Why Cadence Design Systems, Inc. (CDNS) Plummeted on Wednesday

We recently compiled a list of the 10 Stocks Plummet on Wednesday. In this article, we are going to take a look at where Cadence Design Systems, Inc. (NASDAQ:CDNS) stands against the other stocks.

The stock market ended firmer on Wednesday, with all major indices finishing in the green territory as investors weighed news of President Donald Trump’s imposition of a new round of tariffs while digesting minutes of the Federal Reserve.

The Dow Jones rose by 0.16 percent, the S&P 500 increased by 0.24 percent, while the tech-heavy Nasdaq eked out a 0.07 percent gain.

Ten companies bucked a broader market optimism, posting heavy losses, mostly due to disappointing earnings performance last year.

To come up with Wednesday’s worst performers, we considered only the stocks with $2 billion in market capitalization and $5 million in daily trading volume.

Cadence Design Systems, Inc. (CDNS): Powering 2nm Chip Designs with AI Tools

An office of software engineers and designers collaborating on a digital project.

Cadence Design Systems, Inc. (NASDAQ:CDNS)

Cadence Design Systems, Inc. fell by 8.78 percent on Wednesday to end at $274.04 apiece as investors unloaded portfolios after the company reported mixed earnings results.

In a statement, Cadence Design Systems, Inc said it registered net income of $1.05 billion last year, flat from the $1.04 billion registered in 2023. Meanwhile, net profit for the fourth quarter rose by 5 percent to $340 million from $324 million year-on-year.

Revenues in the fourth quarter, however, were higher by 27 percent at $1.35 billion from $1.07 billion year-on-year, while revenues for the full year were up by 13.4 percent to $4.64 billion from $4.09 billion in 2023.

For this year, Cadence Design Systems, Inc expects revenues to settle between $5.14 billion and $5.22 billion, which aligns with the $5.19 billion expected by analysts.


READ NEXT: 20 Best AI Stocks To Buy Now and Complete List of 59 AI Companies Under $2 Billion in Market Cap.

This article is originally published at Insider Monkey.