CDNS Stock Forecast: A Comprehensive Look at Future Growth

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CDNS stock has consistently demonstrated strong growth over the years, with a compound annual growth rate (CAGR) of 23.5% from 2015 to 2020.

This impressive growth can be attributed to the company's ability to adapt to the changing market trends and expand its product offerings.

CDNS has successfully diversified its revenue streams, with a significant increase in its licensing revenue, which now accounts for over 50% of its total revenue.

The company's strong financials, including a high operating margin of 83.5% in 2020, also contribute to its growth prospects.

If this caught your attention, see: Cdns Stock Quote

Stock Forecast

The stock forecast for Cadence Design Systems, Inc. looks promising. Over the next 52 weeks, the company has historically risen by an average of 22% based on the past 31 years of stock performance.

This is not a guarantee, but it's a positive trend to keep in mind. In fact, Cadence Design Systems, Inc. has risen higher in 21 of those 31 years over the subsequent 52-week period, corresponding to a historical accuracy of 67.74%.

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The current share price of $343.48 is also worth noting. According to the Stock Score, which is 59, this is 18% above its historic median score of 50, indicating lower risk than normal.

Here's a breakdown of the analyst forecasts for Cadence Design Systems, Inc.:

These forecasts suggest a steady increase in earnings over the next year. Analysts estimate an earnings increase of $0.35 per share this quarter and $0.24 per share next quarter. The earnings growth is expected to be 15.8% per year, which is above the savings rate of 3.1%.

It's also worth noting that the consensus price target is $351.94 based on the ratings of 18 analysts. This implies a 10.15% upside from the most-recent analyst ratings.

Financial Data

The financial data for CDN's stock is quite up-to-date. The last updated time for the company analysis was September 12, 2025, at 08:58 UTC.

The end of day share price was last updated on September 12, 2025, at 00:00. This is a significant piece of information for investors.

Earnings were reported on June 30, 2025, which is a key metric for assessing a company's financial health.

Company Analysis

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The latest company analysis for CDNS stock is from September 12, 2025, at 08:58 UTC time.

This analysis is current, as it's been updated recently. The data suggests that the company's performance is being closely monitored.

The end of day share price for CDNS stock was last updated on September 12, 2025, at 00:00 UTC time.

Earnings data is from June 30, 2025, giving us an idea of the company's financial health. Annual earnings data is from December 31, 2024.

Here's a quick summary of the key dates:

  • Company Analysis: 2025/09/12 08:58
  • End of Day Share Price: 2025/09/12 00:00
  • Earnings: 2025/06/30
  • Annual Earnings: 2024/12/31

Growth and Revenue

Cadence Design Systems, Inc. (CDNS) has a solid growth forecast, with analysts predicting an increase in earnings of $0.35 per share this quarter, $0.24 per share next quarter, $1.01 per share this year, and $1.00 per share next year.

The company's revenue is forecast to grow at a rate of 10% per year, which is slower than the high growth rate of 20% per year. Analysts expect CDNS's revenue to reach $6,619 million by 12/31/2027.

Credit: youtube.com, Drill Down Earnings, Ep. 367: Cadence Design Systems Q2 earnings – ($CDNS) Beyond the Numbers

CDNS's forecast earnings growth rate of 15.8% per year is above the savings rate of 3.1%, indicating that the company's earnings are expected to grow faster than the average savings rate.

Here is a summary of CDNS's revenue growth forecast:

CDNS's revenue growth rate of 10% per year is also expected to outpace the US market's growth rate of 9.6% per year.

Price and Value

Cadence Design Systems, Inc. has a notable track record of performing well after a 31-year analysis. In 21 of those years, the company's stock price rose higher over the subsequent 52-week period.

A historical accuracy of 67.74% suggests that the market has a decent understanding of the company's potential for growth. This level of accuracy can be a good indicator for investors.

The historical data implies that investors have a 67.74% chance of seeing the company's stock price increase over the next 52 weeks if it has risen in the past.

Will Price Increase?

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The long-term earning potential of Cadence Design Systems is a promising indicator of future growth, with a potential increase of +15.05% in one year.

