SCHEDULE: Vanguard Discloses 10% Stake in Cadence Design Systems

The Vanguard Group reported a 10% beneficial ownership stake in Cadence Design Systems Inc., holding 27,230,987 common shares as of December 31, 2025.

Summary

• The Vanguard Group beneficially owns 27,230,987 shares of Cadence Design Systems Inc. common stock.
• This ownership represents 10% of the class of securities.
• Vanguard holds sole dispositive power over 24,500,941 shares and shared dispositive power over 2,730,046 shares.
• Vanguard has shared voting power over 1,737,177 shares and no sole voting power.
• The securities were acquired and are held in the ordinary course of business, not for the purpose of changing or influencing control of the issuer.

Sentiment

Score: 7

Explanation: The filing indicates a significant, passive institutional investment by The Vanguard Group, which is generally viewed as a positive signal of confidence in the company's long-term stability and prospects. However, as a routine disclosure, it does not provide new operational or financial performance data.

Positives

• A major institutional investor, The Vanguard Group, holds a significant 10% stake, indicating confidence in Cadence Design Systems Inc.

Future Outlook

This filing does not contain forward-looking statements or guidance from the issuer.

Industry Context

The Vanguard Group is one of the world's largest investment management companies, known for its passive investment strategies. Its significant stake in Cadence Design Systems Inc., a leader in electronic design automation (EDA) software, reflects its broad market exposure and confidence in established technology companies within its diversified portfolios.

Comparison to Industry Standards

• Vanguard's investment strategy typically involves holding significant, passive stakes in a wide range of publicly traded companies, aligning with its role as an investment adviser for various funds and managed accounts.
• A 10% ownership stake is substantial for a single institutional investor, placing Vanguard among the top shareholders of Cadence Design Systems Inc., consistent with its approach to index-tracking and broad market exposure.

Stakeholder Impact

• Shareholders may view Vanguard's substantial 10% stake as a vote of confidence in Cadence Design Systems Inc., potentially contributing to market stability and investor sentiment.

Key Dates

Recommendation

The filing indicates a significant, passive institutional investment by The Vanguard Group, suggesting long-term confidence in Cadence Design Systems. While not a performance report, such a substantial stake from a major asset manager typically signals stability and a vote of confidence, warranting a 'hold' recommendation for existing investors.

Keywords

Cadence Design Systems, Vanguard Group, CDNS, Schedule 13G, Beneficial Ownership, Institutional Investment, Common Stock, Investment Adviser