CDNS Stock — Cadence Design Systems Inc

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Next earnings call

Feb 16, 2027 Est · unconfirmed · in 13 wks

Q3 2026 earnings call transcript

call held Oct 26, 2026

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Latest documents

what the company just published, in one sentence each

2026

Oct 28

Quarterly report 10-Q FY2026 Q3, ended Sep 30

Quarterly report for FY2026 Q3

Cadence Design Systems, Inc. completed Hexagon’s D&E acquisition on February 23, 2026. Third-quarter revenue rose 22% to $1,633.3 million, nine-month revenue rose 22% to $4,692.0 million, and nine-month operating margin increased to 28% from 27%, despite acquisition-related costs.

Revenue $1.63B ▲ 22.0% Net income $289.75M ▲ 0.9% Diluted EPS $1.05 ▲ unchanged

Read from the MD&A section

Oct 26

Earnings call

Q3 2026 earnings call

Cadence reported Q3 revenue of $1,633,000,000, up 22% year over year, record backlog of $8.2 billion, and raised its 2026 outlook to 21% revenue growth and EPS of $8.40.

Oct 26

Current report 8-K Events of Oct 23

Financial results, Other events

Cadence reported Q3 revenue of $1.633 billion, non-GAAP diluted EPS of $2.11 and record backlog of $8.2 billion. It raised 2026 revenue growth outlook to 21% and non-GAAP EPS to $8.40, and authorized an additional $2.5 billion for share repurchases.

Read from the first part of this long document

Sep 9

Investor event

Goldman Sachs Communacopia + Technology Conference AI summary on its way

Jul 29

Quarterly report 10-Q FY2026 Q2, ended Jun 30

Quarterly report for FY2026 Q2 AI summary on its way

Revenue $1.58B ▲ 24.2% Net income $367.08M ▲ 129.3% Diluted EPS $1.33 ▲ 125.4%

All documents

Metrics snapshot

Useful current figures from the complete screener profile.

View all 125 metrics

Revenue (TTM)

$6.13B

Trailing 12 months

Net income (TTM)

$1.38B

Trailing 12 months

Revenue growth YoY

+22.0%

Year over year

Operating margin

28.9%

Trailing 12 months

P / E (TTM)

64.2

Trailing earnings · reciprocal yield 1.6%

FCF yield

2.0%

TTM · current market cap

Return on invested capital

16.8%

Trailing 12 months

Net cash

−$1.03B

Latest balance sheet

Dividend yield

—

Trailing 12 months

Shares change YoY

+0.5%

Year over year · more shares

Price change (1Y)

+2.2%

Trailing year

Short interest

2.0%

Latest settlement · 2.0 days to cover

View all 125 metrics

Quarterly results

Revenue Net income Net loss

▲26.9% $1.36B $340.21M '24 Q4* ▲23.1% $1.24B $273.58M '25 Q1 ▲20.2% $1.28B $160.05M '25 Q2 ▲10.1% $1.34B $287.12M '25 Q3 ▲6.2% $1.44B $388.14M '25 Q4* ▲18.7% $1.47B $335.66M '26 Q1 ▲24.2% $1.58B $367.08M '26 Q2 LATEST ▲22% $1.63B $289.75M '26 Q3

* Q4 derived as the full year minus Q1 to Q3.

AI Brief

Q3 FY26 earnings call · Oct 26, 2026

Q3 FY26

TL;DR. Cadence reported 22% Q3 revenue growth, exceeded key guidance, raised its 2026 outlook, achieved a record $8.2 billion backlog, delivered another record hardware quarter, and reported strong AI customer traction. Key offsets were Q3 operating-margin compression, Hexagon D&E's impact on incremental margin, hardware shipment and installation timing risk, flat GAAP EPS, and regulatory and legal risks.

Bullish

+ Q3 revenue grew 22% year over year and Cadence exceeded guidance on every key financial metric.
+ Quarter-end backlog reached a record $8.2 billion.
+ Recurring revenue grew 18% year over year.
+ Core EDA, IP, and System Design and Analysis revenue grew 20%, 24%, and 30% year over year, respectively.
+ Maestro and Cadence's AI Super Agents gained strong early traction, including more than 100 active customer engagements and several Maestro deployments underway.
+ Hardware delivered another record quarter, supported by strong demand and meaningful customer expansions.

Bearish

− Q3 GAAP operating margin fell to 26.2% from 31.8%, while non-GAAP operating margin fell to 44.1% from 47.6%.
− Hardware revenue can fluctuate between quarters because of shipment timing and customer installation schedules.
− GAAP diluted EPS was unchanged from the prior-year quarter.
− Cadence remains subject to regulatory and legal risks involving the DOJ, BIS, and foreign authorities.
− The integration of Hexagon's D&E business reduced 2026 incremental margin, although management expects it to help next year.

AI-generated from the earnings call and 8-K · may contain errors · not investment advice

Equibles Research

our published analysis of this company

Scientific Research October 24, 2026

Agentic AI Has Overtaken Generative AI on Earnings Calls: Evidence From 5,305 S&P 500 Calls

“Agentic” came up on 20.3% of S&P 500 earnings calls held from July to September 2026, up from 0.2% in early 2024, while “generative AI” fell from 16.8% to 5.6%. Anthropic is now named on nearly as many calls as OpenAI, and DeepSeek, the AI developer named on the most calls in early 2025, has all but disappeared.

