CDNS trade ideas
Cadence Design on Breakout watch
On the verge of breakout
Possible long entry $77.83
Target price $86.00
Stop loss $75.69
RSI in strong uptrend and room to run higher.
Upgrade rating from Benchmark
Benchmark analyst Ruben Roy assumed coverage of Cadence Design with a Buy rating and $90 price target. He believes both Cadence and Electronic Design Automation competitor Synopsys (SNPS) are well positioned to benefit from the increasing complexity of semiconductor designs, Roy tells investors.
thefly.com
CDNS Bounces Off of SupportCDNS is at risk of a topping formation, but has bounced on its top completion support level. If the stock breaks through this support, the next level of support is below $50.
$CDNS Cadence Design Systems beats and Raises $entry level $70.50 = Price target $79.00 = Stop loss $68.00
Technically very bullish and on the fundamentals of the recent earnings a rally looks imminent.
Earnings summary.
Cadence Design Systems (NASDAQ:CDNS) +5.2% reports Q3 beats with in-line Q4 guidance that sees $590-600M (consensus: $592.8M) in revenue and $0.52-0.54 EPS (consensus: $0.52).
The FY19 guidance has revenue of $2.327B to $2.337B (consensus: $2.33B) and boosts EPS to $2.18-2.20 (was: $2.11-2.17; consensus: $2.16).
Q3 operating margin was 32%, flat on the year.
Product and maintenance revenue was $548.1M versus the $494M in last year's quarter. Services revenue was $31.5M, down from $37.5M. Source Seekingalpha.
P/E high 44, high but acceptable in growth stock.
Average analysts price target $74.18 | Overweight = expect upgrades int he days to come.
Company profile
Cadence Design Systems, Inc. engages in the design and development of integrated circuits and electronic devices. Its products include electronic design automation, software, emulation hardware, and intellectual property, commonly referred to as verification IP, and design IP. The company was founded by Alberto Sangiovanni-Vincentelli, Gudmundur A. Hjartarson, K. Bobby Chao, and K. Charles Janac in June 1988 and is headquartered in San Jose, CA.
Cadence Sys at pivotal point, when will longs cash in 80% gains?CADENCE DESIGN SYSTEMS INC. NASDAQ ($CDNS) After a 80% gain so far in 2019, CDNS is reaching a resistance point on which provides a tradable opportunity long or short. The stock has outpaced all but a few stocks this year in a in favourable sector, attracting money that the Semi and Chip stocks have lost, there may be the danger, rotation could be on the way back into the beaten down names which now hold value. The indicators are quite mixed but the RSI is showing bearish divergences since late march which should be considered before longing on momentum only.
It is advisable to set alerts for break in price of RSI trendline, the next few trading sessions should determine the stock direction for the weeks to come.
AVERAGE ANALYSTS PRICE TARGET $69.75
AVERAGE ANALYSTS RECOMMENDATION OVERWEIGHT
P/E RATIO 53
SHORT INTEREST 2%
COMPANY PROFILE
Cadence Design Systems, Inc. engages in the design and development of integrated circuits and electronic devices. Its products include electronic design automation, software, emulation hardware, and intellectual property, commonly referred to as verification IP, and design IP. The company was founded by Alberto Sangiovanni-Vincentelli, Gudmundur A. Hjartarson, K. Bobby Chao, and K. Charles Janac in June 1988 and is headquartered in San Jose, CA.
CDNSAll time high is broken, monthly & weekly is trending up. D1 created new demand zone breaking all time high.
$CDNS CADENCE DESIGN SYSTEMS, deserves much more attention. Cadence delivered fabulous results for the 4th quarter of 2019 in which it beat on all metrics, this is very likely to continue as its new products have received very robust adoption. The company has quite a high P/E ratio but with current growth, investors may be willing to pay that premium. The selling in the last few days is slightly worrying heading to earnings, so we will adopt a wait a and see approach. Long term bullish but cautious into earnings.
Cadence Design Systems #CDNSAll time frames are up
after such a strong move up , expecting a bigger retracement
looking to go lon g at 45 dollar a share
CDNS: patterning out speculation to provide support to move upCDNS is shifting sideways after a strong run out of a bottoming formation. The sideways action patterns out some of the speculation and provides support for the stock to move higher.
Potential Hanging ManIf you just look on the left of each stock and learn about their candlestick and patterns you will learn a ton.
Hanging Man Only works after the next candle stick confirm it.
[CDNS] phase 3 -> SellIn this phase 3 the price is over the 30MM. In a 4.39% the price rise to the resistant and 20.44% to the support. Sell.
Knocking on the DoorCan be long above 46.
RSI getting ready to peak
Solidly pushing through several supply levels
