Jim Cramer on Cadence: “If It Comes Down, It’s a Buy”

Jim Cramer on Cadence: “If It Comes Down, It’s a Buy” Syeda Seirut Javed Wed, June 17, 2026 at 6:53 PM GMT+2 2 min read CDNS Cadence Design Systems, Inc. (NASDAQ: CDNS ) was among Jim Cramer’s stock calls on Mad Money, as he highlighted worthy space players and reviewed several of this year’s IPOs . Toward the end of the lightning round, a caller inquired if they should buy more, hold, or sell the stock.

Cramer replied: Cadence is a hold, and if it comes down, it’s a buy. This is a company, by the way, that Lip-Bu Tan used to run, and it is sensational. I love it, and we’ve had them on.

They’re real smart guys. Stock market data. Photo by Jakub Zerdzicki on Pexels Cadence Design Systems, Inc.

(NASDAQ:CDNS) creates AI-powered software, hardware, and silicon IP for designing and verifying complex electronic systems, such as chips and Printed Circuit Boards. Cramer discussed the stock during the February 23 episode and said: So where do I come out on this? Look, I think you need to take the competitive threat from AI very seriously, and when we’re talking about traditional enterprise software stocks.

But some of these groups… let’s say they’re more threatened than others. Cadence Design Systems, which makes design software, and Datadog, a data monitoring and analytics platform, have both been able to rally after really good quarters. That tells me there is a floor for some of these, the ones that are more insulated from AI disruption.

While we acknowledge the potential of CDNS as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock . READ NEXT: 33 Stocks That Should Double in 3 Years and 15 Stocks That Will Make You Rich in 10 Years   Disclosure: None.

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