TickerTalks
Browse all tickers →
TickerTalks›$CDNS
CDCDNS

Cadence Design Systems, Inc.

Hot onWhy it's trendingX chatter spiked vs its recent normStrong bullish X conversationBacked by solid revenue growth
$CDNS·$90B·Software - Application·Technology
$342.97-0.5%YTD+9.2%1Y+3.3%
Mentions · last 7 days
2026-07-21: 32 posts2026-07-22: 14 posts2026-07-23: 26 posts2026-07-24: 24 posts2026-07-25: 21 posts2026-07-26: 34 posts2026-07-27: 239 posts390+22%
Price updated 10m ago·X counts updated 2d ago
CDCDNS
$CDNSCadence Design Systems, Inc.
$342.97-0.51%390 posts+22%
AI analysisFundamentalsVoices on X
Loading…

AI verdict & sentimentAI analysisGenerated by AI from underlying data

Top X posts

Today's AI verdict on what's driving $CDNS, plus how loud the X conversation is and which way it's leaning.

AI analysis

TickerTalks’ read on the fundamentals and what’s driving the move.

Proven numbersAcceleratingAI verdict · as of 2026-07-28

The move is getting stronger, with heavier trading behind it.

Cadence beat Q2 and raised the 2026 outlook — the EDA duopoly with Synopsys is the picks-and-shovels bet on AI chip design.

Cadence Design Systems is one of two dominant electronic design automation (EDA) software providers (with Synopsys) — the software that chip companies use to design their silicon, plus a growing IP-licensing business. Only three EDA tools are TSMC-certified, giving CDNS and SNPS a genuine duopoly moat. Q2 just beat and management raised the full-year outlook.

This is a picks-and-shovels compounder into an accelerating AI chip cycle:

  • The EDA moat is structurally durable and getting deeper: TSMC-certification limits the field to CDNS, SNPS, and one other tool, and GPUs are described as limited for EDA simulation — reinforcing the CPU-based hardware moat that Cadence has spent years building. This is the software layer under every AI-chip design.
  • The financials support the raised outlook: quarterly revenue $1.27-1.58B and EPS from $0.59 to $2.11 across four quarters, consensus FY26 revenue of $6.21B growing to $7.02B in FY27 with EPS to $9.38 — plus the July 27 beat (EPS $2.11 vs $2.05 estimate) confirms the ramp is real.
  • The insider signal is mildly negative but not distributional: CEO Teng Chin-Chi sold $1.5M and Cunningham sold $766K in mid-July — these are meaningful officer sales but not a coordinated dump, and they haven't derailed the tape.

Near the middle of the 52-week range with a raised guide is what accelerating looks like when the fundamentals lead. The Oct 26 print doesn't need to blow doors off — it needs to reaffirm the FY26 raised guide and show continued AI-chip design-win commentary. The risk is a slowdown in Chinese demand or an AI-capex pause; the setup rewards the duopoly economics as long as those don't materialize.

Agrees with X sentimentX is right that the CDNS/SNPS duopoly economics with only three TSMC-certified EDA tools is a genuine structural moat — and the July 27 beat plus raised outlook validates the AI-chip design-cycle tailwind. Agree without qualification; this is a clean picks-and-shovels play on the whole AI capex build.

What to watch: Oct 26 Q3 earnings — total revenue and product revenue growth, IP-licensing segment growth, and any commentary on Chinese demand (regulatory-sensitive) or AI-chip design-win pipeline. A guide reaffirm extends the accelerating tape; a Chinese-demand surprise or AI capex pause is the near-term risk.

On the calendar: 2026-10-26 — Q3 earnings

X sentiment

What the X crowd is saying right now — descriptive, summarised from the day’s posts.

Bullish sentiment28 posts analyzed · as of 2026-07-28

Cadence Design delivered Q2 revenue of $1.584B beating $1.577B (+24% YoY) and adj EPS of $2.11 beating $2.06 (+28% YoY) with a record $8.1B backlog and non-GAAP operating margin of 45.5%. Management raised FY26 revenue and EPS guidance, CEO cited 'accelerating demand for AI-driven solutions,' and agentic AI opens a new TAM at the top layer. Sentiment is decisively bullish given the AI super-cycle framing and structural EDA moat (only 3 tools certified by TSMC).

Read the AI verdict + X sentiment for $CDNS

  • One-line verdict on what's driving the move — fundamentals, momentum, both, or an event
  • Next dated catalyst when there is one (earnings, deal closing, activist clock)
  • X crowd read with bullish/bearish call + post volume
Free, forever. No credit card.

