Cadence Design Systems, Inc. (CDNS) Key Metrics

NASDAQ: CDNSValuation, returns, debt and efficiency ratios over 10 years.

CDNS valuation today

Trailing 12 months · as of October 18, 2026
Market cap
$88.13B
Enterprise value
$86.33B
P/E (TTM)
63.5
10-yr median 61.0
Forward P/E
31.5
PEG ratio
2.31
Price / sales
15.1
10-yr median 13.3
Price / book
12.2
10-yr median 15.5
EV / EBITDA
37.2
10-yr median 41.0
Dividend yield
—
Beta
1.13

CDNS key metrics, 2016–2025

Fiscal year ended December 31, 2025 · U.S. dollars

CDNS valuation Price multiples at each fiscal year-end price.

P/E ratio−1.2%
77.0
2025 · hover or tap a bar for each year
2016: 36.2 (+40.5%)2017: 57.4 (+58.7%)2018: 35.4 (−38.4%)2019: 19.7 (−44.4%)2020: 64.6 (+228.3%)2021: 74.7 (+15.6%)2022: 52.0 (−30.3%)2023: 71.4 (+37.1%)2024: 78.0 (+9.2%)2025: 77.0 (−1.2%)
20162025
Price / sales−9.0%
16.1
2025 · hover or tap a bar for each year
2016: 4.0 (+5.9%)2017: 6.0 (+49.1%)2018: 5.7 (−5.2%)2019: 8.3 (+45.7%)2020: 14.2 (+70.8%)2021: 17.4 (+22.3%)2022: 12.4 (−28.7%)2023: 18.2 (+46.4%)2024: 17.7 (−2.4%)2025: 16.1 (−9.0%)
20162025
Price / book−11.4%
15.6
2025 · hover or tap a bar for each year
2016: 9.9 (+109.7%)2017: 11.8 (+19.6%)2018: 9.5 (−19.9%)2019: 9.3 (−2.5%)2020: 15.3 (+65.4%)2021: 19.0 (+23.9%)2022: 16.1 (−15.1%)2023: 21.8 (+35.6%)2024: 17.6 (−19.3%)2025: 15.6 (−11.4%)
20162025
EV / EBITDA−7.9%
45.3
2025 · hover or tap a bar for each year
2016: 18.6 (+23.8%)2017: 26.2 (+40.6%)2018: 23.1 (−11.9%)2019: 30.8 (+33.4%)2020: 46.8 (+52.0%)2021: 55.9 (+19.6%)2022: 36.7 (−34.4%)2023: 50.5 (+37.6%)2024: 49.2 (−2.5%)2025: 45.3 (−7.9%)
20162025
Price / free cash flow−26.8%
53.8
2025 · hover or tap a bar for each year
2016: 18.8 (−3.7%)2017: 28.4 (+51.2%)2018: 22.5 (−20.7%)2019: 29.7 (+32.0%)2020: 47.1 (+58.5%)2021: 50.3 (+6.7%)2022: 39.5 (−21.3%)2023: 59.6 (+50.8%)2024: 73.6 (+23.5%)2025: 53.8 (−26.8%)
20162025
Free cash flow yield+0.5 pts
1.9%
2025 · hover or tap a bar for each year
2016: 5.3% (+0.2 pts)2017: 3.5% (−1.8 pts)2018: 4.4% (+0.9 pts)2019: 3.4% (−1.1 pts)2020: 2.1% (−1.2 pts)2021: 2.0% (−0.1 pts)2022: 2.5% (+0.5 pts)2023: 1.7% (−0.9 pts)2024: 1.4% (−0.3 pts)2025: 1.9% (+0.5 pts)
20162025

CDNS valuation history

Fiscal year-endToday10-year median

CDNS returns on capital

ROEROICROA

Net income (ROE, ROA) or after-tax operating income (ROIC) divided by the average of the opening and closing balance.

CDNS debt vs cash

Total debtCash & short-term investments

Debt includes short- and long-term borrowings and, where reported, lease liabilities.

CDNS cash returned to shareholders

DividendsBuybacksFree cash flow

CDNS price vs earnings per share

Share price at year-endEPS (right axis)

