---
title: Cadence (CDNS) — software card
canonical: https://sweetvaluelab.com/tools/software/cdns
ticker: CDNS
tier: Large
as_of: 2026-10-16
---
# Cadence (CDNS) — software card

Cadence, Large, grows revenue 14.7% on a 88.5% gross margin and a 28.8% free-cash-flow margin (19.9% after stock-based compensation), and trades at 15.2× trailing revenue. Prices as of Oct 16, 2026; trailing-twelve-month figures through Aug 31, 2026.

## The card

| Figure | CDNS | Large average (14) |
| --- | ---: | ---: |
| Price | $319.51 |  |
| Revenue (TTM) | $5.8B |  |
| Revenue growth | 14.7% | 27.2% |
| Revenue growth, prior year | 22.3% |  |
| Gross margin | 88.5% | 74.4% |
| Operating margin | 30.8% |  |
| Free cash flow (TTM) | $1.7B |  |
| FCF margin | 28.8% | 33.1% |
| FCF margin after SBC | 19.9% |  |
| Stock-based compensation (TTM) | $514.3M |  |
| SBC / revenue | 8.8% | 14.9% |
| Rule of 40 | 4346 | 6032 |
| Diluted shares, YoY | 0.8% |
| Buybacks (TTM) | $800.0M |  |
| Market value | $87.8B |  |
| Net cash | -$1.0B |  |
| Enterprise value | $88.9B |  |
| EV / revenue | 15.2× | 19.0× |
| EV / gross profit | 17.2× |  |
| EV / FCF | 53.0× |  |
| P/E | 63.5 |  |

## Lights

No light is on.

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Source: https://sweetvaluelab.com/tools/software/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.