P/E ratio for Cadence Design Systems (CDNS)
P/E ratio as of January 2023 (TTM): 62.5
According to Cadence Design Systems's latest financial reports and stock price the company's current price-to-earnings ratio (TTM) is 62.5398. At the end of 2021 the company had a P/E ratio of 73.1.
P/E ratio history for Cadence Design Systems from 2001 to 2022
PE ratio at the end of each year
| Year | P/E ratio | Change |
|---|---|---|
| 2021 | 73.1 | 15.16% |
| 2020 | 63.5 | 230.27% |
| 2019 | 19.2 | -44.32% |
| 2018 | 34.5 | -38.11% |
| 2017 | 55.8 | 56.98% |
| 2016 | 35.5 | 48.5% |
| 2015 | 23.9 | -29.39% |
| 2014 | 33.9 | 42.56% |
| 2013 | 23.8 | 184.94% |
| 2012 | 8.34 |
P/E ratio for similar companies or competitors
| Company | P/E ratio | P/E ratio differencediff. | Country |
|---|---|---|---|
 Ansys ANSS | 48.6 | -22.26% | 🇺🇸 USA |
 Autodesk ADSK | 73.1 | 16.92% | 🇺🇸 USA |
 Synopsys SNPS | 54.3 | -13.13% | 🇺🇸 USA |
 Teradyne TER | 20.8 | -66.77% | 🇺🇸 USA |
 PTC PTC | 49.9 | -20.18% | 🇺🇸 USA |
 PDF Solutions PDFS | -109 | -274.18% | 🇺🇸 USA |
 CEVA
CEVA | -36.5 | -158.28% | 🇺🇸 USA |
How to read a P/E ratio?
The Price/Earnings ratio measures the relationship between a company's stock price and its earnings per share. A low but positive P/E ratio stands for a company that is generating high earnings compared to its current valuation and might be undervalued. A company with a high negative (near 0) P/E ratio stands for a company that is generating heavy losses compared to its current valuation.
Companies with a P/E ratio over 30 or a negative one are generaly seen as "growth stocks" meaning that investors typically expect the company to grow or to become profitable in the future.
Companies with a positive P/E ratio bellow 10 are generally seen as "value stocks" meaning that the company is already very profitable and unlikely to strong growth in the future.