Cadence Design Valuation
| CDS Stock | EUR 288.55 0.85 0.30% |
At this time, the firm appears to be overvalued. Cadence Design Systems shows a prevailing Real Value of €251.04 per share. The current price of the firm is €288.55. Our model approximates the value of Cadence Design Systems from analyzing the firm fundamentals such as profit margin of 0.24 %, and Return On Equity of 0.31 as well as examining its technical indicators and probability of bankruptcy.
Overvalued
Today
Please note that Cadence Design's price fluctuation is very steady at this time. Calculation of the real value of Cadence Design Systems is based on 3 months time horizon. Increasing Cadence Design's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
The fair value of the Cadence stock is determined by what a typical buyer is willing to pay for full or partial control of Cadence Design Systems. Since Cadence Design is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Cadence Stock. However, Cadence Design's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 288.55 | Real 251.04 | Hype 288.55 | Naive 281.24 |
The real value of Cadence Stock, also known as its intrinsic value, is the underlying worth of Cadence Design Systems Company, which is reflected in its stock price. It is based on Cadence Design's financial performance, growth prospects, management team, or industry conditions. The intrinsic value of Cadence Design's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, or news.
Estimating the potential upside or downside of Cadence Design Systems helps investors to forecast how Cadence stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Cadence Design more accurately as focusing exclusively on Cadence Design's fundamentals will not take into account other important factors: Cadence Design Total Value Analysis
Cadence Design Systems is currently estimated to have takeover price of 42.31 B with market capitalization of 49.55 B, debt of 648.08 M, and cash on hands of 633.41 M. Please note that takeover price may be misleading and is a subject to mistakes in financial statements. We encourage investors to thoroughly investigate all of the Cadence Design fundamentals before making investing decisions based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
42.31 B | 49.55 B | 648.08 M | 633.41 M |
Cadence Design Investor Information
About 90.0% of the company shares are held by institutions such as insurance companies. The company has Price/Earnings To Growth (PEG) ratio of 2.05. Cadence Design Systems had not issued any dividends in recent years. Based on the analysis of Cadence Design's profitability, liquidity, and operating efficiency, Cadence Design Systems is not in a good financial situation at the moment. It has a very high risk of going through financial straits in January.Cadence Design Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Cadence Design has an asset utilization ratio of 69.33 percent. This implies that the Company is making €0.69 for each dollar of assets. An increasing asset utilization means that Cadence Design Systems is more efficient with each dollar of assets it utilizes for everyday operations.Cadence Design Ownership Allocation
Cadence Design holds a total of 272.94 Million outstanding shares. The majority of Cadence Design Systems outstanding shares are owned by other corporate entities. These outside corporations are usually referred to as non-private investors looking to acquire positions in Cadence Design Systems to benefit from reduced commissions. Consequently, institutional investors are subject to a different set of regulations than regular investors in Cadence Design. Please pay attention to any change in the institutional holdings of Cadence Design Systems as this could imply that something significant has changed or is about to change at the company. Please note that no matter how many assets the company secures, if the real value of the firm is less than the current market value, you may not be able to make money on it.Cadence Design Profitability Analysis
The company reported the revenue of 3.56 B. Net Income was 848.95 M with profit before overhead, payroll, taxes, and interest of 3.19 B.Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates Cadence Design's worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in Cadence Design and how it compares across the competition.
About Cadence Design Valuation
The stock valuation mechanism determines Cadence Design's current worth on a weekly basis. Our valuation model uses a comparative analysis of Cadence Design. We calculate exposure to Cadence Design's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Cadence Design's related companies.Cadence Design Systems, Inc. provides software, hardware, services, and reusable integrated circuit design blocks worldwide. Cadence Design Systems, Inc. was founded in 1988 and is headquartered in San Jose, California. CADENCE DESIGN operates under Software - Application classification in Germany and is traded on Frankfurt Stock Exchange. It employs 7500 people.
8 Steps to conduct Cadence Design's Valuation Analysis
Company's valuation is the process of determining the worth of any company in monetary terms. It estimates Cadence Design's potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct Cadence Design's valuation analysis, follow these 8 steps:- Gather financial information: Obtain Cadence Design's financial statements, including balance sheets, income statements, and cash flow statements.
- Determine Cadence Design's revenue streams: Identify Cadence Design's primary sources of revenue, including products or services offered, target markets, and pricing strategies.
- Analyze market data: Research Cadence Design's industry and market trends, including the size of the market, growth rate, and competition.
- Establish Cadence Design's growth potential: Evaluate Cadence Design's management, business model, and growth potential.
- Determine Cadence Design's financial performance: Analyze its financial statements to assess its historical performance and future potential.
- Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
- Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate Cadence Design's estimated value.
- Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
Complementary Tools for Cadence Stock analysis
When running Cadence Design's price analysis, check to measure Cadence Design's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Cadence Design is operating at the current time. Most of Cadence Design's value examination focuses on studying past and present price action to predict the probability of Cadence Design's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Cadence Design's price. Additionally, you may evaluate how the addition of Cadence Design to your portfolios can decrease your overall portfolio volatility.
| Latest Portfolios Quick portfolio dashboard that showcases your latest portfolios | |
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories | |
| Correlation Analysis Reduce portfolio risk simply by holding instruments which are not perfectly correlated | |
| Share Portfolio Track or share privately all of your investments from the convenience of any device | |
| Idea Analyzer Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas | |
| Content Syndication Quickly integrate customizable finance content to your own investment portal | |
| ETFs Find actively traded Exchange Traded Funds (ETF) from around the world | |
| Risk-Return Analysis View associations between returns expected from investment and the risk you assume |