If You Invested $1000 in Cadence Design Systems a Decade Ago, This is How Much It'd Be Worth Now

For most investors, how much a stock's price changes over time is important. Not only can it impact your investment portfolio, but it can also help you compare investment results across sectors and industries.Another thing that can drive investing is the fear of missing out, or FOMO. This particularly applies to tech giants and popular consumer-facing stocks.What if you'd invested in Cadence Design Systems (CDNS) ten years ago? It may not have been easy to hold on to CDNS for all that time, but if you did, how much would your investment be worth today?Cadence Design Systems' Business In-DepthWith that in mind, let's take a look at Cadence Design Systems' main business drivers.Based in San Jose, CA, Cadence Design Systems Inc. is a leader in the electronic system design space. The company’s Intelligent System Design strategy aids users to transform design concepts into reality by offering computational software, hardware and IP.Cadence’s core electronic design automation (EDA) software and services enable engineers to develop different types of ICs. Its design IPs are directly integrated into ICs. Cadence reported revenues of $4.64 billion in 2024.The major product lines are as follows:Core EDA business (71% of 2024 revenues) constitutes Custom IC, Digital IC and Functional Verification businesses.Functional verification products comprise four primary verification engines – JasperGold formal verification platform, Xcelium parallel simulation platform, Palladium Enterprise Emulation Platform, and Protium FPGA-Based Prototyping Platform.Digital IC Design and Signoff offerings include Genus Synthesis solution, Joules RTL power and Modus software solution. Innovus implementation system is the company’s physical implementation offering. The company’s signoff offerings include the Tempus Timing Signoff Solution, Voltus Power Integrity Solution, Quantus Extraction Solution, and Pegasus Physical Verification System.Custom IC Design and Simulation includes the Virtuoso custom design platform, Virtuoso Advanced Node and the Virtuoso RF Solution. The Spectre Simulation Platform offers large-scale verification simulation.Systems Design & Analysis segment (13%) offers Allegro system interconnect design platform, Fidelity CFD Software and OrCAD solution. The Allegro System Design Platform aids users in carrying out PCB authoring and implementation, PCB library design management and collaboration, signal and power integrity analysis, IC package and system-in-package design.Under the IP segment (16%), Cadence offers Tensilica digital signal processors (DSPs), vertically targeted subsystems for AI, audio/voice, baseband and vision/imaging applications, controllers and physical interfaces (PHYs) for standard protocols and analog IP. Bottom LineAnyone can invest, but building a successful investment portfolio takes a combination of a few things: research, patience, and a little bit of risk. So, if you had invested in Cadence Design Systems a decade ago, you're probably feeling pretty good about your investment today.A $1000 investment made in December 2015 would be worth $15,872.57, or a gain of 1,487.26%, as of December 10, 2025, according to our calculations. This return excludes dividends but includes price appreciation.The S&P 500 rose 234.07% and the price of gold increased 277.77% over the same time frame in comparison.Looking ahead, analysts are expecting more upside for CDNS.Cadence is well-positioned to gain from rising demand for its solutions, especially the AI-driven portfolio, amid robust design activity and strong spending by customers on AI initiatives. With rapid AI proliferation, the Cadence.ai portfolio has been gaining strength and the new product launches (like Cerebrus AI Studio) are expected to aid in sustaining the momentum. The latest hardware systems continue to gain traction from AI, HPC and automotive companies. Cadence's inorganic strategy is the calculated execution of its Intelligent System Design vision. Driven by strong results and a healthy pipeline, management upgraded its outlook for 2025. We expect 2025 revenues to be $5,275.3 million. Stiff competition in the EDA space, broader market volatility amid evolving tariff situation and high operating costs remain woes.Shares have gained 5.20% over the past four weeks and there have been 9 higher earnings estimate revisions for fiscal 2025 compared to none lower. The consensus estimate has moved up as well.Zacks Naming Top 10 Stocks for 2026Want to be tipped off early to our 10 top picks for the entirety of 2026? History suggests their performance could be sensational.From 2012 (when our Director of Research Sheraz Mian assumed responsibility for the portfolio) through November, 2025, the Zacks Top 10 Stocks gained +2,530.8%, more than QUADRUPLING the S&P 500’s +570.3%.Now Sheraz is combing through 4,400 companies to handpick the best 10 tickers to buy and hold in 2026. Don’t miss your chance to get in on these stocks when they’re released on January 5. Be First to New Top 10 Stocks >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Cadence Design Systems, Inc. (CDNS): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks