Cadence Design Systems (CDNS) closed the latest trading day at $296.18, indicating a +0.6% change from the previous session's end. This change outpaced the S&P 500's 0.26% gain on the day. At the same time, the Dow added 0.18%, and the tech-heavy Nasdaq gained 0.35%.Shares of the maker of hardware and software products for validating chip designs have appreciated by 2.41% over the course of the past month, underperforming the Computer and Technology sector's gain of 6.38% and the S&P 500's gain of 3.25%.The ...

Cadence Design Systems Inc (CDNS) recently concluded the acquisition of Switzerland-based BETA CAE Systems International AG. The acquisition was announced in March 2024.Back then, CDNS had highlighted that the deal involved Cadence paying approximately $1.24 billion, with 60% of the consideration in cash and 40% through the issuance of Cadence stock to BETA CAE shareholders.Headquartered in Lucerne, BETA CAE specializes in offering multi-domain, engineering simulation solutions. BETA CAE offers a comprehens ...

Cadence Design Systems (CDNS) closed at $286.15 in the latest trading session, marking a -0.06% move from the prior day. The stock trailed the S&P 500, which registered a daily gain of 0.11%. Meanwhile, the Dow experienced a drop of 0.3%, and the technology-dominated Nasdaq saw an increase of 0.56%.Shares of the maker of hardware and software products for validating chip designs have appreciated by 1.66% over the course of the past month, underperforming the Computer and Technology sector's gain of 7.61% an ...

Cadence Design Systems, Inc (CDNS) is continuing its upward trajectory, with a gain of 26.2% in the past year compared with the S&P 500 composite’s growth of 26.1%.Based in San Jose, CA, Cadence is a leader in the electronic system design space. The company’s Intelligent System Design strategy aids users to transform design concepts into reality by offering computational software, hardware and IP. Cadence’s core electronic design automation software and services enable engineers to develop different types o ...

The latest trading session saw Cadence Design Systems (CDNS) ending at $296.21, denoting a +0.66% adjustment from its last day's close. The stock outpaced the S&P 500's daily gain of 0.03%. Meanwhile, the Dow lost 0.56%, and the Nasdaq, a tech-heavy index, added 0.59%.Shares of the maker of hardware and software products for validating chip designs witnessed a gain of 4.17% over the previous month, trailing the performance of the Computer and Technology sector with its gain of 6.87% and the S&P 500's gain o ...

A month has gone by since the last earnings report for Cadence Design Systems (CDNS) . Shares have added about 3% in that time frame, underperforming the S&P 500.Will the recent positive trend continue leading up to its next earnings release, or is Cadence due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important catalysts. Cadence Q1 Earnings Top EstimatesCadence Des ...

Have you evaluated the performance of Cadence Design Systems' (CDNS) international operations for the quarter ending March 2024? Given the extensive global presence of this maker of hardware and software products for validating chip designs, analyzing the patterns in international revenues is crucial for understanding its financial strength and potential for growth.In today's increasingly interconnected global economy, a company's ability to tap into international markets can be a pivotal factor in shaping ...

