Cadence Design Systems, Inc. CDNS NASDAQ

Cadence Design Systems, Inc. (CDNS) reported strong year-over-year revenue growth of +14.1% through 2025-12 (TTM revenue vs prior-year TTM). Net income showed solid earnings growth of +5.1% YoY, reaching $388M in the latest quarter. The net profit margin is 27%, which is exceptional. The company has maintained profitability in all 4 quarters. The gross margin is 86.4% (high), up 0.2pp vs the prior year. With a $81B market cap, MOAT composite score of 76/100 (strong competitive position).

Criteria proven by this page:

• GROWTH (73/100, Pass) — proving strong growth momentum
• PAST (100/100, Pass) — proving consistent earnings. Looking at the full 40-year annual history, the company was profitable in 34 of 40 years — a solid long-term record with occasional losses
• INCOME (85/100, Pass) — proves strong profitability and pricing power
• MOAT (76/100, Pass) — strong gross margins and market scale prove a durable competitive advantage

Overall SharesGrow Score: 78/100 with 6/7 criteria passed.