Net Income per Share

12 Months Ended

Dec. 28, 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 fiscal 2019, 2018 and 2017 are as follows:

	2019		2018		2017
	(In thousands, except per share amounts)
Net income	$	988,979	$	345,777	$	204,101
Weighted-average common shares used to calculate basic net income per share	273,239		273,729		272,097
Stock-based awards	7,276		7,415		8,124
Weighted-average common shares used to calculate diluted net income per share	280,515		281,144		280,221
Net income per share – basic	$	3.62	$	1.26	$	0.75
Net income per share – diluted	$	3.53	$	1.23	$	0.73

The following table presents shares of Cadence’s common stock outstanding for fiscal 2019, 2018 and 2017 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: 

	2019	2018	2017
	(In thousands)
Long-term market-based awards	1,097	50	152
Options to purchase shares of common stock	359	637	303
Non-vested shares of restricted stock	727	290	77
Total potential common shares excluded	2,183	977	532