Equibles Rating

blended score · not investment advice

Overall

Neutral

SellHoldBuy

Technical Neutral Momentum Weak Sentiment Neutral Fundamentals Strong Quant / Vol High

Market backdrop VIX 19.3 · elevated Equity put/call 0.63

Technical

price trend

Neutral

50 / 200-day cross No cross

Price vs 200-day avg −2%

below

Price vs 50-day avg +1%

above

RSI (14) 47

neutral

MACD trend Negative

52-week position 38%

mid-range

Momentum

relative strength

Weak

1-month return +1%

trailing

6-month return −15%

trailing

YTD return +3%

this year

Relative strength −16%

vs S&P · 6-mo

Sentiment

smart money

Neutral

Trend (MA cross) No cross

50d $321 › 200d $328 — 200d above 50d

Institutional flow Distributing

1,358 of 1,528 funds reported for Sep 30 · net -4.2M sh shares · +97 new

Insider flow Distributing

Net -$251.6K over 90 days · 100% sells

Short interest Falling

2.00% of shares out · ▼ -1.4% MoM · 2.0 days cover

Volume signal Normal

Volume near normal

Institution breadth Multi-yr high

1,528 holders — near 3-yr high, broad support

Squeeze score 52

elevated · 0–100

Fundamentals

Strong

Revenue growth +14%

Y/Y

EPS growth +5%

Y/Y

Free cash flow $1.6B

Valuation P/E 64.2

rich

Buyback $2.5B

authorized

Balance sheet $521.2M

net cash

Quant / Vol

risk profile

High

Volatility 42%

annualized · 1-yr

Max drawdown −34%

past year

ATR 4.3%

of price · 14-day

Blended from price, momentum, positioning, fundamentals & volatility · daily-close · not investment advice. Market backdrop is context, not part of the score.

Guidance & track record

what management promised — and delivered

Beat or met 7 of last 8

Latest guidance · from the Earnings Call filed Oct 26, 2026

2026

Revenue Raised $6.39B – $6.42B

Jul 27, 2026 $6.26B – $6.34B Oct 26, 2026 $6.39B – $6.42B

prior FY $5.3B midpoint +20.9% Y/Y

GAP operating margin Raised 28.2% – 29.2%

Jul 27, 2026 27.75% – 28.75% Oct 26, 2026 28.2% – 29.2%

Non-gap operating margin Raised 44.2% – 45.2%

Jul 27, 2026 43.75% – 44.75% Oct 26, 2026 44.2% – 45.2%

GAP EPS Raised $4.84 – $4.90

Jul 27, 2026 $4.76 – $4.86 Oct 26, 2026 $4.84 – $4.90

prior FY $4.06 midpoint +20.0% Y/Y

Operating cash flow Maintained $2B

Jul 27, 2026 $2B Oct 26, 2026 $2B

Free cash flow to repurchase Cadence shares at least 50%

Revenue growth 21%

Non-GAAP operating margin 44.7%

Q4

Revenue $1.7B – $1.73B

prior qtr $1.63B midpoint +4.7% QoQ

Non-gap operating margin 44% – 45%

GAP operating margin 30% – 31%

GAP EPS $1.23 – $1.29

prior qtr $1.05 midpoint +20.0% QoQ

Previous outlook earlier release · from the 8-K filed Jul 27, 2026

Still-open targets the latest release did not restate under the same label.

Non-GAAP operating margin · For fiscal year 2026 43.75% – 44.75%

Cash Flow from Operations ($ Millions) · Fiscal Year 2026 $2B

Capital Expenditures ($ Millions) · Fiscal Year 2026 $240M

Prior guidance period ended · from the Earnings Call filed Jul 27, 2026

Revenue · Q3 $1.6B – $1.63B

Gap operating margin · Q3 27.5% – 28.5%

Non-GAAP operating margin · Q3 43.5% – 44.5%

Guided vs delivered · last 8 settled

Revenue Q3

guided $1.6B – $1.63B

guided $1.6B – $1.63B $1.63B Beat +1.4%

GAAP EPS Q3 2026

guided $1.11 – $1.17

guided $1.11 – $1.17 $1.05 Miss −7.9%

Revenue Q2

guided $1.56B – $1.6B

guided $1.56B – $1.6B $1.58B In line

GAAP EPS Q2

guided $1.07 – $1.13

guided $1.07 – $1.13 $1.33 Beat +20.9%

Guidance from company 8-Ks · delivered figures from as-reported statements · no analyst estimates involved.

