Cadence Design Systems (CDNS) fundamentals: P/E, valuation, undervalued?
Cadence Design Systems · Information Technology · ref. ETF XLK · price $334.2
In short — Cadence Design Systems trades at 66.4× earnings (P/E), 34.9× forward, with a net margin of 23.6 % and revenue growth of +24 %. Read: Cheap for the growth (P/E 35 for ~125% growth (PEG 0.3)).
Is Cadence Design Systems stock cheap or undervalued? A good time to buy? Here are its fundamentals — P/E, PEG, margin and income statement — to judge its valuation.
📈 1-year price
$334.2+2.6% over range
Oct 14, 25low $265.66 · high $416.39Oct 13, 26
📏 Click 2 points (left → right) to measure the change · click again to clear.
SellBuy
Buy
90% recommend buying · 10 analysts
Valuation : Cheap for the growth — P/E 35 for ~125% growth (PEG 0.3)
Valuation
66.4
P/E (price/earnings)
34.9
Forward P/E
0.53
PEG
13.4
Price/book (P/B)
$92.2B
Market cap
5.03
EPS
Profitability & growth
23.6 %
Net margin
+24 %
Revenue growth
+125 %
Earnings growth
$2.7B
Total debt
Cadence Design Systems income statement
| Fiscal year | Revenue | Net income | Margin |
|---|---|---|---|
| 2022 | $3.6B | $849M | 23.8 % |
| 2023 | $4.1B | $1.0B | 25.5 % |
| 2024 | $4.6B | $1.1B | 22.7 % |
| 2025 | $5.3B | $1.1B | 20.9 % |
⚠️ Indicative financial data (Yahoo Finance), not investment advice. Amounts in $.
Frequently asked questions
What is Cadence Design Systems's P/E and is the stock undervalued? What's a good P/E?
Cadence Design Systems's P/E is 66.4 (forward 34.9). Below ~15 = fairly cheap, above ~30 = expensive. Our valuation verdict: "Cheap for the growth".
Is Cadence Design Systems profitable?
Cadence Design Systems has a net margin of 23.6 % (EPS 5.03). The company is profitable.
Is CDNS stock expensive?
Our read: "Cheap for the growth" — P/E 35 for ~125% growth (PEG 0.3). Cross-check with growth and sector.
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