CDNS

SELL

Cadence Design Systems, Inc.

Technology · Rank #131 · Analyzed Apr 20, 2026

$311.03

Current Price

$136.19

Intrinsic Value

-29.6%

Upside/Downside

4/10

Score

4/5

Quality

Analysis Summary

Valuation Consensus0/3 methods agree

Quality Score4/5.0

Framework RatingSELL

Price vs Intrinsic ValueOvervalued by 29.6%

Fair Value Range

Low$15.86

Base (IV)$136.19

High$219.11

Entry Points

Conservative$15.86

Moderate$76.03

Aggressive$136.19

Quality & Moat Breakdown

Return on Equity21.9% → 1.0/1.0

Debt LevelD/E 49 → 0.5/1.0

Revenue QualityGrowth 9.4%, margin Δ+38.7% +recovery → 1.0/1.0

Moat Strength3.0/5 → 0.5/1.0

Profit Margins20.9% → 1.0/1.0

Methodology

This analysis uses a unified valuation framework combining three methods — Discounted Cash Flow (3-scenario), Earnings Power Value, and Asset Valuation — with a quality scoring overlay. A stock needs 2/3 valuation methods to agree and a quality score ≥ 3.5/5 for a BUY rating.

Learn how this framework works →

This is a personal analysis tool, not financial advice. Do your own research before making investment decisions.