---
title: Cadence (CDNS) — software card
canonical: https://sweetvaluelab.com/tools/software-stocks/cdns
ticker: CDNS
tier: Large
as_of: 2026-10-26
---
# Cadence (CDNS) — software card

Cadence, Large, grows revenue 17.6% on a 91.0% gross margin and a 28.8% free-cash-flow margin (19.9% after stock-based compensation), and trades at 14.6× trailing revenue. Prices as of Oct 26, 2026; trailing-twelve-month figures through Sep 30, 2026.

## The card

| Figure | CDNS | Large average (14) |
| --- | ---: | ---: |
| Price | $322.17 |  |
| Revenue (TTM) | $6.1B |  |
| Revenue growth | 17.6% | 27.1% |
| Revenue growth, prior year | 19.7% |  |
| Gross margin | 91.0% | 74.4% |
| Operating margin | 29.0% |  |
| Free cash flow (TTM) | $1.8B |  |
| FCF margin | 28.8% | 33.1% |
| FCF margin after SBC | 19.9% |  |
| Stock-based compensation (TTM) | $543.0M |  |
| SBC / revenue | 8.9% | 14.9% |
| Rule of 40 | 4640 | 6012 |
| Diluted shares, YoY | 0.5% |
| Buybacks (TTM) | $1.0B |  |
| Market value | $88.7B |  |
| Net cash | -$1.0B |  |
| Enterprise value | $89.7B |  |
| EV / revenue | 14.6× | 20.9× |
| EV / gross profit | 16.1× |  |
| EV / FCF | 50.9× |  |
| P/E | 64.0 |  |

## Lights

No light is on.

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Source: https://sweetvaluelab.com/tools/software-stocks/cdns (SweetValueLab, free, no account). Quarterly statements from Financial Modeling Prep, closes from the daily price cache; the engine's rules are on the board page. Research and educational data, not investment advice; nothing here is a recommendation to buy, sell or hold any security.