CDNSStock and Options Trade Setup — Cadence Design Systems, Inc.
Nasdaq 100 · Software (Electronic Design Automation) · High-liquidity options · Mega cap · ~$95B
Cadence is one of the most defensible compounders in software: every advanced semiconductor designer on Earth — from NVIDIA and AMD to Apple, hyperscalers, and emerging AI startups — pays subscription license fees for Cadence (or Synopsys) tooling because there is no credible alternative for advanced node tape-out. As semiconductor R&D budgets compound with the AI cycle, EDA seat counts grow in tandem with rising per-seat ARPU from new AI-design-specific tools (Cerebrus AI, Allegro X AI). The system-design business (Sigrity, Clarity 3D Solver, Spectre, Reality digital twin) extends Cadence into adjacent compute infrastructure markets like data center and automotive. Backlog has grown to a multi-year record, providing strong revenue visibility. Operating margins are best-in-class with significant FCF generation, supporting consistent buybacks. Valuation is premium but matches the moat — this is a name where directional momentum setups have worked through multiple cycles. Options are highly liquid.
Score History & Signal Changelog
Preview dataThis page is updated every 72 hours with the latest Scan results. Each data point below represents one complete algorithmic snapshot in time.
Signal Breakdown
Today's Trade Card
Options Profile
Risks & Fundamentals
Every setup carries risk. Here's what could move CDNS against you, plus the key stats that frame any position.
- 1.Semiconductor R&D budget cycle decelerating into AI capex digestion phase
- 2.China export restrictions tightening further (current 10%+ of revenue exposure)
- 3.Synopsys / Ansys merger creating competitive pressure in system-design workflows
CDNS Options Setup — Frequently Asked Questions
Is CDNS a good options trade today?+
Cadence Design Systems, Inc. (CDNS) currently has an Amora Edge Score of 81/100, ranking it top 8% of today's scan. This composite score is built from four sub-signals — EMA cross, RSI zone, relative strength vs SPY, and volume surge — each scored 0–25. The current read is a bullish setup, so the algorithm is positioned bullish (calls / call debit spreads). A score above 65 typically warrants a trade card with stop and target; below that, the setup is on the watchlist but not actionable.
What is CDNS's win rate on Stoptions.ai setups?+
CDNS's historical win rate on closed Stoptions setups is 75%. Win rate is calculated as the percentage of past CDNS trade cards that hit their target price before stopping out. Win rate is most meaningful once a ticker has 10+ closed trades — individual ticker rates can be noisy at smaller samples. Our portfolio-wide win rate across all closed trades is the more stable benchmark.
What strike and expiry does Stoptions.ai suggest for CDNS?+
The strike and expiry are shown on the trade card at the top of this page when the setup is active. Stoptions.ai algorithmically selects strikes targeting delta 0.35–0.45 and expirations 30–45 days out, adjusted for current implied volatility rank (IVR). When IVR is high, the system favors call debit spreads to limit vega risk; when IVR is low, single-leg long calls are preferred. The card includes the contract symbol, mid-price entry, stop, and target.
How often is the CDNS setup updated?+
Every 72 hours we refresh CDNS's Amora Edge Score and trade card. The underlying scan runs daily at 9:00 AM ET (pre-market) and 9:30 AM ET (post-open), so any new signal change is reflected within one trading session. If CDNS drops below the entry threshold or the regime shifts (e.g., SPY enters a confirmed bear), the trade card is replaced with a "no setup" notice automatically.
What does the Amora Edge Score measure for CDNS?+
The Amora Edge Score is a 0–100 composite of four technical sub-signals applied to CDNS: (1) EMA cross — is the 20-day above the 50-day with both trending up? (2) RSI zone — is momentum in the 50–70 sweet spot, or extended/weak? (3) Relative strength vs SPY — is CDNS outperforming the market over 20 sessions? (4) Volume surge — is participation above the 20-day average? Each sub-signal contributes 0–25 points. CDNS currently scores 81.
How does CDNS compare to other Software (Electronic Design Automation) setups?+
CDNS's sector rank and percentile against other Software (Electronic Design Automation) tickers we track is shown on the /tickers index — sortable by Amora Edge Score, win rate, or sector. For direct comparison, see the "Related Software (Electronic Design Automation) Options Setups" panel above. When multiple tickers in the same sector are scoring 80+, the algorithm flags the cluster as a sector rotation signal and may upweight position sizing.
Educational content only — not personalized investment advice. Options carry substantial risk.
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