The stock market fell on Friday as renewed worries about AI valuations pressured technology stocks, prompting some investors to shift into more traditional, value-oriented sectors.
Overall, S&P 500 fell 1.1% to 6,827, while NASDAQ dropped 1.7% to 23,195.
Chart of the Day
Here is the one-year chart of Cadence Design Systems (CDNS) as of November 10, 2025, when the stock was at $325.
Cadence Design Systems had solid momentum across its businesses as more companies are building AI chips, robots, self-driving tech, and advanced electronics. They rely on the company’s software to design all of it.
Last quarter, Cadence Design Systems managed to deliver 18% profit growth on 10% revenue growth. Management said its core Electric Design Automation (EDA) tools are in high demand since they help chipmakers design faster and fix problems automatically using AI.
Its Virtuoso and Spectre platforms also grew quickly because they make it easier for engineers to move designs to newer, more advanced chip technologies. Cadence Design Systems’ hardware systems — like the Palladium platform — had a record quarter as big AI companies used them to test large and complex chips before production, while its new AI tools — such as Cerebrus and SimAI — gained traction by saving engineers huge amounts of time through automated design and debugging. Management stated all of this puts them in a great position as the world builds more AI hardware and needs better tools to design it.
CDNS is part of our Growth Portfolio.
