Cadence Design Systems (Nasdaq: CDNS ) is expected to report Q4 earnings around Jan. 30. Here's what Wall Street wants to see:
The 10-second takeaway
Comparing the upcoming quarter to the prior-year quarter, average analyst estimates predict Cadence Design Systems's revenues will increase 10.7% and EPS will grow 17.6%.
The average estimate for revenue is $341.1 million. On the bottom line, the average EPS estimate is $0.20.
Last quarter, Cadence Design Systems recorded revenue of $338.5 million. GAAP reported sales were 16% higher than the prior-year quarter's $292.5 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
Last quarter, EPS came in at $0.21. GAAP EPS of $0.21 for Q3 were 110% higher than the prior-year quarter's $0.10 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the preceding quarter, gross margin was 84.9%, 190 basis points better than the prior-year quarter. Operating margin was 17.6%, 670 basis points better than the prior-year quarter. Net margin was 17.3%, 770 basis points better than the prior-year quarter.
The full year's average estimate for revenue is $1.32 billion. The average EPS estimate is $0.77.
The stock has a two-star rating (out of five) at Motley Fool CAPS, with 169 members out of 212 rating the stock outperform, and 43 members rating it underperform. Among 56 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 52 give Cadence Design Systems a green thumbs-up, and four give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Cadence Design Systems is outperform, with an average price target of $14.44.
Software and computerized services are being consumed in radically different ways, on new and increasingly mobile devices. Many old leaders will be left behind. Whether or not Cadence Design Systems makes the coming cut, you should check out the company that Motley Fool analysts expect to lead the pack in "The Next Trillion-dollar Revolution." Click here for instant access to this free report.
- Add Cadence Design Systems to My Watchlist.