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CDNS Silicon, IP & Semicap EDA software for AI chip design Open in compare

Cadence Design Systems

AI chip complexity increases demand for EDA, verification, IP, and simulation tools.

Price $339.24 Live
1D Change +0.24% 1 day
Market Cap $93.57B Live
Enterprise Value $94.54B Current
Trailing P/E 67.6 TTM
Forward P/E 35.6 Forward
PEG Ratio 3.06x Yahoo est.
Price / Sales 16.0 TTM
EV / Revenue 16.2 TTM
Revenue Growth 24.2% YoY latest qtr
Earnings Growth 125.4% YoY latest qtr
Gross Margin 85.9% TTM
Operating Margin 28.6% TTM
Net Margin 23.6% TTM
ROE 23.2% TTM
Free Cash Flow $1.61B TTM
FCF Margin 27.6% TTM
Debt / Equity 0.39x Latest qtr
Current Ratio 1.74x Latest qtr
Dividend Yield 0.00% Annualized
Next Earnings Oct 26, 2026 Calendar

Metric timing

This page mixes live market data, trailing fundamentals, and latest reported statement data.

Live / market snapshot

Price, 1D change, market cap, and enterprise value are current market-based figures.

TTM / forward

Most valuation and margin cards are trailing twelve months, while forward P/E uses forward consensus.

Latest quarter / dividend cadence

Balance-sheet ratios use the latest reported quarter. Dividend cadence is inferred from recent payout history.

Revenue $5.30B Dec 31, 2025

latest annual revenue

Revenue $1.58B Jun 30, 2026

latest quarterly revenue

Net Income $1.11B Dec 31, 2025

latest annual profit

Net Income $367.1M Jun 30, 2026

latest quarterly profit

Dividend / Share $0.00 No regular dividend

annualized per share

Last Dividend No dividend history

latest ex-dividend cash amount

Price chart

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Latest headlines

Recent company headlines. Each link opens the original article in a new tab.

StockStory Aug 03, 2026
2 Profitable Stocks to Keep an Eye On and 1 Facing Headwinds

While profitability is essential, it doesn’t guarantee long-term success. Some companies that rest on their margins will lose ground as competition intensifies — as Jeff Bezos said, “Your margin is my opportunity”.

StockStory Aug 03, 2026
5 Revealing Analyst Questions From Cadence Design Systems’s Q2 Earnings Call

Cadence Design Systems’ Q2 results reflected heightened demand for its artificial intelligence-powered electronic design automation solutions, with management crediting broad-based customer adoption as a primary driver. CEO Anirudh Devgan emphasized the company’s progress in agentic AI, which enables more autonomous and efficient chip and system design workflows. The quarter’s strong performance was further supported by robust engagement across advanced packaging, hardware platforms, and a subst

Trefis Jul 31, 2026
The Quiet Surface of Synopsys Stock Hides a Turbulent Forecast

If you hold Synopsys shares, the market is pricing a potential fifty percent swing over the next year, a two-sided risk you carry whether or not you ever touch an option.

24/7 Wall St. Jul 30, 2026
Prediction: Synopsys Could Become the Next $150 Billion Software Giant

Synopsys has cratered over 40% in the past year while its underlying business just posted 42% revenue growth, and that contradiction is exactly where a generational buying opportunity tends to hide.

Zacks Jul 30, 2026
Cadence Q2 Earnings Top Estimates on AI Demand, Backlog Hits $8.1B

CDNS beats Q2 2026 estimates as AI-fueled demand lifted revenues 24.2% and backlog to a record $8.1 billion, prompting a higher full-year outlook.

Zacks Jul 29, 2026
Are Computer and Technology Stocks Lagging ACI Worldwide (ACIW) This Year?

Here is how ACI Worldwide (ACIW) and Cadence Design Systems (CDNS) have performed compared to their sector so far this year.

Why it could benefit going forward

  • AI chip complexity increases demand for EDA, verification, IP, and simulation tools.
  • Custom accelerator programs at hyperscalers expand the design customer base.
  • Cadence can also use AI inside its own design automation workflows.

Moat / edge

  • Mission-critical EDA tools with high switching costs.
  • Deep customer relationships across semiconductor and systems companies.
  • Recurring software model with strong margins.

What to watch

  • AI-driven design activity and backlog.
  • Hardware verification and IP growth.
  • Competition with Synopsys and Siemens EDA.

Key risks

  • Semiconductor design cycles can slow in downturns.
  • Valuation is sensitive to growth expectations.

Business snapshot

Cadence Design Systems, Inc. develops computational, AI-driven software, hardware, and silicon intellectual property products and solutions. The company offers functional verification services, such as Jasper, a formal verification platform; Xcelium, a parallel logic simulation platform; Verisium, a generative AI solution; Palladium, an enterprise emulation platform; and Protium, a prototyping platform for chip verification, as well as digital IC design and sign off products, including In novus platform; and custom IC design and simulation product include Virtuoso, a platform to design and verify analog. It also provides Xcelium logic simulator and other front-end verification and virtual prototyping technologies; controllers and physical interfaces; PCI Express, universal accelerator and compute express links, and multiple memory interfaces; and Ten Silica, a digital signal processor. In addition, the company's design IP portfolio includes serializer/deserializer, peripheral component interconnect, USB, and other standard protocols; and Secure-IC, a solution for embedded security IP. Additionally, it provides System Design and Analysis (SD&A) platform, a solution that enables end-to-end system-level design and verification across chips, packages, PCBs, and electronic systems; Allegro X and Orca X platforms for PCB and advanced packaging; Sigrity X for signal and power integrity; AIR for RF design; Fidelity for computational fluid dynamics; Celsius for thermal and airflow analysis; Clarity 3D solver for electromagnetic and power electronics analysis and simulation; Integrity 3D-IC solution for 3D-IC and multi-chiplet designs; the Optimality Intelligent System Explorer, Reality digital twin, and Millennium enterprise multiphasic platforms; Allegro system design platform; and molecular modeling and simulation solutions and services. The company has a strategic collaboration with NVIDIA. The company was incorporated in 1987 and is headquartered in San Jose, California.