- Adjusted EPS: $1.28, an increase from $1.22 year-over-year, beating the estimated $1.23.
- Revenue: $1.06 billion, up 8.6% year-over-year, surpassing the estimated $1.05 billion.
- Product and Maintenance Revenue: $960.5 million, a growth of 4.1% year-over-year, though below the estimated $979.3 million.
- Services Revenue: $100.2 million, a significant rise of 86% year-over-year, surpassing the estimated $68.4 million.
- Adjusted Operating Margin: 40%, down from 42% year-over-year, but higher than the estimated 39.1%.
- Adjusted Net Income: $350.7 million, a growth of 5.1% year-over-year, exceeding the estimated $336.8 million.
- Analyst Ratings: 10 buys, 4 holds, and 1 sell.
Cadence Design Sys on Smartkarma
Top independent analysts on Smartkarma have been closely covering Cadence Design Systems, Inc., providing valuable insights into the company’s performance and future prospects. Baptista Research recently reported that Cadence Design Systems had a strong start to 2024, surpassing first-quarter expectations and raising its financial outlook for the year. With revenue reaching $1.09 billion and a non-GAAP earnings per share of $1.17, the company is positioned well in dynamic market conditions, citing a record backlog of $6 billion driven by trends in AI, automotive, and 5G technologies.
Value Investors Club highlighted Cadence Design Systems’ revenue growth, high profit margins, and essential role in the semiconductor industry. The company’s focus on computational software for semiconductor and systems design has solidified its position as a key player, providing tools that optimize performance, reduce power consumption, and shorten time to market. Analysts’ reports indicate that Cadence Design Systems’ innovative solutions and strong customer commitments have contributed to its success and market position.
A look at Cadence Design Sys Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 1 | |
| Growth | 4 | |
| Resilience | 4 | |
| Momentum | 3 | |
| OVERALL SMART SCORE | 2.8 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Analysts are optimistic about the long-term outlook for Cadence Design Systems, Inc. based on the Smartkarma Smart Scores. The company scores well in areas such as Growth and Resilience, with a score of 4 for both factors. This suggests that Cadence Design Systems is positioned for strong future expansion and has the capability to withstand market challenges.
While the company scores lower in areas such as Value and Dividend, with scores of 2 and 1 respectively, its high scores in Growth and Resilience indicate a positive trajectory. With a solid foundation in design realization solutions for complex chips and electronic systems, including semiconductors, Cadence Design Systems appears well-positioned to capitalize on future opportunities in the technology sector.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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