CDNS Intrinsic Value Calculator – CADENCE DESIGN SYSTEMS Leads the Way as EDA Software Market Grows to 2031
July 11, 2023
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CADENCE DESIGN SYSTEMS ($NASDAQ:CDNS) is a leading provider of Electronic Design Automation (EDA) software solutions. Its comprehensive suite of integrated EDA tools and services allow customers to quickly and accurately design, test, and manufacture their electronic products. This growth will be driven by the increasing demand for advanced integrated circuit technologies and integrated systems across a wide range of industries. The increasing demand for EDA software solutions from automotive, aerospace, communications, consumer electronics, healthcare, and other industries will be the primary drivers of growth in this sector.
CADENCE DESIGN SYSTEMS is an established leader in this space, with a portfolio of products that provide customers with comprehensive design solutions. The company provides leading-edge technologies such as digital and analog mixed-signal design automation, computer-aided engineering (CAE), high-level synthesis (HLS), and verification solutions.
Price History
On Monday, the company’s stock opened at $227.4 and closed at $234.4, representing a 3.3% increase in price from the previous closing price of 226.9. This increase in stock price is indicative of the company’s strong presence in the technology market, particularly in EDA software. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for CDNS. More…
| Total Revenues | Net Income | Net Margin |
| 3.68k | 855.42 | 23.6% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for CDNS. More…
| Operations | Investing | Financing |
| 1.17k | -754.43 | -593.72 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for CDNS. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 5.17k | 2.23k | 10.76 |
Key Ratios Snapshot
Some of the financial key ratios for CDNS are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 15.7% | 28.2% | 29.5% |
| FCF Margin | ROE | ROA |
| 28.3% | 23.9% | 13.1% |
Analysis – CDNS Intrinsic Value Calculator
At GoodWhale, we recently conducted an analysis of CADENCE DESIGN SYSTEMS’s wellbeing. After a thorough assessment of the company’s financial health and other market related factors, we concluded that the fair value for CADENCE DESIGN SYSTEMS’s share is around $183.5. This value was determined by our proprietary Valuation Line, which considers multiple indicators such as the company’s price-to-earnings ratio, return on equity, and other metrics. At the moment, CADENCE DESIGN SYSTEMS stock is traded at $234.4, resulting in an overvaluation of 27.8%. Although this figure may appear high at first glance, it is important to note that our research is based on the fair value of the stock and not its current trading price. Therefore, it may be worth considering for any investor who is looking to invest in CADENCE DESIGN SYSTEMS. More…
Peers
Cadence Design Systems Inc is one of the leading electronic design automation software providers. The company offers a comprehensive suite of tools, IP and services that enable global electronic system and semiconductor companies to create innovative products that improve the quality of life.
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Summary
Cadence Design Systems is a leading provider of electronic design automation (EDA) software for the semiconductor, automotive and aerospace industries. The company’s strong financial performance, robust product portfolio, and continuous investments in R&D have driven its share price higher. Furthermore, its long-term partnerships with major companies across industries have helped it gain market share and expand its customer base. As a result, analysts are optimistic about the company’s future growth prospects and its stock price is expected to continue to rise.
