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CDNS

Cadence DesignB
Nasdaq / Software & Services
Last Price
Quote time unavailable
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Current thesis
Q2 execution, record backlog, broad-based growth, and raised 2026 targets support a constructive thesis if AI demand translates into sustained revenue and cash-flow growth. [#SEC-8K-2026-07-27]
Posture
Constructive
Lead driver
Sentiment
What changed
3 setup hits (3d) with net bearish as of 2026-09-08.
What can break
A premium valuation leaves sensitivity to execution, guidance, and estimate revisions.
Momentum
12
Value
50
Sentiment
81
Setup hits (3d)
3 · Net Bearish
AI TargetsBase $335.00 · Bull $390.00 · Bear $250.00Analysis 2026-09-05; returns require an exact persisted reference.
Data freshness
Prices
Unavailable: Price unavailable
Fundamentals
As of 2026-08-17 • Vendor: Data Vendor v1
Scores
As of 2026-09-09 • Model: HYBRID_IC_RP
AI Memo
As of 2026-09-05 • Model: RankAlpha Sentiment Codex
Investment thesis
As of 2026-09-09

Grade is the composite factor band; factor scores use a 0–100 scale. Confidence describes evidence quality, not a probability of return. Score date: 2026-09-09. Definitions

Supporting evidence
What
Grade B · Constructive
Confidence Medium · Net Bearish
Target $409.35
Why
Momentum12 · Δ7d +0.6
Value50 · Δ7d +0.1
Sentiment81 · Δ7d +4.6
So what
Strength-led posture (Net Bearish). Favor watchlist adds and disciplined entries.

Confirming evidence

  • • 3 setup hits (3d) with net bearish as of 2026-09-08.
  • • Sentiment remains the lead driver in the composite, 7D delta +4.6.

Contradictions & invalidation

  • • A premium valuation leaves sensitivity to execution, guidance, and estimate revisions.
  • • AI-driven demand may not translate into sustained growth or incremental margins.
  • • The stock is about 12% below the prior baseline anchor, suggesting the strong print has not produced durable price momentum.

Catalyst clock

2026-07-27

Q2 2026 results and raised FY2026 outlook

Lead driver: Sentiment · See AI snapshot
Momentum
12
9% active weight
Current posture
7d trendImproving
Δ7d
+0.6
Δ21d
-0.3
Value
50
28% active weight
Current posture
7d trendFlat
Δ7d
+0.1
Δ21d
+0.6
Sentiment
81
62% active weight
Current posture
7d trendImproving
Δ7d
+4.6
Δ21d
+0.8
Why this grade

Composite grade B. Momentum 11.5 / Value 50.3 / Sentiment 81.0

Scenario snapshot

Scenario probability is memo-authored likelihood, not forecast certainty. Targets belong to the analysis dated 2026-09-05. Scenario method

B+
Bull case
20%
Probability
Target price
$390.00
Analysis reference price unavailable
Analysis 2026-09-05 · RankAlpha Sentiment Codex
Most likely
B
Base case
55%
Probability
Target price
$335.00
Analysis reference price unavailable
Analysis 2026-09-05 · RankAlpha Sentiment Codex
B-
Bear case
25%
Probability
Target price
$250.00
Analysis reference price unavailable
Analysis 2026-09-05 · RankAlpha Sentiment Codex
Fundamentals (TTM)
As of 2026-08-17
Market Cap
$89.08B
Beta
1.02
Shares Out
275.39M
P/E (TTM)
77.7
P/S (TTM)
15.73
P/FCF (TTM)
55.45
Rev YoY
+24.2%
EPS YoY
+126.6%
Gross Margin
+84.6%
Op Margin
+31.4%
Net Debt
-$489.2M
Current Ratio
1.74
As of 2026-09-09 • Updated nightlySource: Internal modelMethods & Data