← Markets

Cadence Design Systems, Inc.

CDNS · NASDAQ

Market closed$330.11$-34.54 (-9.47%)After hours $330.80 · +0.21%

Key statistics

Previous close$364.65
Open$334.56
Day high$342.29
Day low$320.07
52-week high$416.69
52-week low$262.75
Market cap91.05B
Volume5.17M
Average volume2.45M
P/E ratio43.84
Forward P/E—
EPS7.53
Dividend yield0.00%

Market context

Why it moved

Cadence Design Systems shares plunged after Chinese AI startup Moonshot AI demonstrated that its Kimi K3 model autonomously completed a full semiconductor chip design flow using exclusively open-source EDA tools, raising serious concerns that AI agents could displace Cadence's premium proprietary design software and threatening the core bull thesis for the company's business model.

Investing.comQuiverquantYoutubeFedrampInvesting.com

What is happening

Recent company-specific developments and publisher coverage.

July 18, 2026Cadence Design Systems tumbled nearly 10% — on volume more than double its average — as a confluence of sector-wide pressures converged on the EDA software giant. The primary catalyst appears to be renewed AI disruption fears sparked by Chinese startup Moonshot's unveiling of Kimi K3, a 2.8-trillion-parameter open-weight model, which rattled the broader semiconductor and EDA ecosystem by raising concerns that powerful low-cost AI could erode the long-term returns from AI infrastructure spending. This dragged peer Synopsys lower as well, though BNP Paribas called it a buying opportunity. Compounding the pressure, IBM's historic 25% single-day collapse earlier in the week — tied to clients shifting IT budgets from software toward AI hardware — has cast a shadow over high-valuation software names heading into earnings season. With Cadence reporting Q2 results on July 27, investors may also be de-risking ahead of the print despite the company's strong Q1 beat, raised 2026 outlook, record backlog, and a slate of bullish product announcements including its AuraStack AI Super Agent platform and a new Rapidus partnership. Analysts remain broadly constructive, with a consensus Buy and a median price target of $400.

-9.4721

July 17, 2026Cadence Design Systems closed lower, weighed down by a broad software sector selloff triggered by IBM's historic earnings warning — its worst trading day in 115 years — which raised fears that enterprise AI capex is shifting from software to hardware infrastructure. Despite this headwind, Cadence distinguished itself with meaningful product news: it unveiled AuraStack AI Super Agent, the world's first agentic AI platform for PCB and advanced packaging design, and announced a partnership with Japan's Rapidus integrating AI agents across chip design workflows. Analyst sentiment remained constructive, with Rosenblatt reiterating a Buy and $410 price target, and Benchmark initiating coverage with a Buy and $450 target. Investors are also looking ahead to Cadence's Q2 2026 earnings webcast scheduled for July 27.

-1.8439

July 16, 2026Cadence Design Systems closed modestly lower, pressured by a broad software sector selloff triggered by IBM's historic 25% single-day collapse after the tech giant warned of a Q2 revenue shortfall, citing clients shifting capex toward AI hardware and memory over software. Despite the sector headwinds, Cadence showed relative resilience — Rosenblatt Securities maintained its Buy rating with a $410 price target, and the company unveiled its AuraStack AI Super Agent, the world's first agentic AI platform for PCB and advanced packaging, reinforcing its Cadence.ai portfolio expansion and raised full-year 2026 revenue outlook of $6.125–$6.225 billion.

-1.4066

July 15, 2026Cadence Design Systems closed modestly lower during a turbulent session dominated by IBM's historic 25% plunge after a Q2 earnings warning, which triggered a broad software sector selloff on fears that AI-driven hardware spending is crowding out enterprise software budgets. Despite the sector headwinds, Cadence showed relative resilience—buoyed by a Zacks research note highlighting its $8 billion backlog and AI-driven EDA momentum, Goldman Sachs raising its price target to $470 (from $410) while maintaining a Buy rating, and Rosenblatt lifting its target to $410. In after-hours trading, shares rebounded ~1.4%, suggesting investors view Cadence's differentiated AI chip design tools as less exposed to the software budget squeeze than traditional enterprise software peers.

-0.2964

July 14, 2026Cadence Design Systems declined despite a bullish Goldman Sachs price target raise to $470 (from $410) with a maintained Buy rating, as broader macro headwinds dominated sentiment. Renewed U.S.-Iran military exchanges sent oil prices surging ~5% and pressured tech stocks broadly, with the Nasdaq falling nearly 1% and chip stocks leading losses after SK Hynix plunged ~14% in Asia. The technology sector ETF (XLK) also closed lower, underscoring sector-wide pressure heading into Q2 earnings season.