Technicals

trend & momentum for long-term holders Neutral

1 · 4 · 1

50 / 200-day cross

No cross Neutral

Price vs 200-day avg

−2% Neutral

Price vs 50-day avg

+1% Bullish

RSI (14)

47 Neutral

MACD trend

Negative Bearish

52-week position

38% Neutral

Market signals — smart money & positioning

Mixed

Trend (MA cross) No cross

50d $321 › 200d $328 — 200d above 50d

Institutional flow Distributing

1,358 of 1,528 funds reported for Sep 30 · net -4.2M sh shares · +97 new

Insider flow Distributing

Net -$251.6K over 90 days · 100% sells

Short interest Falling

2.00% of shares out · ▼ -1.4% MoM · 2.0 days cover

Volume signal Normal

Volume near normal

Institution breadth Multi-yr high

1,528 holders — near 3-yr high, broad support

Price context

position in its 52-week range

Range low $266 Now $323 · 38% Range high $416

vs 200-day avg -2% vs 50-day avg +1%

Illustrative technical + ownership context — a signal mix, not investment advice.

Key metrics

the company's own KPIs, from written earnings releases and filings

Metric	Latest	Period	YoY
Average Price Paid Per Share (2)	$343.55	three months ended June 30, 2026 filing	—
Core EDA	68%	three months ended June 30, 2026 filing	—
Operating margin	28%	Three Months Ended June 30, 2026 filing	—
Other recurring revenue	6%	Three Months Ended June 30, 2026 filing	—
Recurring revenue	78%	three months ended June 30, 2026 filing	—
Revenue recognized over time	72%	three months ended June 30, 2026 filing	—
Semiconductor IP (“IP”)	15%	three months ended June 30, 2026 filing	—
Shares repurchased	580K	three months ended June 30, 2026 filing	—
System Design and Analysis	17%	three months ended June 30, 2026 filing	—
Total cost of repurchased shares	200.01M	three months ended June 30, 2026 filing	—
Total Number of Shares Purchased (1)	625,478	three months ended June 30, 2026 filing	—
Total Number of Shares Purchased as Part of Publicly Announced Plan or Program (3)	580,330	three months ended June 30, 2026 filing	—
Up-front revenue	22%	three months ended June 30, 2026 filing	—

Figures exactly as the company stated them in writing · click a metric with a to chart its history · period links open the stating document · "filing" marks figures stated in the 10-K/10-Q · YoY needs an exactly comparable prior-year period

Versus peers

Software - Application — same industry group

Open screener →

Company	Mkt cap	YTD	Rev growth Y/Y	P/E	Short % shares
CDNS Cadence Design Systems Inc this stock	$88.63B	+3.3%	+14.1%	64.2	2.0%
SAP Sap SE	$271.12B	-3.3%	—	—	0.2%
QH QUHUO Ltd	$268.05B	+181.9%	+59.7%	—	0.0%
SHOP Shopify Inc.	$189.23B	-8.6%	+30.1%	89.2	1.5%
CRM Salesforce, Inc.	$179.28B	-17.8%	+25.9%	19.9	3.2%

Peers by industry group · P/E from as-reported trailing EPS · short % is of shares outstanding

At a glance

key data from every section

Ownership

Institutional Holders Reducing

Holders

1,490

% held: 90.6%
Reported: 1,358 of 1,528
Top holder: BlackRock, Inc.

Held Float

View

Held by Funds

Fund positions

1,210

View

Short & Settlement

Short Interest Falling

Shares short

5.5M

Days to cover: 2.0d
Change: -78.2K sh

View

Short Volume

Short vol %

72%

As of: Nov 13, 2026

Short Total

View

Fails to Deliver

FTD shares

76

Value: $25.4K
As of: Oct 14, 2026

View

Off-Exchange

Off-exchange %

42.3%

Week of: Oct 5, 2026

Off-exch Lit

View

Smart Money

Insider Trades Net selling

Net (90d)

-$251.6K

Buyers / Sellers: 0 / 1

Buyers Sellers

View

Congressional Trades Sell

Member

Kevin Hern

Amount: $15.0K–$50.0K
Traded: Sep 14, 2026

View

Financials

Revenue (FY)

$5.3B

Net income (FY): $1.1B
EPS diluted: $4.06

View

Buybacks

Authorized

$2.5B

View

Filings

SEC Filings

Latest

10-Q

Filed: Oct 28, 2026
This year: 18

Cadence Design Systems, Inc. completed Hexagon’s D&E acquisition on February 23, 2026. Third-quarter revenue rose 22% to $1,633.3 million, nine-month revenue rose 22% to $4,692.0 million, and nine-month operating margin increased to 28% from 27%, despite acquisition-related costs.

View

Proposed Sales

Value

$768.1K

Shares: 2.4K
Filed: Nov 9, 2026

View

Earnings & Events

Webcasts

Last webcast

Oct 26, 2026

View

Investor Relations

	5D	20D	120D	MTD	YTD
CDNS	+1.0%	+1.1%	-15.4%	-1.5%	+3.3%
SPY	+2.6%	-1.2%	+0.5%	-0.2%	+10.6%
vs SPY	-1.6%	+2.3%	-15.9%	-1.3%	-7.3%

CDNS · Cadence Design Systems Inc

Price & Indicators

Up next

Latest documents

Metrics snapshot

Quarterly results

AI Brief

Equibles Research

Equibles Rating

Guidance & track record

Technicals

Key metrics

Versus peers

At a glance

Performance

Capital returns