CDNS key metrics

2016–2025
Cadence Design Systems, Inc. key metrics by fiscal year
2025202420232022202120202019201820172016
Valuation
Market capitalization$85.43B$82.28B$74.29B$44.18B$51.97B$38.15B$19.46B$12.22B$11.72B$7.35B
Enterprise value$84.91B$82.08B$73.91B$44.18B$51.25B$37.60B$19.12B$12.14B$11.76B$7.57B
P/E ratio77.078.071.452.074.764.619.735.457.436.2
Price / sales16.117.718.212.417.414.28.35.76.04.0
Price / book15.617.621.816.119.015.39.39.511.89.9
Price / free cash flow53.873.659.639.550.347.129.722.528.418.8
Price / operating cash flow49.465.355.135.647.242.226.720.224.916.5
EV / sales16.017.718.112.417.214.08.25.76.14.2
EV / EBITDA45.349.250.536.755.946.830.823.126.218.6
EV / free cash flow53.573.459.339.549.646.429.222.328.519.4
Earnings yield1.3%1.3%1.4%1.9%1.3%1.5%5.1%2.8%1.7%2.8%
Free cash flow yield1.9%1.4%1.7%2.5%2.0%2.1%3.4%4.4%3.5%5.3%
Dividend yield—————1.2%1.2%1.4%1.2%5.6%
Shareholder yield (dividends + buybacks)1.1%1.0%0.9%2.6%1.4%2.5%3.3%4.0%2.5%18.7%
Share price at fiscal year-end$312.58$300.46$272.37$160.64$186.35$136.43$69.36$43.48$41.82$25.22
Per share
Revenue per share$19.38$16.95$15.00$12.95$10.72$9.59$8.33$7.60$6.93$6.24
Earnings per share$4.06$3.85$3.82$3.09$2.50$2.11$3.53$1.23$0.73$0.70
Operating cash flow per share$6.33$4.60$4.95$4.52$3.95$3.24$2.60$2.15$1.68$1.53
Free cash flow per share$5.81$4.08$4.57$4.06$3.71$2.90$2.33$1.93$1.47$1.34
Cash per share$10.98$10.17$4.17$3.22$3.90$3.32$2.51$1.90$2.47$1.61
Book value per share$20.03$17.07$12.48$9.98$9.83$8.92$7.50$4.58$3.53$2.55
Tangible book value per share$7.34$6.21$5.62$3.70$5.66$5.37$4.52$1.43$0.16−$0.31
Dividends per share—————$1.65$0.86$0.60$0.50$1.42
Capex per share$0.52$0.52$0.38$0.45$0.24$0.34$0.27$0.22$0.21$0.18
Debt per share$9.07$9.44$2.80$3.23$1.34$1.36$1.32$1.58$2.60$2.38
Shares outstanding273.3M273.8M272.7M275.0M278.9M279.6M280.5M281.1M280.2M291.3M
Change in shares outstanding−0.2%+0.4%−0.8%−1.4%−0.3%−0.3%−0.2%+0.3%−3.8%−6.7%
Returns & profitability
Return on equity (ROE)21.9%26.1%33.9%31.0%26.6%25.7%58.3%30.4%23.6%19.2%
Return on invested capital (ROIC)25.5%27.2%35.2%36.6%35.5%32.4%33.1%32.7%21.1%21.1%
Return on assets (ROA)11.6%14.4%19.3%17.8%16.7%16.2%34.0%14.1%9.0%9.1%
Return on tangible assets16.6%17.6%27.4%24.9%21.6%20.0%39.2%21.9%13.8%16.1%
Free cash flow margin30.0%24.1%30.5%31.4%34.6%30.2%28.0%25.4%21.2%21.5%
Income quality (OCF / net income)1.561.191.301.461.581.530.741.752.312.19
Financial health
Total debt$2.48B$2.59B$764.4M$887.4M$372.9M$380.7M$371.6M$445.3M$729.4M$693.5M
Cash & short-term investments$3.00B$2.78B$1.14B$886.8M$1.09B$928.4M$705.2M$533.3M$692.5M$468.3M
Net debt−$521.2M−$199.6M−$374.1M$600,000−$716.1M−$547.7M−$333.6M−$88.0M$36.8M$225.2M
Debt / equity0.450.550.220.320.140.150.180.350.740.93
Debt / assets0.240.290.130.170.090.100.110.180.300.33
Net debt / EBITDA−0.28−0.12−0.260.00−0.78−0.68−0.54−0.170.080.55
Current ratio2.862.931.241.271.771.861.741.341.531.20
Quick ratio2.672.741.131.171.651.761.661.301.471.13
Interest coverage14.217.834.646.845.931.126.117.112.610.3
Working capital$3.03B$2.65B$385.4M$359.1M$744.5M$681.8M$497.0M$242.1M$337.6M$116.5M
Invested capital$4.95B$4.47B$3.03B$2.75B$2.02B$1.95B$1.77B$1.20B$1.03B$967.0M
Tangible asset value$2.01B$1.70B$1.53B$1.02B$1.58B$1.50B$1.27B$400.7M$44.4M−$89.8M
Net current asset value−$9.3M−$284.8M−$289.0M−$685.2M$70.1M$20.8M−$85.0M−$229.2M−$449.5M−$653.1M
Graham number$42.76$38.47$32.74$26.33$23.49$20.58$24.39$11.26$7.61$6.32
Graham net-net per share−$2.99−$3.20−$2.40−$3.91−$0.88−$0.85−$1.04−$1.46−$2.06−$2.57
Capital allocation
Dividends paid—————$460.0M$240.6M$169.9M$138.9M$415.0M
Share buybacks (net)$925.0M$787.8M$700.1M$1.16B$730.3M$490.1M$396.7M$320.0M$157.2M$960.3M
Dividend payout ratio—————77.9%24.3%49.1%68.0%204.3%
Dividends + buybacks / free cash flow58.3%70.5%56.2%104.0%70.6%117.3%97.3%90.2%71.7%351.6%
Capex / revenue2.7%3.1%2.5%3.5%2.2%3.5%3.2%2.9%3.0%3.0%
Capex / operating cash flow8.2%11.3%7.6%10.0%6.1%10.5%10.2%10.2%12.3%12.1%
Capex / depreciation0.610.730.710.920.510.630.600.520.500.45
Stock-based compensation / revenue8.6%8.4%8.0%7.6%7.0%7.4%7.8%7.8%6.7%6.0%
R&D / revenue33.4%33.4%35.3%35.1%38.0%38.5%40.1%41.4%41.4%40.5%
SG&A / revenue21.1%22.2%22.8%23.8%25.1%25.0%26.6%26.8%28.5%28.6%
Efficiency
Days sales outstanding56.046.744.342.241.343.747.041.632.632.4
Days of inventory on hand141.8123.8129.9119.7113.978.757.543.355.968.5
Days payables outstanding217.927.358.010.7-35.2-35.5-13.87.37.121.0
Cash conversion cycle (days)-20.1143.3116.2151.2190.4158.0118.377.681.579.8
Receivables turnover6.527.828.238.648.848.347.778.7711.1811.28
Payables turnover1.6713.396.2934.03———50.2051.6517.38
Inventory turnover2.572.952.813.053.204.646.348.436.535.33
Asset turnover0.550.630.760.750.720.730.800.870.860.82
Average receivables$812.7M$593.6M$496.7M$412.2M$338.0M$321.5M$300.8M$243.8M$173.8M$161.0M
Average payables$431.2M$48.4M$69.2M$10.9M−$29.6M−$29.7M−$10.0M$5.2M$4.6M$14.8M
Average inventory$280.6M$219.7M$154.8M$121.9M$95.8M$65.9M$42.0M$30.7M$36.3M$48.1M
Intangibles / total assets34.2%33.1%33.0%33.7%26.5%25.1%24.8%36.0%39.1%39.7%

