Form 4: Cadence Design SVP Scannell Sells Shares for Tax

Cadence Design Systems Senior Vice President Paul Scannell disposed of 159 shares of common stock to cover tax obligations related to a restricted stock award vesting.

Summary

• Paul Scannell, Senior Vice President at Cadence Design Systems Inc. (CDNS), reported a transaction on November 17, 2025.
• The transaction involved the disposition of 159 shares of common stock.
• These shares were withheld to satisfy tax obligations arising from the vesting of a Restricted Stock Award.
• The shares were disposed of at a price of $311.29 per share.
• Following this transaction, Scannell beneficially owns 25,811 shares of Cadence Design Systems common stock.
• The transaction was made pursuant to a Rule 10b5-1(c) plan.

Sentiment

Score: 5

Explanation: Neutral. This is a routine, non-discretionary transaction for tax purposes, executed under a Rule 10b5-1 plan, and does not reflect a change in management's outlook or the company's fundamentals.

Positives

• The transaction is non-discretionary, executed under a Rule 10b5-1 plan, indicating a pre-scheduled event rather than a reactive sale.
• The executive retains a substantial holding of 25,811 shares of common stock after the transaction.

Negatives

• A reduction in direct share ownership, even if for tax purposes, slightly decreases the executive's direct equity stake.

Future Outlook

No specific future outlook or guidance is provided in this Form 4 filing, as it primarily reports a past insider transaction.

Industry Context

This is a routine insider transaction, common across all industries for executives receiving equity compensation. It does not provide specific industry-wide context or trends.

Comparison to Industry Standards

• This is a standard tax-related disposition of shares, a common practice for executives across publicly traded companies when restricted stock awards vest. It aligns with typical executive compensation structures involving equity.

Stakeholder Impact

• Minimal impact on shareholders as this is a routine, non-discretionary tax-related transaction by an executive.
• No direct impact on employees, customers, suppliers, or creditors.

Key Dates

Recommendation

The Form 4 reports a routine, non-discretionary sale of shares by a Senior Vice President to cover tax obligations upon the vesting of a restricted stock award, executed under a Rule 10b5-1 plan. Such transactions are common and do not typically signal a change in management's confidence or the company's fundamentals. Therefore, this filing provides no new information to alter an existing investment thesis, warranting a 'hold' recommendation.

Keywords

Cadence Design Systems, CDNS, Paul Scannell, Form 4, Insider Transaction, Stock Sale, Tax Withholding, Restricted Stock Award, Executive Compensation, Rule 10b5-1