April 27 - Cadence Design Systems ( CDNS ) raised its

full-year revenue forecast on Monday, betting that sustained,

heavy investment in specialized artificial intelligence

processors will continue to drive demand for its chip-design

tools.

Demand for Cadence's electronic design automation (EDA)

software and hardware has surged as chipmakers and tech giants

like Google and Amazon ( AMZN ) design increasingly

complex systems-on-a-chip (SoCs) and AI accelerators.

Cadence is one of the dominant players in the EDA industry,

providing the essential software and hardware used to design and

verify semiconductors and electronic systems. Its customers

include leading AI-chip manufacturer Nvidia ( NVDA ) and Apple ( AAPL )

, among others.

The company now expects fiscal 2026 revenue between $6.13

billion and $6.23 billion, compared with its prior projection of

$5.9 billion to $6 billion.

Annual adjusted profit per share, however, is forecast

between $7.85 and $7.95, below the company's earlier forecast of

$8.05 to $8.15.

Cadence is partnering with Nvidia ( NVDA ) to integrate its physics

engines, which predict how real-world materials interact, with

AI models designed to train robots inside computer simulations.

Earlier this year, the company introduced an agent that handles

the early phases of designing a chip, in which the processor's

circuit is designed in a language that looks like computer

code.

Cadence reported first-quarter revenue of $1.47 billion, beating

analysts' estimates of $1.45 billion, according to data compiled

by LSEG.

Quarterly adjusted profit of $1.96 per share came in above

estimates of $1.90 per share.