Cadence Design Systems Inc (CDNS) experienced a price decline of 3.02%, hitting a 20-day low during regular trading hours. This movement occurred despite the broader market's positive performance, with the Nasdaq-100 up 0.82% and the S&P 500 up 0.76%.
The decline in CDNS's stock price can be attributed to sector rotation, as investors are shifting their focus away from technology stocks towards other sectors that are currently performing better. This shift is evident in the contrasting performance of CDNS against the backdrop of overall market strength.
As the market continues to show strength, the movement of CDNS may indicate a temporary adjustment rather than a fundamental weakness in the company itself. Investors will be watching closely to see if this trend continues or if CDNS can regain momentum in the coming days.
Wall Street analysts forecast CDNS stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for CDNS is 376.64 USD with a low forecast of 275.00 USD and a high forecast of 418.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
12 Analyst Rating
Wall Street analysts forecast CDNS stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for CDNS is 376.64 USD with a low forecast of 275.00 USD and a high forecast of 418.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
9 Buy
3 Hold
0 Sell
Strong Buy
Current: 320.490
Low
275.00
Averages
376.64
High
418.00
Current: 320.490
Low
275.00
Averages
376.64
High
418.00
Goldman Sachs
downgrade
2026-01-05
Reason
Goldman Sachs
Price Target
AI Analysis
2026-01-05
downgrade
Reason
Goldman Sachs analysts removed Cadence Design from the firm's US Conviction List as part of its monthly update.
Citi
NULL
to
Buy
initiated
$385
2025-11-24
Reason
Citi
Price Target
$385
2025-11-24
initiated
NULL
to
Buy
Reason
Citi initiated coverage of Cadence Design with a Buy rating and $385 price target. The firm believes the electronic design automation market is "emerging as the backbone" of the next growth phase of artificial intelligence. The sector is brining intelligence from software to the physical world, which should drive double-digit revenue growth with 40% operating margins, the analyst tells investors in a research note. Citi sees a favorable fundamental setup for Cadence.
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Oppenheimer
Edward Yang
Underperform
maintain
$200 -> $225
2025-10-28
Reason
Oppenheimer
Edward Yang
Price Target
$200 -> $225
2025-10-28
maintain
Underperform
Reason
Oppenheimer analyst Edward Yang raised the firm's price target on Cadence Design to $225 from $200 and keeps an Underperform rating on the shares following quarterly results. The firm cites a mixed Q3 225, noting that the stock was down 1% after-hours.
Wells Fargo
Overweight
maintain
$405 -> $410
2025-10-28
Reason
Wells Fargo
Price Target
$405 -> $410
2025-10-28
maintain
Overweight
Reason
Wells Fargo raised the firm's price target on Cadence Design to $410 from $405 and keeps an Overweight rating on the shares. The firm notes Cadence delivered a positive beat / raise as it continues to see strong broad-based demand. With expectations of B2B over 1.0x in Q4, bookings strength and 2026 growth setup remain key drivers of shares. Cadence remains easiest EDA to own, Wells argues.
About CDNS
Cadence Design Systems, Inc. is an electronic systems designing company. The Company applies its Intelligent System Design strategy to deliver software, hardware and intellectual property (IP) that turn design concepts into reality. Its product categories include Core Electronic Design Automation (EDA), Semiconductor IP, and System Design and Analysis (SD&A). Core EDA includes software, hardware, and services used to design and verify a wide variety of semiconductors. The semiconductor IP portfolio includes silicon subsystems, software, and services that are used in semiconductor design. The SD&A category includes the software and services used to design and verify a wide variety of physical electronic systems. Its semiconductors are used in various industries, including automotive, aerospace, biotech, hyperscale and cloud computing, data centers, telecommunications, medical technology, industrial Internet of things (IIoT), and artificial intelligence (AI).
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
