Cadence (CADE) Expected to Beat Earnings Estimates: Can the Stock Move Higher?

Core Viewpoint - Cadence (CADE) is anticipated to report flat earnings of $0.69 per share for the quarter ended June 2025, with revenues expected to increase by 2.6% to $468.8 million compared to the previous year [3][12]. Earnings Expectations - The upcoming earnings report is scheduled for July 23, and the stock may rise if actual earnings exceed expectations, while a miss could lead to a decline [2]. - The consensus EPS estimate has been revised 7.55% higher in the last 30 days, indicating a more optimistic outlook from analysts [4]. Earnings Surprise Prediction - The Zacks Earnings ESP for Cadence is +2.90%, suggesting a higher Most Accurate Estimate compared to the Zacks Consensus Estimate, which indicates a likelihood of beating the consensus EPS [12]. - A positive Earnings ESP is a strong predictor of an earnings beat, especially when combined with a Zacks Rank of 1 (Strong Buy), 2 (Buy), or 3 (Hold) [10]. Historical Performance - Cadence has consistently beaten consensus EPS estimates in the last four quarters, with a notable surprise of +10.94% in the last reported quarter [13][14]. - The company’s ability to exceed expectations in the past may influence future earnings estimates [13]. Industry Context - Trustmark (TRMK), another player in the Zacks Banks - Southeast industry, is expected to report earnings of $0.86 per share, reflecting a year-over-year increase of +30.3% [18]. - Trustmark has an Earnings ESP of -5.81% despite a Zacks Rank of 2 (Buy), making it challenging to predict a beat on the consensus EPS [19].