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Cadence Design Systems CDNS Free cash flow margin

Free cash flow margin at other companies

Synopsys logo
SynopsysSNPS
30.3%+13.2pp
Rambus logo
RambusRMBS
46.5%+7.9pp
Keysight Technologies logo
Keysight TechnologiesKEYS
22.3%-4.1pp
Teradyne, Inc. logo
Teradyne, Inc.TER
14.6%-6.3pp
KLA Corporation logo
KLA CorporationKLAC
30.7%+0.2pp
Credo Technology Group Holding Ltd logo
Credo Technology Group Holding LtdCRDO
30.5%+23.8pp

Other financials

Income statement

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Revenue$1.5B+18.7%
Operating income$431.3M+19.3%
Net income$335.7M+22.7%
EPS (diluted)$1.23+23.0%

Balance sheet

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Cash & equivalents$1.4B-49.4%
Total debt$177.2M
Total equity$6.6B+37.4%
Total assets$12.1B+34.2%

Cash flow

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Operating cash flow$355.8M-27.0%
CapEx$48.8M+112%
Free cash flow$307.0M-33.8%

Valuation

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Market cap$107.46B+10.0%
Enterprise value$106.23B
P/E91.8×+1.4×
P/S19.4×-0.6×

Profitability

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Operating margin28.3%-1.7pp
Net margin21.2%-1.0pp

Returns & leverage

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Return on equity20.7%-5.3pp
Debt / equity
Current ratio1.5×-1.6×

Where this comes from

Calculated from Cadence Design Systems’s reported figures.

Based on trailing twelve months.

The official record: Cadence Design Systems’s 10-Q, filed May 1, 2026, on SEC EDGAR. View the filing →

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Questions, answered.

What is Cadence Design Systems's free cash flow margin?
Cadence Design Systems (CDNS) reported free cash flow margin of 25.9% in Q1 2026.
How has Cadence Design Systems's free cash flow margin changed year-over-year?
Cadence Design Systems's free cash flow margin decreased by 8.5% year-over-year, from 28.3% to 25.9%.
What is the long-term trend for Cadence Design Systems's free cash flow margin?
Over 4 years (2021 to 2025), Cadence Design Systems's free cash flow margin has grown at a -1.4% compound annual growth rate (CAGR), from 124.4% to 117.7%.
What does free cash flow margin mean?
How much real, spendable cash each sales dollar generates after reinvestment.
How do you interpret free cash flow margin?
A high and rising FCF margin is the hallmark of a cash-generative business. Persistent gaps between net margin and FCF margin warrant a look at working capital or capital intensity.
How does free cash flow margin compare across companies?
Strong cross-company quality signal; capital-light compounders post structurally higher FCF margins than asset-heavy peers.