Net Income per Share

3 Months Ended

Mar. 30, 2019

Earnings Per Share [Abstract]

NET INCOME PER SHARE

NET INCOME PER SHARE

Basic net income per share is computed by dividing net income during the period by the weighted-average number of shares of common stock outstanding during that period, less unvested restricted stock awards. Diluted net income per share is impacted by equity instruments considered to be potential common shares, if dilutive, computed using the treasury stock method of accounting.

The calculations for basic and diluted net income per share for the three months ended March 30, 2019 and March 31, 2018 are as follows:

	Three Months Ended
	March 30, 2019		March 31, 2018
	(In thousands, except per share amounts)
Net income	$	120,555	$	72,885
Weighted average common shares used to calculate basic net income per share	273,066		273,773
Stock-based awards	7,549		7,878
Weighted average common shares used to calculate diluted net income per share	280,615		281,651
Net income per share - basic	$	0.44	$	0.27
Net income per share - diluted	$	0.43	$	0.26

The following table presents shares of Cadence’s common stock outstanding for the three months ended March 30, 2019 and March 31, 2018 that were excluded from the computation of diluted net income per share because the effect of including these shares in the computation of diluted net income per share would have been anti-dilutive:

	Three Months Ended
	March 30, 2019	March 31, 2018
	(In thousands)
Long-term performance-based stock awards	228	150
Options to purchase shares of common stock	242	416
Non-vested shares of restricted stock	122	279
Total potential common shares excluded	592	845