Cadence Design Systems (NASDAQ:CDNS) Lowered to “Hold” at StockNews.com

Cadence Design Systems (NASDAQ:CDNS – Get Rating) was downgraded by research analysts at StockNews.com from a “buy” rating to a “hold” rating in a research report issued on Saturday.

A number of other brokerages also recently weighed in on CDNS. Atlantic Securities upgraded Cadence Design Systems from a “neutral” rating to an “overweight” rating and set a $200.00 target price on the stock in a report on Tuesday. Stifel Nicolaus reiterated a “hold” rating and issued a $200.00 target price on shares of Cadence Design Systems in a report on Wednesday, October 26th. Robert W. Baird increased their price objective on Cadence Design Systems to $206.00 in a report on Wednesday, December 14th. Rosenblatt Securities dropped their price objective on Cadence Design Systems from $185.00 to $175.00 and set a “buy” rating on the stock in a report on Monday, October 24th. Finally, Bank of America upgraded Cadence Design Systems from a “neutral” rating to a “buy” rating and increased their price objective for the stock from $185.00 to $205.00 in a report on Friday, December 16th. Four investment analysts have rated the stock with a hold rating and eight have assigned a buy rating to the company. According to data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and an average target price of $195.50.

Cadence Design Systems Price Performance

NASDAQ CDNS opened at $178.26 on Friday. The company has a market cap of $48.90 billion, a PE ratio of 62.77, a PEG ratio of 2.29 and a beta of 1.10. Cadence Design Systems has a 1 year low of $132.32 and a 1 year high of $194.97. The company has a current ratio of 1.33, a quick ratio of 1.24 and a debt-to-equity ratio of 0.24. The stock’s 50-day moving average price is $165.39 and its two-hundred day moving average price is $166.12.

Cadence Design Systems (NASDAQ:CDNS – Get Rating) last issued its earnings results on Monday, October 24th. The software maker reported $0.79 earnings per share for the quarter, beating analysts’ consensus estimates of $0.76 by $0.03. The company had revenue of $902.55 million for the quarter, compared to the consensus estimate of $868.85 million. Cadence Design Systems had a return on equity of 33.19% and a net margin of 22.86%. The firm’s quarterly revenue was up 20.2% on a year-over-year basis. During the same quarter in the prior year, the company earned $0.65 EPS. On average, analysts predict that Cadence Design Systems will post 3.41 EPS for the current year.

Insider Activity

In other news, insider Lip Bu Tan sold 42,500 shares of the stock in a transaction that occurred on Tuesday, January 17th. The stock was sold at an average price of $173.39, for a total value of $7,369,075.00. Following the completion of the sale, the insider now directly owns 602,589 shares of the company’s stock, valued at $104,482,906.71. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. In related news, insider Lip Bu Tan sold 42,500 shares of the firm’s stock in a transaction on Tuesday, January 17th. The stock was sold at an average price of $173.39, for a total value of $7,369,075.00. Following the completion of the transaction, the insider now directly owns 602,589 shares of the company’s stock, valued at $104,482,906.71. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, VP Paul Cunningham sold 250 shares of the firm’s stock in a transaction on Monday, November 7th. The stock was sold at an average price of $143.63, for a total value of $35,907.50. Following the completion of the transaction, the vice president now directly owns 93,689 shares of the company’s stock, valued at $13,456,551.07. The disclosure for this sale can be found here. Over the last three months, insiders sold 133,250 shares of company stock valued at $22,235,385. 1.99% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the company. Price T Rowe Associates Inc. MD raised its stake in Cadence Design Systems by 98.2% during the third quarter. Price T Rowe Associates Inc. MD now owns 5,419,304 shares of the software maker’s stock worth $885,753,000 after acquiring an additional 2,685,677 shares in the last quarter. Voya Investment Management LLC raised its stake in Cadence Design Systems by 102.3% during the second quarter. Voya Investment Management LLC now owns 1,818,157 shares of the software maker’s stock worth $272,778,000 after acquiring an additional 919,571 shares in the last quarter. FMR LLC raised its stake in Cadence Design Systems by 4.7% during the second quarter. FMR LLC now owns 10,344,233 shares of the software maker’s stock worth $1,551,944,000 after acquiring an additional 462,306 shares in the last quarter. Two Sigma Advisers LP raised its stake in Cadence Design Systems by 69.5% during the third quarter. Two Sigma Advisers LP now owns 1,090,600 shares of the software maker’s stock worth $178,237,000 after acquiring an additional 447,000 shares in the last quarter. Finally, Prudential Financial Inc. raised its stake in Cadence Design Systems by 83.0% during the third quarter. Prudential Financial Inc. now owns 819,168 shares of the software maker’s stock worth $133,882,000 after acquiring an additional 371,526 shares in the last quarter. 84.06% of the stock is owned by institutional investors.

About Cadence Design Systems

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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.