Cadence Design SystemsNASDAQ: CDNS

Cadence Design has demonstrated years of profitable expansion.

Look into Cadence's (CDNS) global revenue patterns and how these figures influence Wall Street's predictions and the future of the stock. Understanding these trends can provide insights into the company's performance and potential growth.

I am recommending Cadence Design Systems stock as a buy for investors looking at the mid to long term. The company is likely to experience improved revenue growth in 2025 and 2026 due to the rise of AI and the growing demand for EDA providers, a sector where it leads alongside Synopsys. The EDA market is projected to expand at a compound annual growth rate of 9.40% from 2024 to 2032, reaching $35.88 billion.

On Tuesday, Cadence Design Systems (CDNS) saw its shares rise over 12%, making it the best-performing stock in the S&P 500 for the day. This increase followed the company's impressive quarterly results and an upgrade to its full-year forecast.

Cadence exceeded expectations for its Q3 earnings, and the management predicts an even stronger performance in Q4.

Investors frequently depend on analyst recommendations when choosing to buy, sell, or hold a stock. Changes in ratings from these analysts, who work for brokerage firms, can impact a stock's price, but how significant are they really?

VF Corp., Cadence, and F5 have all seen good gains in the after-market today after reporting better-than-expected earnings.

Cadence Design Systems (CDNS) reported quarterly earnings of $1.64 per share, which is higher than the Zacks Consensus Estimate of $1.44 per share. This is an increase compared to earnings of $1.26 per share from the same period last year.

On Monday, Cadence Design Systems increased the middle point of its yearly profit prediction, expecting that the rise in generative AI will boost the need for its software, which is used to create advanced chips for these systems. This news led to a 6.4% increase in its stock price during after-hours trading.