CADENCE DESIGN SYSTEMS INC (CDNS)

Services-Prepackaged Software

Latest Price

$279.06

TTM P/E

65.05

Normalized P/E

76.39

Div Yield

Book Value

24.12

P/B Ratio

11.57

Valuation metrics

EPS: $4.06

Book value / share: $20.14

Formula: √(22.5 × EPS × BVPS)

Graham Number

$42.89

85% downside

Norm. op. income: $1.1B (median of 7yr)

Tax rate: 19%

Discount rate: 10%

Growth assumption: zero (EPV is a no-growth value)

Earnings Power Value

$43.69

84% downside

Base FCF: $1.1B (median of recent 5yr)

Growth: 18%/yr (median YOY, capped at 25%)

Discount rate: 10%

Terminal growth: 3%

Projection horizon: 10 years

DCF Fair Value

$189.86

32% downside

EPS: $4.06

Target P/E: 76×

Formula: EPS × P/E

P/E Fair Value

$308.56

+11% upside

90.3% held by institutions

Institution	Shares	Value	Ownership %	Change	Filing Date
BlackRock, Inc.	26.70M	$10.02B	9.82%	+1.25M	2026-06-30
VANGUARD CAPITAL MANAGEMENT LLC	18.02M	$6.76B	6.62%	+203.2K	2026-06-30
STATE STREET CORP	13.03M	$4.89B	4.79%	+539.4K	2026-06-30
FMR LLC	9.55M	$3.59B	3.51%	+401.7K	2026-06-30
Invesco Ltd.	8.98M	$3.37B	3.30%	+5.96M	2026-06-30
JPMORGAN CHASE & CO	7.87M	$2.93B	2.89%	+2.89M	2026-06-30
GEODE CAPITAL MANAGEMENT, LLC	7.18M	$2.69B	2.64%	-691.3K	2026-06-30
VANGUARD PORTFOLIO MANAGEMENT LLC	6.96M	$2.61B	2.56%	-70.1K	2026-06-30
VAN ECK ASSOCIATES CORP	4.89M	$1.83B	1.80%	+874.4K	2026-06-30
Capital International Investors	4.89M	$1.83B	1.80%	+931.8K	2026-06-30