October 31, 2025 a 07:43 am
CDNS: Fundamental Ratio Analysis - Cadence Design Systems, Inc.
Cadence Design Systems, Inc. operates in the technology sector, focusing on software and hardware for IC design. The company is well-positioned in the growing 5G and automotive markets, offering diverse products that cater to various technological needs. Although the stock has shown consistency with its verification platforms, potential investors should consider market volatility.
Fundamental Rating
The fundamental rating for Cadence Design Systems, Inc. suggests a stable outlook, with significant strengths in return on equity and assets.
| Category | Score | Visual |
|---|---|---|
| Discounted Cash Flow | 3 | |
| Return on Equity | 4 | |
| Return on Assets | 5 | |
| Debt to Equity | 1 | |
| Price to Earnings | 1 | |
| Price to Book | 1 |
Historic Rating
The historical rating of Cadence Design Systems shows consistency in its overall score over time.
| Date | Overall | DCF | ROE | ROA | Debt/Equity | P/E | P/B |
|---|---|---|---|---|---|---|---|
| 10/30/2025 | 3 | 3 | 4 | 5 | 1 | 1 | 1 |
| Previous | 0 | 3 | 4 | 5 | 1 | 1 | 1 |
Analysts' Price Targets
Analysts remain optimistic with Cadence's potential, forecasting strong market performance.
| High | Low | Median | Consensus |
|---|---|---|---|
| 418 | 355 | 400 | 396.14 |
Analysts' Sentiment
Majority of analysts recommend buying, reflecting market confidence in Cadence's strategic position.
| Rating | Count | Visual |
|---|---|---|
| Strong Buy | 0 | |
| Buy | 24 | |
| Hold | 5 | |
| Sell | 1 | |
| Strong Sell | 0 |
Conclusion
Cadence Design Systems, Inc. appears to be a stable choice for investors interested in technology stocks. Its strong positions in popular industries such as 5G and automotive demonstrate resilience. However, potential investors should be cautious of broader market volatility that could impact momentum. Although surrounded by positive analyst sentiment, close monitoring of industry trends is advised to manage risk. With its diverse service offerings, Cadence remains a strong competitor in the technology market.