What it does

Plain-English summary of the business — what they sell and how they make money.

Makes EDA software for IC design and verification plus hardware emulation systems used by every major chip designer.

Industry overviewAI analysisGenerated by AI from underlying data

Where Software - Application sits in its cycle right now — and what that implies for $CDNS.

Software - Application · Technology

No material change from last week — platforms where agents expand contract value (ServiceNow, Snowflake) are re-rated upward, while tools where agents substitute human users (Adobe Creative..

What this means for $CDNS

Neutral — Makes EDA software for IC design and verification plus hardware emulation systems used by every major chip designer; limited read-through from software - application macro dynamics to this specific revenue mix.

Top industry ETF

$IGViShares Expanded Tech-Software Sector ETF
-13.8%YTD
-18.7%1Y

Fundamentals & catalyst

Profitability, valuation, and the next earnings event — at a glance, with rule-of-thumb signals.

Key ratios

P/E
87.4How much investors are paying per dollar of profit the company actually earned in the last 12 months. Lower means the stock looks cheaper relative to earnings.~15–25 is typical for the S&P 500; high-growth names trade 30+; hyper-growth or speculative can be 100+ or negative.
ROIC
12.2%What percentage return the business earns on every dollar of capital (equity + debt) deployed in operations. The cleanest measure of business quality.Above ~15% is high-quality; consistently above 25% suggests a real moat. Below the company's cost of capital is value-destroying.
Op margin
31.1%Operating profit (after sales, marketing, R&D, and overhead but before interest and taxes) as a percentage of revenue. The clearest view of how well the underlying business is run.Mature business above 20% is healthy; software businesses can run 30%+; commodity / retail businesses operate in single digits.
FCF yield
1.4%Free cash flow (operating cash flow minus capex) divided by the company's market cap. The cash-on-cash return you'd get owning the whole business at today's price.Above ~5% is attractive; below ~2% means you're paying up for growth. Capital-light businesses (software) run higher than capital-heavy ones (utilities).
P/S
18.8Same idea as P/E but per dollar of revenue. Useful for companies that aren't profitable yet, where P/E is meaningless.Under ~2 is cheap; software / SaaS often runs 8–15; well above 20 implies the market is pricing in very high future growth.
ROE
21.1%Net income as a percentage of shareholders' equity. Similar to ROIC but counts only the equity side.Above 20% is strong, but can be inflated by leverage — a heavily indebted company can show high ROE with weak underlying ROIC.
Gross margin
88.9%Revenue minus the direct cost of producing what was sold, as a percentage of revenue. The first read on whether the product is structurally profitable.Software / SaaS is typically 70%+; consumer goods 30–50%; commodity / hardware businesses can be under 20%.
D/E
0.5Total debt divided by shareholders' equity. Measures how much the business runs on borrowed money versus owner capital.Under 1 is conservative; 1–2 is typical for mature businesses; over 2 is leveraged and more sensitive to interest rates.

Past earnings

QuarterReportedActualEstimateSurprise
Q2 2026Jul 27, 2026$2.11$2.05+2.9%
Q1 2026Apr 27, 2026$1.96$1.91+2.6%
Q4 2025Feb 17, 2026$1.99$1.91+4.2%
Q3 2025Oct 27, 2025$1.93$1.79+7.8%
Next earningsMon, Oct 26·consensus EPS $2.03

Quarterly trend

QuarterRevenueYoYGrossOpEPSFCF
Q1 FY26$1.5B+18.7%95.8%29.3%$1.23$307.0M
Q4 FY25$1.4B+6.2%86.9%32.3%$1.43$512.5M
Q3 FY25$1.3B+10.1%86.4%33.8%$1.06$277.0M
Q2 FY25$1.3B+20.2%85.6%29.0%$0.59$333.5M

Forward consensus

5-year forecast · up to 20 analysts
FYRevenueRangeEPSRangeAnalysts
FY26$6.2B$6.2B – $6.2B$7.94$7.90 – $8.0020
FY27$7.0B$6.8B – $7.3B$9.38$8.78 – $9.7919
FY28$8.0B$7.4B – $8.4B$10.96$8.66 – $13.4114
FY29$8.5B$8.2B – $8.8B$11.30$10.86 – $11.809
FY30$8.8B$8.6B – $9.1B$11.15$10.72 – $11.6413

Setup & momentum

Volume, range, and moving-average position — the technical setup driving short-term moves.