Computed from CDNS's annual financial statements (latest annual report filed February 19, 2026) and the closing share price on each fiscal year-end, adjusted for stock splits. Figures in U.S. dollars; data from EODHD. Averages use the opening and closing balance of each year.

CDNS valuation and financial ratios

At the end of fiscal 2025 (December 31, 2025), Cadence traded at 77.0 times earnings, against a 10-year median of 61.0. Based on the latest twelve months, the trailing P/E is 63.5 and the forward P/E is 31.5. Cadence earned a return on equity of 21.9% and a return on invested capital of 25.5% in fiscal 2025. It ended the year with $2.5 billion of debt and $3.0 billion in cash and short-term investments, a net cash position of $521.2 million. It returned $925.0 million to shareholders: $0 in dividends and $925.0 million in share buybacks, 58% of free cash flow. The share count fell 6.2% from 291.3M to 273.3M over 9 years.

See the CDNS income statement, the CDNS chart for price history, or the CDNS stock overview for the latest quote and news.

CDNS key metrics FAQ

What is Cadence's P/E ratio?

Cadence's trailing P/E ratio is 63.5 based on the last twelve months of earnings (as of October 18, 2026), and its forward P/E is 31.5. At the end of fiscal 2025 it was 77.0, compared with a 10-year median of 61.0.

What is Cadence's EV/EBITDA?

Cadence's enterprise value was 45.3 times EBITDA at the end of fiscal 2025 (enterprise value $84.9 billion, EBITDA $1.9 billion); the current EV/EBITDA is 37.2.

What is Cadence's return on equity?

Cadence's return on equity (ROE) was 21.9% in fiscal 2025: net income of $1.1 billion on average shareholders' equity of $5.1 billion.

What is Cadence's ROIC?

Cadence's return on invested capital was 25.5% in fiscal 2025, using after-tax operating income divided by average debt plus equity minus cash.

How much debt does Cadence have?

Cadence had total debt of $2.5 billion at the end of fiscal 2025, a debt-to-equity ratio of 0.45 and more cash than debt.

Does Cadence buy back its shares?

Yes. Cadence spent $925.0 million on net share repurchases in fiscal 2025 Shares outstanding changed −0.2% over the year, to 273.3M..

What is Cadence's free cash flow yield?

Cadence generated $1.6 billion of free cash flow in fiscal 2025, a free cash flow yield of 1.9% on its market value at year-end ($85.4 billion).

What is Cadence's current ratio?

Cadence's current ratio was 2.86 at the end of fiscal 2025: current assets were 2.86 times current liabilities.

Software - Application key metrics