Cadence falls as China market tensions overshadow raised annual forecasts

Shares of chip design software provider Cadence Design Systems CDNS.O fell 1.7% to $282.01 in extended trading

CEO says expect annual revenue from China to be flat at the midpoint of guidance

Sino-U.S. trade war hurting revenue from key China market; sales to China accounted for about 11% of total revenue in the first quarter, down from 12% in the year-ago period

CDNS now expects 2025 revenue between $5.15 billion and $5.23 billion vs ests of $5.19 billion, up from its prior forecast of $5.14 billion to $5.22 billion — LSEG

CDNS forecast second-quarter revenue in line with estimates; expects revenue between $1.25 billion and $1.27 billion vs ests of $1.26 billion

Co expects Q2 adjusted EPS in the range of $1.55 to $1.61 per share vs ests of $1.58 each

CDNS reports first-quarter revenue of $1.24 billion, in line with estimates, while adjusted profit of $1.57 per share beat estimates of $1.49.

Analysts' average rating on the stock is "buy"; median PT is $320.00

CDNS down ~4.5% YTD