for a total value of $348,675.00. Following the sale, the director now directly owns 21,526 shares of the company’s stock, valued at approximately $1,000,743.74. The sale was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. Also, CEO Lip Bu Tan sold 5,469 shares of the company’s stock in a transaction dated Monday, September 17th. The shares were sold at an average price of $46.10, for a total transaction of $252,120.90. Following the completion of the sale, the chief executive officer now directly owns 424,566 shares in the company, valued at $19,572,492.60. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 133,445 shares of company stock worth $6,070,163. 2.28% of the stock is owned by insiders.

About Cadence Design Systems

Cadence Design Systems, Inc provides electronic design automation software, emulation and prototyping hardware, system interconnect, and analysis 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, a verification computing platform; and Protium S1 field-programmable gate array prototyping platform.

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Earnings History and Estimates for Cadence Design Systems (NASDAQ:CDNS)

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