Cadence Design Sys (CDNS) Earnings Exceed Estimates: FY Adjusted EPS Forecast Boosted

Cadence Design Sys on Smartkarma

Analysts from Smartkarma’s independent investment research network have been providing coverage on Cadence Design Systems. Baptista Research published two research reports on the company, one titled “Cadence Design Systems Inc.: Shaping the Future of AI with its Unique Products? – Key Drivers” and the other “Cadence Design Systems Inc: A Real Powerhouse In System Design & Analysis – Key Drivers”. Both reports had a “bull” sentiment, noting that Cadence exceeded the revenue and earnings expectations of Wall Street for the second quarter of 2023. In terms of Generative AI, the customers of Cadence are adopting its chip, Generative AI portfolio, system, board, and package as they are achieving exceptional productivity benefits and quality results with these solutions. Baptista Research gave Cadence Design Systems a “Hold” rating with a revised target price.

In the second report, Baptista Research noted that Cadence Design had a solid quarter and managed an all-around beat with growth across all its business groups. Cadence also launched 13 products across all its business groups, paving the way for future growth. The System Design & Analysis business group achieved double-digit growth, increasing revenue by 17% year-on-year and expanding its footprint in several verticals, including Aerospace & Defense and 5G communications.

A look at Cadence Design Sys Smart Scores

Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma

Cadence Design Systems, Inc. is a leading provider of software technology, design and consulting services and technology. According to Smartkarma Smart Scores, the company has a long-term outlook of positive growth and resilience. With a score of 3 for growth and 4 for resilience, it suggests that the company is well-positioned to sustain its competitive advantage in the market. Additionally, its momentum score of 4 indicates that the company is likely to continue seeing positive trends in the long-term.

The company has also been praised for its impressive dividend score of 1, indicating that it is likely to continue rewarding its shareholders in the long run. While its value score of 2 may be slightly lower than the other scores, it is still indicative of the company’s potential for growth and long-term success. Overall, Cadence Design Systems, Inc. has a strong outlook for the future, given its strong scores in growth, resilience and momentum.

Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
Have feedback on this article? Concerned about the content? Get in touch with us directly.

💡 Before it’s here, it’s on Smartkarma