Cadence Design Systems Inc

CDNS is in a Stage 4 decline with confirmed lower highs and lower lows, trading below all major EMAs on expanding down-volume. The active Support Failure pattern signals loss of buyer absorption, and price shows no signs of exhausted selling despite extreme oversold readings. Medium-term directional bias is bearish, and execution favors selling into any short-covering rallies around the 9/21EMA resistance zone.

• ↑Q1 revenue $1.47B (+19% YoY), driven by AI-related bookings
• ↑Non-GAAP operating margin at 45% demonstrates strong cost control
• ↓Negative earnings yield highlights weak returns on invested capital