Right now

Vol vs 30dToday's traded share volume divided by the average over the prior 30 trading days. ≥3× signals unusual interest; below 1× is quiet.2.1×Today's traded share volume divided by the average over the prior 30 trading days. ≥3× signals unusual interest; below 1× is quiet.
52w rangeWhere the latest close sits between the 52-week low (0%) and high (100%). Above 80% is extended; below 30% is basing or in a downtrend.53%Where the latest close sits between the 52-week low (0%) and high (100%). Above 80% is extended; below 30% is basing or in a downtrend.
vs 50d MALatest close vs the 50-day simple moving average. Positive = short-term trend is up.-7.3%Latest close vs the 50-day simple moving average. Positive = short-term trend is up.
vs 200d MALatest close vs the 200-day simple moving average. Positive = long-term trend is up.+5.2%Latest close vs the 200-day simple moving average. Positive = long-term trend is up.

Insider activity

Recent open-market buys and sells by officers and directors — flagged when multiple insiders cluster.

Recent transactions

SellJul 22Chin-chi TengPresident4.5K sh$1.5MSellJul 15Paul CunninghamPresident2.0K sh$767KSellJun 22Chin-chi TengPresident4.5K sh$1.7MSellJun 15Paul CunninghamPresident2.0K sh$782KSellJun 11James D PlummerDirector1.5K sh$576KSellJun 10Ita M BrennanDirector180 sh$70KSellJun 2Anirudh DevganCEO25.0K sh$10.4MSellJun 1Anirudh DevganCEO51.8K sh$20.5MSellJun 1Paul ScannellPresident7.1K sh$2.8MSellMay 22Anirudh DevganCEO51.9K sh$19.2M
1–10 of 17
+ 41 other (18 awards · 12 inkinds · 8 exempts · 3 gifts) in window

See when $CDNS insiders are putting their own money in

  • Real-time open-market buys and sells from Form 4 filings
  • Cluster-buy detection when multiple insiders pile in at once
  • 30 / 60 / 180-day windows so you can spot building conviction
Free, forever. No credit card.

SEC filings

Material 8-K, 13D, S-3, and 424B5 events from the last 180 days — the filings that actually move the price.

Recent material filings

8-KOfficer or director changeMay 128-K — Item 5.02: Officer or director change · Item 5.07: Shareholder vote
AI summary

CDNS disclosed a personnel change (8-K Item 5.02, dated 2026-05-12). An executive departure and a new appointment are both reported. Personnel changes are generally administrative; materiality depends on seniority and circumstances.

8-K/AOfficer or director change (amended)May 128-K/A — Item 5.02: Officer or director change
AI summary

CDNS disclosed a personnel change (8-K Item 5.02, dated 2026-05-12). An executive departure and a new appointment are both reported. Personnel changes are generally administrative; materiality depends on seniority and circumstances.

3/ANew insider — initial holdingsMar 43/A
S-3ASRAuto-shelf registrationFeb 27S-3ASR
8-KUnregistered equity saleFeb 238-K — Item 3.02: Unregistered equity sale
+ 11 other (3 earnings 8-Ks · 2 13Gs · 2 proxys · 1 SD) in window

Recent news

Latest headlines from major outlets, sourced and timestamped — context for whatever just moved.

Cadence Stock Jumps 5% as AI Chip Demand Lifts Forecastgurufocus.com·1d agoCadence Q2 Earnings Top Estimates, 2026 Revenue Outlook Raisedzacks.com·1d agoCDNS Q2 Earnings Call Highlights Agentic AI Demandzacks.com·1d agoThese Analysts Boost Their Forecasts On Cadence Design Systems Following Upbeat Q2 Earningsbenzinga.com·1d agoCadence Design Systems Inc (CDNS) Q2 2026 Earnings Call Highlights: Record Growth and Strategic Advancesgurufocus.com·2d ago

In themes

Explore the broader themes this ticker is being talked about under.

AI Infrastructure

More in Software - Application

Peers in the same group — one click to compare setups, fundamentals, and chatter.

$NOW$ZETA$MSTR$UBER$BULL$BILL$CRM$ADBE
Voices on X · top 15 · last 7 days

TickerTalks is a research tool, not financial advice. We surface social-attention data; we do not make stock recommendations. Past attention is not predictive of future price movements.

PrivacyTermsSupport