Cadence(US:CDNS) ZACKSยท2025-09-02 22:51Company Performance - Cadence Design Systems (CDNS) closed at $342.81, reflecting a -2.17% change from the previous day, underperforming compared to the S&P 500's loss of 0.69% [1] - The stock has decreased by 3.96% over the past month, while the Computer and Technology sector gained 3.71% and the S&P 500 increased by 3.79% [1] Upcoming Earnings - The upcoming earnings release is anticipated, with projected EPS at $1.79, indicating a 9.15% increase year-over-year [2] - Revenue is expected to reach $1.32 billion, representing an 8.96% increase compared to the same quarter last year [2] Full Year Projections - For the full year, earnings are projected at $6.91 per share and revenue at $5.25 billion, reflecting increases of +15.75% and +13.07% respectively from the prior year [3] Analyst Estimates - Recent adjustments to analyst estimates suggest a favorable outlook on the business health and profitability of Cadence Design Systems [4] - The Zacks Rank system indicates that changes in estimates correlate with stock price performance, with a current Zacks Rank of 3 (Hold) for CDNS [5][6] Valuation Metrics - Cadence Design Systems has a Forward P/E ratio of 50.74, which is a premium compared to the industry average Forward P/E of 26.35 [7] - The company has a PEG ratio of 3.64, significantly higher than the industry average PEG ratio of 1.92 [8] Industry Context - The Computer - Software industry, part of the Computer and Technology sector, holds a Zacks Industry Rank of 78, placing it in the top 32% of over 250 industries [8] - Research indicates that the top 50% rated industries outperform the bottom half by a factor of 2 to 1 [9]