-1.6269

July 11, 2026Cadence Design Systems closed modestly lower, giving back a portion of the prior session's strong 3.2% rally, as profit-taking and a mixed tech tape weighed on shares. Investor focus remains on the company's expanding AI-driven growth story, including its record $8 billion backlog, an expanded collaboration with Hewlett Packard Enterprise integrating its Reality Digital Twin Platform into AI-focused data centers, and the June launch of its Level 5 ChipStack AI Super Agent. Wall Street maintains a Moderate Buy consensus with an average price target near $390, supported by 18.6% year-over-year revenue growth and ~85% institutional ownership.

-0.4612

July 10, 2026Cadence Design Systems gained over 3% on Thursday, outperforming the broader technology sector (XLK essentially flat) as investors rotated back into EDA software names amid a broader AI trade shift away from semiconductors. The move comes ahead of the company's Q2 2026 earnings webcast scheduled for July 27, with Wall Street anticipating free cash flow acceleration in the back half of the year and a record $8 billion order backlog supporting the bull case. Cadence's expanded collaboration with Intel Foundry on Intel 14A process optimization and its launch of an autonomous AI virtual chip design engineer at Computex have reinforced its positioning as a key AI infrastructure play, while the stock's after-hours extension to ~$389 nudges it toward the Street's mean price target of $389.

3.1786

July 9, 2026Cadence Design Systems edged higher, outperforming the broader technology sector as software names proved more resilient than semiconductors amid a sharp chip-driven selloff. While the Nasdaq fell and semiconductor stocks cratered on Samsung earnings disappointment and reports that DeepSeek is developing custom AI inference chips, Cadence benefited from sector rotation into software. Investor focus is also building toward the company's Q2 2026 earnings webcast on July 27, with the Street eyeing continued momentum from a record $8B order backlog and raised full-year revenue guidance of $6.225B following 19% Q1 revenue growth.

0.8085

Seeking Alpha · July 17, 2026Cadence, Synopsys sink as Moonshot brings EDA disruption risks; BNP says buy the dip (CDNS:NASDAQ)TipRanks · July 17, 2026Cadence Design Slides Despite Fresh AI OptimismSimply Wall Street · July 17, 2026Cadence Design Systems (CDNS) Stock Looks Pricey Despite Its 155% Five Year RunBenzinga · July 17, 2026Why Is Cadence Design Systems Stock Sinking Friday?Seeking Alpha · July 16, 2026Cadence Design, Synopsys in focus as Benchmark starts coverage (CDNS:NASDAQ)Reuters · July 15, 2026Cadence rolls out AI agent to speed circuit board, chip packaging designTradingView · June 26, 2026Why Is Cadence Design Systems (CDNS) Stock Soaring TodayBusiness Wire · June 1, 2026Cadence Unveils Industry’s First Fully Autonomous Virtual Engineer for Chip Design, powered by NVIDIA
Benzinga · July 17, 2026Why Is Cadence Design Systems Stock Sinking Friday?
Mt Newswire · July 17, 2026Baird Adjusts Price Target on Cadence Design Systems to $415 From $385, Maintains Outperform Rating
Mt Newswire · July 17, 2026Cadence Design Systems, Rapidus Partner to Advance Agentic AI
Benzinga · July 16, 2026Benchmark Initiates Coverage On Cadence Design Systems with Buy Rating, Announces Price Target of $450
Mt Newswire · July 16, 2026Cadence Launches Artificial Intelligence Platform for Electronic Design
Mt Newswire · July 14, 2026Rosenblatt Securities Adjusts Cadence Design Systems Price Target to $410 From $375, Maintains Buy Rating
Mt Newswire · July 13, 2026Goldman Sachs Adjusts Price Target on Cadence Design Systems to $470 From $410, Maintains Buy Rating
Mt Newswire · June 24, 2026Cadence Design Systems Insider Sold Shares Worth $1,731,970, According to a Recent SEC Filing

Peers

S&P 500SPX · $7,457.69-1.01%Synopsys, Inc.SNPS · $384.28-7.85%Autodesk, Inc.ADSK · $218.35+0.59%Keysight Technologies, Inc.KEYS · $315.90+1.00%Bentley Systems, IncorporatedBSY · $32.34-2.33%CEVA, Inc.CEVA · $37.97-1.43%Arm Holdings plc American Depositary SharesARM · $267.19+1.98%Workday, Inc.WDAY · $144.78-0.45%Intuit Inc.INTU · $291.09-1.26%Adobe Inc.ADBE · $237.25+0.82%Trimble Inc.TRMB · $52.72-1.92%PDF Solutions, Inc.PDFS · $51.14-1.52%