Cadence Design Fair Value
CD
The fair market value of CDS.DU stock is 211.21 EUR. Relative to the market price of 246 EUR Cadence Design Systems is overvalued by 14.9%
Eyestock's quantitative valuation approach is based on the method of estimating historical multipliers. To determine whether a stock is undervalued, we compare its current price to our estimated of fair value. The more undervalued a stock is, the more investment is profitable.
Fair Relative Value
Cadence Design Valuation
Current CDS.DU share ticker price is 246 EUR.
The fair value level of 211.21 EUR can be considered as an effective entry point for long-term investors to start investing in CDS.DU stock. For a more in-depth assessment, we provide a minimum value that can be used to increase a stock position and a maximum one that can be used to reduce it.
Price chart is not available
Current market price
Current price is 14% higher its fair value
Current price is 63% higher its minimum value
Current price is 3% lower its maximum value
Market price:
CDS.DU stock is overvalued
It means the current price may concern as a Risky Entry Point
Cadence Design Systems Inc Stock Valuation Calculator
How do we value a stock?
As fair value, we use the product of the median Price-to-earnings ratios at the end of each reporting period for the last 5 years and earnings per share for the last 12 months. By analogy with the fair value, we calculate the maximum and minimum ones using the corresponding P/E extremums.
1
Maximum P/E over 5 years
73.04
2
Median P/E over 5 years
60.75
3
Minimum P/E over 5 years
26.32
4
Earning per share (last 12 months)
3.87 USD
Maximum value
1
x
4
=
253.96 EUR
Fair value
2
x
4
=
211.21 EUR
Minimum value
3
x
4
=
91.5 EUR
Cadence Design Systems Inc price metrics
32.6
Annual return (geometric mean)
36.2
Risk (standard deviation) of returns
β
1.9
Beta (volatility compared to market)