Revenue Performance - Revenue for the three months ended March 31, 2024, was $1,009.1 million, a decrease of 1% compared to $1,021.7 million for the same period in 2023[92]. - Total revenue for the three months ended March 31, 2024, was $1,009.1 million, a decrease of $12.6 million or 1% compared to $1,021.7 million for the same period in 2023[96]. - Revenue from the United States was $435.5 million, a slight increase of $1.2 million or 0.3% year-over-year[96]. - Revenue from China decreased by $60.4 million or 34% to $117.2 million, contributing to a decline in overall revenue[96]. - Recurring revenue increased to 90% of total revenue for the three months ended March 31, 2024, up from 80% in the same period of 2023[90]. - Revenue from services grew by 65% to $95.7 million for the three months ended March 31, 2024, compared to $58.0 million in the same period of 2023[93]. - The percentage of revenue recognized over time increased to 87% for the three months ended March 31, 2024, compared to 77% in the same period of 2023[89]. - Revenue from Custom IC Design and Simulation remained stable at 22% for the three months ended March 31, 2024, consistent with previous quarters[95]. - The Digital IC Design and Signoff category accounted for 29% of total revenue for the three months ended March 31, 2024, consistent with the previous quarter[95]. Operating Expenses and Margins - Operating expenses increased to $628.3 million, up $57.8 million or 10% from $570.5 million in the prior year[107]. - Total operating expenses increased by 10% to $628.3 million for the three months ended March 31, 2024, from $570.5 million in the same period of 2023[107]. - Operating margin decreased to 25% for the three months ended March 31, 2024, down from 32% in the same period last year[116]. - Research and development expenses rose by $28.7 million or 8% to $379.0 million, reflecting continued investment in talent and infrastructure[107]. - Marketing and sales expenses increased by 8% to $180.6 million for the three months ended March 31, 2024, from $166.7 million in the same period of 2023[107]. - General and administrative expenses rose by 28% to $68.7 million for the three months ended March 31, 2024, compared to $53.5 million for the same period in 2023[107]. - Cost of product and maintenance decreased by $24.8 million or 25% to $75.4 million, primarily due to reduced costs associated with emulation and prototyping hardware[100]. - Product and maintenance-related costs decreased by 29% to $64.1 million for the three months ended March 31, 2024, compared to $89.9 million for the same period in 2023[102]. Cash Flow and Financial Position - Cash provided by operating activities decreased to $253.2 million for the three months ended March 31, 2024, down from $267.4 million in the same period of 2023, a decline of $14.2 million[125]. - Cash used for investing activities increased significantly to $(79.8) million in the three months ended March 31, 2024, compared to $(35.7) million in the same period of 2023, primarily due to higher payments for business combinations and property purchases[127]. - Cash used for financing activities decreased to $(159.4) million for the three months ended March 31, 2024, from $(197.4) million in the same period of 2023, reflecting reduced payments on the revolving credit facility[128]. - As of March 31, 2024, cash and cash equivalents totaled $1,012.4 million, a slight increase from $1,008.2 million as of December 31, 2023, with net working capital rising to $464.2 million from $385.4 million[122][123]. - The company had no outstanding borrowings under its $700 million revolving credit facility as of March 31, 2024, and was in compliance with all financial covenants[131]. - The company issued $350 million of 4.375% Senior Notes due October 15, 2024, and was in compliance with all covenants associated with these notes as of March 31, 2024[132]. - Approximately 73% of the company's cash and cash equivalents were held by foreign subsidiaries as of March 31, 2024, which may vary due to the timing of collections and repatriation of foreign earnings[123]. Acquisitions and Investments - The acquisition of Invecas, Inc. is expected to enhance the company's capabilities in delivering end-to-end system solutions[82]. - The company completed the acquisition of Invecas, enhancing its capabilities in design engineering and embedded software solutions[82]. - The company entered into a definitive agreement to acquire BETA CAE Systems International AG for $1.24 billion, with 60% to be paid in cash and 40% in common stock, expected to close in the second quarter of fiscal 2024[129]. - The company expects to continue attracting and retaining talent through hiring and acquisitions to support growth in both technical sales and research and development[109][111]. - The company reported gains from investments in equity securities, contributing positively to its financial performance[87]. Tax and Compliance - The provision for income taxes for the three months ended March 31, 2024, was $62.4 million, compared to $79.7 million for the same period in 2023, reflecting a decrease in the effective tax rate from 24.8% to 20.1%[119]. - The company expects the fiscal 2024 effective tax rate to be approximately 25.0%, with quarterly rates varying due to stock-based awards and other factors[121]. - Interest expense decreased to $8.7 million, down from $9.3 million in the prior year, mainly due to reduced borrowings under the 2021 Credit Facility[118]. - The company has a five-year senior unsecured revolving credit facility with a maximum borrowing capacity of $1.05 billion, with no outstanding borrowings as of March 31, 2024[131]. - The company has a $300.0 million three-year senior non-amortizing term loan facility due on September 7, 2025, and was also in compliance with all financial covenants associated with this loan as of March 31, 2024[133]. Geopolitical and Market Impact - The company anticipates limited impact from expanded trade control laws and geopolitical conflicts on its business operations[84]. - The company continues to monitor the impact of geopolitical conflicts and trade control laws on its operations, with limited expected impact on financial results[84].

A look at Cadence Design Systems' Q1 2024 earnings.Cadence Design Systems (CDNS -1.74%), a player in the computational software arena, released its Q1 2024 earnings on April 22. Revenue of $1.009 billion slightly surpassed analyst expectations, but was a marginal decline from $1.022 billion in the same quarter last year. Earnings per share (EPS) fell well short of the $1.34 forecast, coming in at $1.17, a decrease from $1.29 in the year-ago quarter. Despite these mixed results, the quarter's performance sho ...

Cadence Design Systems (CDNS) reported first-quarter 2024 non-GAAP earnings per share (EPS) of $1.17, which beat the Zacks Consensus Estimate by 3.5%. However, it decreased 9.3% year over year.Revenues of $1.009 billion missed the Zacks Consensus Estimate by 0.5% and decreased 1.2% on a year-over-year basis. The top line was affected by weakness in Product & Maintenance revenues. CDNS ended the quarter with a backlog of $6 billion and current remaining performance obligations of $3.1 billion.Management prov ...