Cadence Design Systems Inc (CDNS)

Return on equity (ROE)

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Net income (ttm)	US$ in thousands	1,041,144	957,637	889,621	855,421	848,952	785,139	775,141	744,121	695,955	693,114	678,437	653,825	590,644	1,076,581	1,016,465	992,412	988,979	427,729	425,533	393,447
Total stockholders’ equity	US$ in thousands	3,404,270	3,113,890	2,908,460	2,940,880	2,745,110	2,708,130	2,625,230	2,760,180	2,740,680	2,631,260	2,516,740	2,542,430	2,493,020	2,395,720	2,256,630	2,157,990	2,102,890	1,480,260	1,430,540	1,365,840
ROE		30.58%	30.75%	30.59%	29.09%	30.93%	28.99%	29.53%	26.96%	25.39%	26.34%	26.96%	25.72%	23.69%	44.94%	45.04%	45.99%	47.03%	28.90%	29.75%	28.81%

December 31, 2023 calculation

ROE = Net income (ttm) ÷ Total stockholders’ equity
= $1,041,144K ÷ $3,404,270K
= 30.58%

Cadence Design Systems, Inc.'s return on equity (ROE) has remained relatively stable and strong over the past eight quarters, with values ranging from 26.96% to 30.93%. This indicates that the company has been effectively utilizing its shareholders' equity to generate profits. The Q4 2023 ROE of 30.58% is slightly lower compared to the previous quarter, Q3 2023, which recorded an ROE of 30.75%. However, this minor decrease does not significantly impact the overall trend of consistent and healthy ROE values. Cadence Design Systems, Inc. appears to be efficiently generating returns for its shareholders, reflecting effective management of assets and the company's profitability.