Historically, Cadence Design Systems has shown a consistent trend of rising stock prices, with an average increase of 22% over the past 31 years.

While the current trend is moderately bearish, indicating risk of future bearish movement, it's essential to consider the company's past performance and potential future growth.

The company's revenue from public contracts is also a crucial factor to consider, with an estimated quarterly amount awarded to CDNS from public contracts.

Here are some key statistics to keep in mind:

Keep in mind that past performance is not a guarantee of future results, but it can be a useful indicator of potential growth.

Today's Price

The Cadence Design Systems stock price is 344.740 USD today.

Finding out the current stock price can be a challenge, but with the right tools, it's easier than ever.

The stock price of Cadence Design Systems is 344.740 USD today.

Consider reading: Exxon Mobil Stock Quote

Is Inc. Overpriced?

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Is Cadence Design Systems, Inc. Overpriced?

Cadence Design Systems, Inc. has risen higher in 21 of those 31 years over the subsequent 52-week period, corresponding to a historical accuracy of 67.74%.

Over the next 52 weeks, Cadence Design Systems, Inc. has on average historically risen by 22% based on the past 31 years of stock performance.

This suggests that the stock has a good track record of increasing in value over time.

Forecast

Over the next 52 weeks, Cadence Design Systems, Inc. has historically risen by 22% on average based on the past 31 years of stock performance.

This historical trend suggests that Cadence Design Systems, Inc. has a strong track record of growth, with a 67.74% accuracy rate over the subsequent 52-week period.

Cadence Design Systems, Inc. has risen higher in 21 of those 31 years, indicating a consistent pattern of growth.

The current share price of $343.48 is relatively stable, with a Stock Score of 59, which is 18% above its historic median score of 50.

Credit: youtube.com, This Overlooked AI Stock Will BLOW Past $500 Soon! (CDNS Stock)

This suggests that the stock is currently trading in the 50-60% percentile range relative to its historical Stock Score levels.

Analysts estimate an earnings increase this quarter of $0.35 per share, an increase next quarter of $0.24 per share, an increase this year of $1.01 per share, and an increase next year of $1.00 per share.

Here are the estimated earnings increases over the next year:

Cadence Design Systems, Inc.'s forecast earnings growth (15.8% per year) is above the savings rate (3.1%), indicating a strong potential for growth.

The US market is also expected to grow at a rate of 15.4% per year, but Cadence Design Systems, Inc.'s earnings are forecast to grow faster.

Revenue vs Market: Cadence Design Systems, Inc.'s revenue (10% per year) is forecast to grow faster than the US market (9.6% per year).

The long-term earning potential is +15.05% in one year, indicating a strong potential for growth.

The consensus price target of $351.94 based on the ratings of 18 analysts suggests an implied 10.15% upside for Cadence Design Systems Inc from these most-recent analyst ratings.

The CDNS stock price can go up from $344.740 USD to $396.639 USD in one year, but according to our analysis, this will not happen.

Analysts are optimistic about the stock's potential, with a high price target of $405 issued by Wells Fargo on July 29, 2025.

A unique perspective: Datadog Stock Potential Upside

Frequently Asked Questions

What is the price target for CDNS in 2026?

The estimated price target for CDNS in 2026 is between $200.00 and $410.00 USD, with a median estimate of $375.24 USD. Analysts' predictions suggest a wide range of possible prices, making it essential to stay informed about market trends and updates.

Does CDNS pay a dividend?

No, CDNS does not pay a dividend on its common stock. Cadence Design Systems currently prioritizes reinvesting profits into its business.

Is CDNS overvalued?

According to our analysis, Cadence Design Systems Inc (CDNS) is considered overvalued by 68.5%. Further details on our valuation methodology and market assessment are available upon request.

Tasha Kautzer

Senior Writer

Tasha Kautzer is a versatile and accomplished writer with a diverse portfolio of articles. With a keen eye for detail and a passion for storytelling, she has successfully covered a wide range of topics, from the lives of notable individuals to the achievements of esteemed institutions. Her work spans the globe, delving into the realms of Norwegian billionaires, the Royal Norwegian Naval Academy, and the experiences of Norwegian emigrants to the United States.

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