Cadence Design Reports Strong Q4 Results, Beating Analyst Estimates
Cadence Design Systems, a leading electronic design automation software company, announced its fourth-quarter earnings on Tuesday, reporting higher than expected earnings per share (EPS) and revenue.
The company recorded an EPS of $1.38, surpassing the analyst estimate of $1.34 by $0.04. Moreover, Cadence Design’s revenue for the quarter stood at $1.07 billion, slightly exceeding the consensus estimate of $1.06 billion.
Looking ahead to the first quarter of 2024, Cadence Design provided guidance for EPS in the range of $5.87 to $5.97. While this falls slightly below the analyst consensus of $5.89, it still indicates a strong performance. The company also forecasts revenue between $4.55 billion and $4.61 billion, compared to the analyst consensus of $4.58 billion.
Investors reacted positively to the news, as Cadence Design’s stock price closed at $306.58. Over the past three months, the stock has seen an impressive surge of 14.83%. Furthermore, in the last 12 months, the stock has soared by a remarkable 65.09%.
It is worth noting that Cadence Design has received significant positivity from analysts, with a total of nine positive earnings per share revisions in the last 90 days, and zero negative revisions.
Overall, Cadence Design’s fourth-quarter results highlight its strong financial performance and solid growth trajectory. As the company continues to innovate in the electronic design automation industry, investors and analysts are closely watching its progress.
Analyst comment
This news is positive. The strong Q4 results, beating analyst estimates, indicate a strong financial performance for Cadence Design Systems. The market is expected to continue its upward trajectory, with investors and analysts closely monitoring the company’s progress and innovation in the electronic design automation industry.
