Cadence Design Revenue vs. Current Valuation
| 0HS2 Stock | 311.11 10.78 3.59% |
Total Revenue | First Reported 1986-03-31 | Previous Quarter 1.1 B | Current Value 1.2 B | Quarterly Volatility 255.1 M |
For Cadence Design profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Cadence Design to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Cadence Design Systems utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Cadence Design's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Cadence Design Systems over time as well as its relative position and ranking within its peers.
Cadence |
Cadence Design Systems Current Valuation vs. Revenue Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Cadence Design's current stock value. Our valuation model uses many indicators to compare Cadence Design value to that of its competitors to determine the firm's financial worth. Cadence Design Systems is rated second in revenue category among its peers. It is the top company in current valuation category among its peers reporting about 20.17 of Current Valuation per Revenue. At this time, Cadence Design's Total Revenue is comparatively stable compared to the past year. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Cadence Design's earnings, one of the primary drivers of an investment's value.Cadence Revenue vs. Competition
Cadence Design Systems is rated second in revenue category among its peers. Market size based on revenue of Industrials industry is presently estimated at about 36.15 Billion. Cadence Design retains roughly 4.09 Billion in revenue claiming about 11% of equities under Industrials industry.
Cadence Current Valuation vs. Revenue
Revenue is income that a firm generates from business activities such us rendering services or selling goods to customers. It is a crucial part of a business and an essential item when evaluating a company's financial statements. Revenues from a firm's primary business operations can be reported on the income statement as sales revenue, net sales, or simply sales, depending on the industry in which a given company operates.
Cadence Design |
| = | 4.09 B |
Revenue is typically recorded when cash or cash equivalents are exchanged for services or goods and can include products or services discounts, promotions, as well as early payments on invoices or services rendered in advance.
Enterprise Value is a firm valuation proxy that approximates the current market value of a company. It is typically used to determine the takeover or merger price of a firm. Unlike Market Cap, this measure takes into account the entire liquid asset, outstanding debt, and exotic equity instruments that the company has on its balance sheet. When a takeover occurs, the parent company will have to assume the target company's liabilities but will take possession of all cash and cash equivalents.
Cadence Design |
| = | 82.5 B |
Enterprise Value can be a useful tool to compare companies with different capital structures. Long term liability and current cash or cash equivalents can have a huge impact on market valuation of a given company.
Cadence Current Valuation vs Competition
Cadence Design Systems is the top company in current valuation category among its peers. After adjusting for long-term liabilities, total market size of Industrials industry is presently estimated at about 215.66 Billion. Cadence Design totals roughly 82.5 Billion in current valuation claiming about 38% of equities under Industrials industry.
Cadence Design Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Cadence Design, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Cadence Design will eventually generate negative long term returns. The profitability progress is the general direction of Cadence Design's change in net profit over the period of time. It can combine multiple indicators of Cadence Design, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
| Last Reported | Projected for Next Year | ||
| Accumulated Other Comprehensive Income | -94.8 M | -90 M | |
| Operating Income | 1.3 B | 1.3 B | |
| Income Before Tax | 1.3 B | 1.3 B | |
| Total Other Income Expense Net | 30.7 M | 32.2 M | |
| Net Income | 1 B | 1.1 B | |
| Income Tax Expense | 240.8 M | 252.8 M | |
| Interest Income | 9.5 M | 13.5 M | |
| Net Income Applicable To Common Shares | 976.3 M | 609.3 M | |
| Change To Netincome | 194.2 M | 203.9 M |
Cadence Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Cadence Design. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Cadence Design position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Cadence Design's important profitability drivers and their relationship over time.
Use Cadence Design in pair-trading
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Cadence Design position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Cadence Design will appreciate offsetting losses from the drop in the long position's value.Cadence Design Pair Trading
Cadence Design Systems Pair Trading Analysis
The ability to find closely correlated positions to Cadence Design could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Cadence Design when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Cadence Design - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Cadence Design Systems to buy it.
The correlation of Cadence Design is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Cadence Design moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Cadence Design Systems moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Cadence Design can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Use Investing Themes to Complement your Cadence Design position
In addition to having Cadence Design in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
Run Automobiles and Trucks Thematic Idea Now
Automobiles and Trucks
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Automobiles and Trucks theme has 61 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Automobiles and Trucks Theme or any other thematic opportunities.
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Additional 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.