Cadence Design Systems (CDNS) News & Sentiment

We have put together a list of 11 oversold blue chip stocks that hedge funds recommend buying. In this article, we will examine how Cadence Design Systems, Inc. (NASDAQ:CDNS) compares to the other oversold blue chip stocks. Ongoing uncertainty about tariff announcements is still affecting Wall Street.

Users of Zacks.com have been paying a lot of attention to Cadence (CDNS) lately. Therefore, it's important to understand the key information that could influence the stock's future.

Cadence Design Systems, Inc. (NASDAQ:CDNS) will be participating in the Morgan Stanley Technology, Media & Telecom Conference on March 5, 2025, at 5:35 PM ET. The company will be represented by Anirudh Devgan, who is the President and CEO. An unidentified analyst will also be part of the conference call.

Cadence Design Systems (CDNS) finished the last trading day at $241.29, which is a decrease of 0.19% compared to the day before.

SANTA CLARA, Calif., March 04, 2025 (GLOBE NEWSWIRE) -- Silvaco Group, Inc. (Nasdaq: SVCO), a company that offers TCAD, EDA software, and SIP solutions for semiconductor design and digital twin modeling using AI, has announced its acquisition of the Process Proximity Compensation (PPC) product line from Cadence (Nasdaq: CDNS).

Cadence (CDNS) has recently caught the attention of Zacks.com users. Therefore, it's important to look into what the future holds for this stock.

As of the market close on February 20, shares of Cadence Design Systems, a key player in the semiconductor industry, have seen a notable decline in 2025. The stock has dropped by 10%, mainly because its Q4 earnings report provided disappointing forecasts for 2025.

I suggest maintaining a hold rating for Cadence Design Systems, Inc. because its valuation is quite high, even though it has good long-term growth prospects. While CDNS had strong results in Q4, its guidance for FY25 was weaker, suggesting slower growth and possible valuation concerns. Additionally, CDNS's high valuation compared to competitors like Synopsys and ANSYS is difficult to explain, as they have similar growth rates and involvement in AI trends.

CDNS has a strong range of products as design activity grows, which is encouraging. However, there are external risks that should be considered carefully. It may be wise for investors to hold off until a more favorable opportunity arises.