Cadence Design Systems, Inc. [CDNS] saw a change by -1.80% with the Thursday trading session, closing the trade at the price of $68.10. The company is holding 277.26M shares with keeping 276.88M floating shares. With the latest trading session, the stock is set at 74.26% off compared to its 52-week low, sliding -3.39% from high for the same period of time.

Since its 90-day high, the share price saw a move by -3.39%, trading +12.30% in oppose to its 90-day low While during the day, 277.26M shares valued at 2.34 million were bought and sold.

Cadence Design Systems, Inc. [NASDAQ:CDNS]: Analyst Rating and Earnings

Expert stock traders often make certain they pay attention what leading Wall Street analysts think regarding a potential stock purchase. As it relates to Cadence Design Systems, Inc. [CDNS] currently, the latest ratings from Wall St. experts that can be seen publicly is related to the fiscal quarter that’s scheduled to end in December. On average, stock market experts give CDNS an Outperform rating. Its stock price has been found in the range of 39.08 to 70.49. This is compared to its latest closing price of $69.35.

Wall Street analysts provide their ratings on a scale of 1 to 5, and the current average score for Cadence Design Systems, Inc. [CDNS] is sitting at 2.40. This is compared to 1 month ago, when its average rating was 2.33.

For the quarter ending in Mar-19 Cadence Design Systems, Inc. [CDNS] generated $0.58 billion in sales. That’s 1.32% higher than the average estimate of $0.57 billion as provided by Wall Street analysts. The three indicators above suggest that overall, this stock is demonstrating a mixed bag of positive appeal and some drawbacks, making it a somewhat risky investment that also has the potential to generate high ROI in the long run.

Pay attention to the next-scheduled financial results for this company to be released, which is slated for Mon 22 Jul (In 38 Days).

Fundamental Analysis of Cadence Design Systems, Inc. [CDNS]

Now let’s turn to look at profitability: with a current Operating Margin for Cadence Design Systems, Inc. [CDNS] sitting at +19.05 and its Gross Margin at +86.00, this company’s Net Margin is now 17.90%. These measurements indicate that Cadence Design Systems, Inc. [CDNS] is generating considerably more profit, after expenses are accounted for, compared to its market peers.

This company’s Return on Total Capital is 23.60, and its Return on Invested Capital has reached 21.00%. Its Return on Equity is 30.36, and its Return on Assets is 14.15. These metrics all suggest that Cadence Design Systems, Inc. is doing well at using the money it earns to generate returns.

Turning to investigate this organization’s capital structure, Cadence Design Systems, Inc. [CDNS] has generated a Total Debt to Total Equity ratio of 34.56. Similarly, its Total Debt to Total Capital is 25.68, while its Total Debt to Total Assets stands at 18.04. Looking toward the future, this publicly-traded company’s Long-Term Debt to Equity is 26.80, and its Long-Term Debt to Total Capital is 19.92. This company is not leveraging its assets to take on debt, which stunts its growth and limits the ROI for investors.

What about valuation? This company’s Enterprise Value to EBITDA is 33.18 and its Total Debt to EBITDA Value is 0.81. The Enterprise Value to Sales for this firm is now 8.34, and its Total Debt to Enterprise Value stands at 0.04. Cadence Design Systems, Inc. [CDNS] has a Price to Book Ratio of 9.42, a Price to Cash Flow Ratio of 20.15 and P/E Ratio of 48.61. These metrics suggest that this publicly-traded organization will not likely result in investment gains.

Shifting the focus to workforce efficiency, Cadence Design Systems, Inc. [CDNS] earns $285,070 for each employee under its payroll. Similarly, this company’s Receivables Turnover is 8.59 and its Total Asset Turnover is 0.87. This publicly-traded organization’s liquidity data is also interesting: its Quick Ratio is 1.30 and its Current Ratio is 1.34. This company, considering these metrics, has a healthy ratio between its short-term liquid assets and its short-term liabilities, making it a less risky investment.

Cadence Design Systems, Inc. [CDNS] has 277.26M shares outstanding, amounting to a total market cap of $18.88B. Its stock price has been found in the range of 39.08 to 70.49. At its current price, it has moved down by -3.39% from its 52-week high, and it has moved up 74.26% from its 52-week low.

This stock’s Beta value is currently 1.13, which indicates that it is 2.15% more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 58.24. This RSI score is good, suggesting this stock is neither overbought or oversold.

Conclusion: Is Cadence Design Systems, Inc. [CDNS] a Reliable Buy?

Shares of Cadence Design Systems, Inc. [CDNS], overall, appear to be a solid investment option, with Wall Street analysts expecting its price to rise considerably in the next 12 months. This company generates high value from the labor resources and other capital it has available, and while it has heavy Long-Term Debt to Equity, the majority of the metrics point to this investment being highly attractive.