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Cadence Design Systems, Inc. (CDNS) EBITDA Margin: 35.35%

Is Cadence Design Systems, Inc.’s EBITDA margin high or low?

Cadence Design Systems, Inc.'s EBITDA margin of 35.35% is in line with its 5-year average of 33.58%, near the high end of its 5-year range (29.95%–35.91%).

As of Tuesday, June 16, 2026. 0.79% below its 12-month average of 35.63%.

CDNS EBITDA Margin Chart

CDNS EBITDA Margin
35.35%-1.56% 1Y
Zoom

CDNS Average EBITDA Margin Chart

CDNS Current vs Average EBITDA Margin Chart

CDNS EBITDA Margin Metrics

EBITDA MARGIN

35.35%

EBITDA MARGIN AVG TTM

35.63%

EBITDA MARGIN AVG 3Y

35.21%

EBITDA MARGIN AVG 5Y

33.58%

EBITDA MARGIN AVG 10Y

29.28%

EBITDA MARGIN AVG 15Y

27.17%

EBITDA MARGIN AVG 20Y

26.37%

CURRENT VS TTM AVG

-0.79%

CURRENT VS 3Y AVG

+0.39%

CURRENT VS 5Y AVG

+5.28%

CURRENT VS 10Y AVG

+20.71%

CURRENT VS 15Y AVG

+30.08%

CURRENT VS 20Y AVG

+34.03%

CDNS Competitors' EBITDA Margin

NAMEMARKET CAPEBITDA MARGINTTM3Y5Y
Cadence Design Systems, Inc. (CDNS)$107.73B35.35%35.63%35.21%33.58%
Fortinet, Inc. (FTNT)vs ›$106.55B36.25%36.61%31.32%28.43%
ServiceNow, Inc. (NOW)vs ›$104.82B22.59%21.43%17.81%15.66%
Accenture plc (ACN)vs ›$102.54B18.57%17.63%16.98%17.75%
Synopsys, Inc. (SNPS)vs ›$86.36B35.44%32.78%30.93%28.49%
Adobe Inc. (ADBE)vs ›$83.83B41.02%39.01%39.55%40.10%
Salesforce, Inc. (CRM)vs ›$132.48B31.67%30.54%26.38%23.35%
Datadog, Inc. (DDOG)vs ›$82.75B5.66%7.79%5.39%4.66%
Snowflake Inc. (SNOW)vs ›$82.47B-23.13%-26.73%-28.97%-43.31%
Cloudflare, Inc. (NET)vs ›$82.06B4.88%4.30%-0.68%-5.77%

Margin Comparison

Gross Margin

88.8%

EBITDA Margin

35.4%

Operating Margin

31.1%

Net Margin

21.2%

Formula: EBITDA Margin = (EBITDA / Revenue) × 100

Why EBITDA Margin matters:

  • Removes effects of depreciation policies (D&A)
  • Capital structure neutral (ignores interest)
  • Tax neutral (ignores tax differences)
  • Good proxy for operating cash generation

Cadence Design Systems, Inc. EBITDA Margin Formula & Definition

EBITDA Margin = EBITDA / Revenue

EBITDA margin measures operating profitability before interest, taxes, depreciation, and amortization as a percentage of revenue.

