Cadence Design Systems Inc. (NASDAQ:CDNS) is one of the 10 Best High-Bandwidth Memory (HBM4) Value Chain Stocks to Buy According to Hedge Funds.
AI chips that require high-bandwidth memory also demand cutting-edge packaging simulation techniques and verification tools
Cadence Design Systems Inc. (NASDAQ:CDNS) provides exactly this, making it a direct beneficiary of the HBM boom. Among important developments, on June 8, Cadence announced an expanded collaboration with Intel Foundry. This partnership will enable chipmakers to create faster and more efficient chips using Intel’s 14A manufacturing technology.
The multi-year agreement combines Cadence’s agentic, AI-driven EDA and Design IP solutions with Intel’s advanced technology, helping customers create semiconductor products more quickly and efficiently. Similarly, on June 1, Wells Fargo analyst Joseph Quatrochi reaffirmed a Buy rating on the stock and assigned a target price of $425. On May 27, Nay Soe, an analyst at Berenberg, raised the firm’s target price on Cadence Design Systems Inc. (NASDAQ:CDNS) from $400 to $440 and maintained a Buy rating on the stock.