What's Going On With Cadence Design Systems Stock After Hours?

Cadence Design Systems, Inc. CDNS shares are trading lower in Monday's after-hours session on the heels of the company's second-quarter report. Here's a rundown of the results and a look at what's driving the action.

What To Know: The company reported quarterly earnings of $1.22 per share, which beat the analyst consensus estimate of $1.18, a 12.96% increase over earnings of $1.08 per share from the same period last year. The company reported quarterly sales of $976.58 million, which beat the analyst consensus estimate of $974.86 million, a 13.88% increase over sales of $857.52 million in the same period last year.

The company expects total revenue for the second half of 2023 in the range of $2.052 billion to $2.092 billion and earnings per share between $2.54 and $2.60. The fiscal year 2023 revenue is expected to be between $4.05 billion and $4.09 billion, versus the $4.05 billion estimate, while earnings per share is estimated to be between $5.05 and $5.11, versus the $5.03 estimate.

"Cadence delivered excellent results for the second quarter of 2023, with strong ongoing customer demand for our innovative technologies," said Anirudh Devgan, president and CEO.

"With its unparalleled promise, Generative AI is beginning to make a significant impact globally. Our dedicated focus on AI over the past several years, combined with our computational software expertise and invaluable data that lies at the core of AI, uniquely positions us to deliver to the tremendous potential of this transformative technology."

Related Link: Tencent Expands Gaming Empire, Acquires Techland Studio

NXPI Price Action: CDNS shares were down 4.26% after hours at $231.00 at the time of publication, according to Benzinga Pro.

Image by Gerd Altmann from Pixabay