Cadence Design Systems Inc. CDNS is scheduled to release second-quarter 2021 results on Jul 26.For the second quarter, Cadence expects total revenues in the range of $705-$725 million. The Zacks Consensus Estimate for revenues is currently pegged at $715.8 million, suggesting 12.1% year-over-year growth.Management projects non-GAAP earnings in the range of 74-78 cents per share. The consensus mark for second-quarter earnings has been steady at 75 cents in the past 30 days, indicating a rise of 13.6% from the prior-year quarter’s reported figure.The company has trailing-four quarter earnings surprise of 16.13%, on average.Cadence Design Systems, Inc. Price and EPS Surprise Cadence Design Systems, Inc. price-eps-surprise | Cadence Design Systems, Inc. Quote Factors Likely to Have Influenced Q2 EarningsCadence’s second-quarter top line is likely to have gained from strong pipeline of its digital & signoff, custom & analog and IP solutions as well as an improving backlog.Acceleration in chip design activity along with increasing system design complexity are expected to have boosted demand for Cadence’s system design and verification solutions among semiconductor companies in the to-be-reported quarter.Evolution of semiconductor manufacturing processes from 10 nm (nanometer) to 7 nm and even 5 nm technology is likely to have bolstered uptake and driven the company’s second-quarter performance.In April 2021, Cadence unveiled Palladium Z2 and Protium X2 solutions that offer two times more capacity and offer 1.5 times improved performance than the prior generation — Palladium Z1 and Protium X1. Palladium Z2 and the Protium X2 systems are already being deployed by the likes of NVIDIA NVDA and Advanced Micro Devices for validating system-on-chip (“SoC”) and GPU designs.During the first quarter of 2021, Cadence unveiled Sigrity X solutions that offers up to 10 times improved performance for system level simulations for applications across 5G, hyperscale, automotive and aerospace domains.Healthy adoption of these new solutions along with the company’s other products like Xcelium Logic, Spectre X, Smart JasperGold and Tensilica Vision Q7 is likely to have positively contributed to the company’s performance in the second quarter. Strength in the company’s simulation solution Clarity 3D Transient Solver under its System Analysis Portfolio bodes well.Acquisition of Pointwise and NUMECA are anticipated to have positively contributed to second-quarter performance.In April 2021, Cadence completed the acquisition of Pointwise, which specializes in mesh generation software for computational fluid dynamics (CFD). The company’s solutions are being leveraged by firms in the aerospace sector. Pointwise complements Cadence’s earlier buyout of NUMECA International (February 2021).Increasing customer base is instilling investors’ optimism on the stock. Shares of Cadence, which carries a Zacks Rank #3 (Hold), have gained 36.8% in the past year compared with the industry’s rally of 36.1%.You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.Management expects that resurgence in COVID-19 infections across several parts of the world, including India, along with ongoing chip capacity constraints to dent performance in the IP segment. Increasing expenses on product development amid stiff competition from peers like Synopsys SNPS and ANSYS ANSS might have impeded margin expansion in the second quarter. Bitcoin, Like the Internet Itself, Could Change Everything Blockchain and cryptocurrency has sparked one of the most exciting discussion topics of a generation. Some call it the “Internet of Money” and predict it could change the way money works forever. If true, it could do to banks what Netflix did to Blockbuster and Amazon did to Sears. Experts agree we’re still in the early stages of this technology, and as it grows, it will create several investing opportunities. Zacks’ has just revealed 3 companies that can help investors capitalize on the explosive profit potential of Bitcoin and the other cryptocurrencies with significantly less volatility than buying them directly. See 3 crypto-related stocks now >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report NVIDIA Corporation (NVDA): Free Stock Analysis Report Synopsys, Inc. (SNPS): Free Stock Analysis Report Cadence Design Systems, Inc. (CDNS): Free Stock Analysis Report ANSYS, Inc. (ANSS): Free Stock Analysis Report To read this article on Zacks.com click here.