Cadence Design Systems (NASDAQ:CDNS) Updates FY 2020 After-Hours Earnings Guidance

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Cadence Design Systems (NASDAQ:CDNS) updated its FY 2020
After-Hours earnings guidance on Wednesday. The company provided earnings per share (EPS) guidance of 2.40-2.50 for the period, compared to the Thomson Reuters consensus estimate of $2.34. The company issued revenue guidance of $2.545-2.585 billion, compared to the consensus revenue estimate of $2.5 billion.Cadence Design Systems also updated its FY20 guidance to $2.40 to $2.50 EPS.

Shares of CDNS stock traded down $0.49 during trading on Friday, reaching $78.76. 1,329,600 shares of the company’s stock were exchanged, compared to its average volume of 1,438,368. Cadence Design Systems has a twelve month low of $51.70 and a twelve month high of $79.68. The firm’s fifty day moving average price is $72.90 and its 200-day moving average price is $69.02. The company has a quick ratio of 1.59, a current ratio of 1.70 and a debt-to-equity ratio of 0.23. The stock has a market capitalization of $20.94 billion, a PE ratio of 51.82, a PEG ratio of 4.43 and a beta of 1.12.

Cadence Design Systems (NASDAQ:CDNS) last announced its quarterly earnings results on Wednesday, February 12th. The software maker reported $0.54 earnings per share (EPS) for the quarter, beating the consensus estimate 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 business 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 firm posted $0.52 EPS. The company’s quarterly revenue was up 5.2% on a year-over-year basis. As a group, analysts anticipate that Cadence Design Systems will post 1.51 EPS for the current fiscal year.

Several brokerages have recently weighed in on CDNS. Benchmark assumed coverage on shares of Cadence Design Systems in a research report on Thursday. They issued a buy rating and a $90.00 price objective on the stock. Wells Fargo & Co lifted their target price on shares of Cadence Design Systems from $80.00 to $85.00 and gave the stock an overweight rating in a report on Thursday, February 6th. ValuEngine lowered shares of Cadence Design Systems from a sell rating to a strong sell rating in a research note on Thursday. Needham & Company LLC increased their price target on shares of Cadence Design Systems from $76.00 to $86.00 and gave the company a buy rating in a report on Thursday. Finally, Credit Suisse Group raised their price objective on shares of Cadence Design Systems from $75.00 to $80.00 and gave the stock a neutral rating in a research report on Thursday. One research analyst has rated the stock with a sell rating, five have issued a hold rating and six have issued a buy rating to the company’s stock. The company presently has an average rating of Hold and an average price target of $82.00.

In related news, VP Thomas P. Beckley sold 55,750 shares of the firm’s stock in a transaction dated Wednesday, January 22nd. The shares were sold at an average price of $75.00, for a total transaction of $4,181,250.00. Following the transaction, the vice president now directly owns 308,504 shares of the company’s stock, valued at $23,137,800. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, VP James J. Cowie sold 1,242 shares of the firm’s stock in a transaction dated Wednesday, February 12th. The stock was sold at an average price of $76.31, for a total transaction of $94,777.02. Following the transaction, the vice president now directly owns 103,530 shares in the company, valued at $7,900,374.30. The disclosure for this sale can be found here. Insiders have sold 353,949 shares of company stock valued at $25,290,546 in the last three months. Insiders own 2.34% 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.

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

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