Expanded definitions: Investopedia, Wikipedia, Corporate Finance Institute

Cadence Design Systems, Inc. EBITDA Margin FAQ

What is the EBITDA margin for Cadence Design Systems, Inc. (CDNS)?
The EBITDA margin for CDNS stock is 35.35%.
Is Cadence Design Systems, Inc.'s EBITDA margin high or low?
Cadence Design Systems, Inc.'s EBITDA margin of 35.35% is in line with its 5-year average of 33.58%, near the high end of its 5-year range (29.95%–35.91%).
What is the TTM average EBITDA margin for Cadence Design Systems, Inc. (CDNS)?
The TTM average EBITDA margin for CDNS stock is 35.63%.
What is the 3Y average EBITDA margin for Cadence Design Systems, Inc. (CDNS)?
The 3Y average EBITDA margin for CDNS stock is 35.21%.
What is the 5Y average EBITDA margin for Cadence Design Systems, Inc. (CDNS)?
The 5Y average EBITDA margin for CDNS stock is 33.58%.
What is the 10Y average EBITDA margin for Cadence Design Systems, Inc. (CDNS)?
The 10Y average EBITDA margin for CDNS stock is 29.28%.
What is the 15Y average EBITDA margin for Cadence Design Systems, Inc. (CDNS)?
The 15Y average EBITDA margin for CDNS stock is 27.17%.
What is the 20Y average EBITDA margin for Cadence Design Systems, Inc. (CDNS)?
The 20Y average EBITDA margin for CDNS stock is 26.37%.

Cadence Design Systems, Inc. EBITDA Margin History

DATEEBITDA MARGIN
2025-12-3135.35%
2024-12-3135.91%
2023-12-3135.79%
2022-12-3133.80%
2021-12-3130.66%
2020-12-3129.95%
2019-12-3126.56%
2018-12-3124.60%
2017-12-3123.10%
2016-12-3122.39%
2015-12-3124.02%
2014-12-3121.03%
2013-12-3120.91%
2012-12-3123.54%
2011-12-3120.01%
2010-12-316.61%
2009-12-31-3.69%
2008-12-31-140.71%
2007-12-3131.40%
2006-12-3127.05%
2005-12-3128.43%
2004-12-3130.51%
2003-12-3125.87%
2002-12-3141.98%
2001-12-3137.23%
2000-12-3121.12%
1999-12-3119.24%
1998-12-3138.01%
1997-12-3136.84%
1996-12-3133.99%

About Cadence Design Systems, Inc.

Cadence Design Systems, Inc. operates globally, delivering a comprehensive suite of solutions that includes software, specialized hardware, professional services, and pre-designed integrated circuit (IC) building blocks. The company's robust functional verification offerings feature dedicated emulation and prototyping hardware. This portfolio encompasses JasperGold for formal verification, Xcelium for parallel logic simulation, Palladium as an enterprise-grade emulation platform, and Protium, a prototyping platform designed for thorough chip verification. Cadence additionally provides extensive products for digital IC design and final sign-off. These include the Genus logic synthesis solution, Joules for RTL power analysis, and the Modus software solution, which streamlines design-for-test (DFT) processes for systems-on-chip. Their tools further extend to physical implementation, covering place and route, optimization, and multiple patterning preparation, alongside essential sign-off products for validating designs prior to silicon manufacturing. Moreover, the company furnishes custom IC design and simulation tools capable of generating both schematic and physical representations of circuits down to the transistor level. These tools support a wide array of applications, such as analog, mixed-signal, custom digital, memory, and radio frequency (RF) designs. Cadence also offers system design and analysis products crucial for developing printed circuit boards (PCBs) and integrated circuit packages, along with capabilities to analyze complex multi-physics effects like electromagnetic and electro-thermal interactions. Furthermore, Cadence supplies intellectual property (IP) products, consisting of pre-verified, customizable functional blocks ready for integration into customer ICs. This includes verification IP and memory models used to simulate and characterize the behavior and interactions of standard industry system interface protocols. Complementing its product portfolio, Cadence provides a range of services, including methodology consulting, educational programs, hosted design solutions, and ongoing technical support and maintenance. Its diverse clientele spans sectors such as 5G communications, aerospace and defense, automotive, industrial and healthcare, mobile technology, consumer electronics, and hyperscale computing. Established in 1987, Cadence Design Systems, Inc. is headquartered in San Jose, California.

San Jose, CA
12,837 employees
Technology / Software - Application
Sector
Technology
Industry
Software - Application
CEO
Anirudh Devgan