- Cadence Design’s 4Q adjusted EPS has beaten the estimates, coming in at $1.38 as opposed to the estimated $1.34.
- The company’s revenue for the 4th quarter was $1.07 billion, marking a 19% increase year over year, beating the estimate of $1.06 billion.
- Product and maintenance revenue stood at $982.0 million, a 16% increase from the previous year, slightly below the estimated $1 billion.
- Services revenue saw a significant increase of 60% from the previous year, amounting to $86.6 million, greatly surpassing the estimate of $63.8 million.
- The adjusted operating margin was 43%, as compared to 36% the previous year, slightly exceeding the estimate of 42.3%.
- Adjusted net income was $376.2 million, a 44% increase year over year, beating the estimated $366.5 million.
- The company’s performance led to 11 buys, 3 holds, and 1 sell.
A look at Cadence Design Sys Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 1 | |
| Growth | 3 | |
| Resilience | 4 | |
| Momentum | 5 | |
| OVERALL SMART SCORE | 3.0 |
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 software technology company that offers design and consulting services. The company’s main focus is on electronic design automation software technology, which is used to design and develop complex chips and electronic systems. Cadence also provides a range of professional services to support its software technology.
The long-term outlook for Cadence Design Sys is positive, according to the Smartkarma Smart Scores. These scores rate the company’s value, dividend, growth, resilience, and momentum on a scale of 1 to 5, with 5 being the highest. Cadence received a 2 for value, indicating that it is priced fairly in the market. It received a 1 for dividend, which means it does not currently offer a high dividend yield. However, the company scored a 3 for growth, indicating that it has potential for future growth. In terms of resilience, Cadence received a score of 4, suggesting that it is well-positioned to withstand any potential challenges. And finally, the company scored a 5 for momentum, indicating strong performance and positive market sentiment. Overall, these scores suggest a positive long-term outlook for Cadence Design Sys.
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.
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