Valuation check: CDNS's profit margin is 21.18%, below the Technology sector average of 33.7%.
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+ FollowAs of Mar 2026
Trailing 12 months ending Mar 2026
Cadence Design Systems (CDNS) currently reports a profit margin of 21.18% as of March 2026. That compares with 22.19% in the prior-year period — down 4.5% year over year. That is below the Technology sector average of 33.7%. Use the charts on this page to explore Cadence Design Systems's profit margin history and peer comparisons.
Cadence Design Systems's profit margin decreased from 22.19% to 21.18% — a 4.5% year-over-year decrease (period ending March 2026). Watching multi-year history on the chart below helps separate one-off swings from a lasting trend.
Cadence Design Systems's profit margin of 21.18% is lower than the Technology sector average of 33.7%. That is roughly 37.2% below the sector mean. A reading lower peers can reflect different growth expectations, capital structure, or profitability — so it is worth checking the peer comparison chart before drawing conclusions.
There is no universal 'good' profit margin, but Cadence Design Systems's current 21.18% should be judged against Technology norms (sector average: 33.7%) and against CDNS's own history. Strong, stable readings often indicate durable competitive advantage; volatile or declining ones deserve a closer look at margins and capital efficiency.
Start with the current profit margin of 21.18%, then check the historical chart for trend and the peer comparison chart for relative positioning. The Technology average is 33.7%. From there, open related valuation or income-statement pages for Cadence Design Systems, and consider following CDNS for alerts when major investors trade the stock.