Cadence Design Systems stock rises after Q2 beat and raised outlook
Published on 08/26/2026 at 13:14 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS
Cadence Design Systems stock is trading at $331.90 after a July 27, 2026 quarter that delivered $1.58 billion in revenue and $2.11 in adjusted EPS, while the company lifted full-year EPS guidance to $8.05-$8.15.
The move follows a quarter in which revenue rose 24.2% year over year from $1.275 billion and EPS improved from $1.65 a year earlier. The latest reported numbers also showed a 23.60% net margin and return on equity of 27.98%.
Guidance stays the key
Cadence's Q3 2026 EPS guide stands at $2.01-$2.07, which brackets the quarter just reported and gives investors a narrow checkpoint for the next update. The company also ended the quarter with $8.1 billion in record backlog, a figure that helps explain why sentiment has stayed firm after the earnings release.
What the latest quarter said
For investors, the comparison matters: the company beat consensus EPS by $0.06, with $2.11 versus the $2.05 estimate. Revenue matched estimates at $1.58 billion, so the upside came from profit and outlook rather than a top-line surprise.
Cadence software and IP
Cadence's design automation, IP and hardware tools sit at the center of chip development, with software and support services now tied to a business that is still growing at a double-digit pace. That mix is why the backlog and guidance carry more weight than a single day's price action.
Stock level to watch
Cadence Design Systems shares were last quoted at $331.90, with a market capitalization of $91.40 billion and a 52-week range of $262.75 to $416.69. The stock is sitting below its upper range after the post-earnings push, leaving the next earnings update as the main test.
Company
Company: Cadence Design Systems, Inc.
ISIN: US12541W1027
Ticker: CDNS
Exchange: Nasdaq
Price (as of August 26, 2026): $331.90 USD
Market cap: $91.40 billion
Sector / Industry: Information Technology / Application Software
Index membership: Nasdaq-100, S&P 500
Next earnings date: November 2026
