Traders Focused Stock: Cadence Design Systems, Inc. (NASDAQ: CDNS)

On 21 Oct 2019, Cadence Design Systems, Inc. (NASDAQ: CDNS) changed 1.75% to recent value of $66.75. The stock transacted 1784649 shares during most recent day however it has an average volume of 1849.13K shares. It spotted trading -13.40% off 52-week high price. On the other end, the stock has been noted 67.00% away from the low price over the last 52-weeks.

Cadence Design Systems, Inc. (CDNS) recently reported results for the third quarter of 2019.

Cadence stated third quarter 2019 revenue of $580M, contrast to revenue of $532M stated for the same period in 2018. On a GAAP basis, Cadence achieved operating margin of 21 percent and recognized net income of $102M, or $0.36 per share on a diluted basis, in the third quarter of 2019, contrast to operating margin of 19 percent and net income of $99M, or $0.35 per share on a diluted basis, for the same period in 2018.

Using the non-GAAP measure defined below, operating margin for the third quarter of 2019 was 32 percent and net income was $153M, or $0.54 per share on a diluted basis, contrast to operating margin of 32 percent and net income of $139M, or $0.49 per share on a diluted basis, for the same period in 2018.

“Major industry trends led by AI and data analytics are driving strong design activity, which coupled with innovation and outstanding execution by Cadence, again led to strong operating results, as Cadence delivered 9 percent year-over-year revenue growth,” stated Lip-Bu Tan, chief executive officer. “Our Intelligent System Design strategy enables us to provide more capabilities and value to our consumers, while also expanding our total addressable market.”

“I am happy with our third quarter results and outlook,” stated John Wall, senior vice president and chief financial officer. “We are raising our outlook for revenue, operating margin, earnings and cash from operations for the year while we continue to invest in proliferation opportunities with market-shaping consumers.”

CDNS has a gross margin of 88.10% and an operating margin of 21.20% while its profit margin remained 18.80% for the last 12 months. Its earnings per share (EPS) expected to touch remained 219.60% for this year while earning per share for the next 5-years is expected to reach at 10.40%.  The company has 281.86M of outstanding shares and 276.23M shares were floated in the market. According to the most recent quarter its current ratio was 1.6 that represents company’s ability to meet its current financial obligations. The price moved ahead of 1.63% from the mean of 20 days, -0.52% from mean of 50 days SMA and performed 4.48% from mean of 200 days price. Company’s performance for the week was 0.36%, 1.12% for month and YTD performance remained 53.52%.

 

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