Generation Investment Management LLP Cuts Stock Holdings in Synopsys, Inc. $SNPS

Generation Investment Management LLP cut its position in shares of Synopsys, Inc. (NASDAQ:SNPS) by 23.0% during the third quarter, according to its most recent Form 13F filing with the SEC. The institutional investor owned 416,295 shares of the semiconductor company’s stock after selling 124,026 shares during the period. Synopsys accounts for 1.4% of Generation Investment Management LLP’s holdings, making the stock its 20th biggest position. Generation Investment Management LLP owned about 0.22% of Synopsys worth $205,396,000 at the end of the most recent reporting period.

A number of other institutional investors and hedge funds also recently added to or reduced their stakes in SNPS. Alpine Bank Wealth Management boosted its stake in shares of Synopsys by 89.3% during the 3rd quarter. Alpine Bank Wealth Management now owns 53 shares of the semiconductor company’s stock worth $26,000 after acquiring an additional 25 shares in the last quarter. TFC Financial Management Inc. raised its holdings in Synopsys by 1,250.0% in the 3rd quarter. TFC Financial Management Inc. now owns 54 shares of the semiconductor company’s stock worth $27,000 after purchasing an additional 50 shares during the period. Millstone Evans Group LLC purchased a new position in Synopsys during the third quarter worth approximately $27,000. SOA Wealth Advisors LLC. acquired a new stake in Synopsys in the third quarter valued at approximately $28,000. Finally, McIlrath & Eck LLC purchased a new stake in shares of Synopsys in the third quarter valued at approximately $29,000. Hedge funds and other institutional investors own 85.47% of the company’s stock.

Wall Street Analyst Weigh In

Several equities research analysts recently commented on SNPS shares. Bank of America raised shares of Synopsys from an “underperform” rating to a “neutral” rating and cut their price target for the stock from $525.00 to $500.00 in a report on Monday, December 8th. HSBC cut shares of Synopsys from a “buy” rating to a “hold” rating and set a $455.00 target price for the company. in a research note on Friday. Wall Street Zen upgraded Synopsys from a “sell” rating to a “hold” rating in a report on Saturday, December 13th. Needham & Company LLC increased their target price on Synopsys from $550.00 to $580.00 and gave the company a “buy” rating in a report on Thursday, December 11th. Finally, Piper Sandler lowered Synopsys from an “overweight” rating to a “neutral” rating and lowered their price target for the stock from $602.00 to $520.00 in a research note on Tuesday, January 13th. Nine investment analysts have rated the stock with a Buy rating, seven have issued a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat, Synopsys has an average rating of “Hold” and a consensus target price of $547.00.

Insiders Place Their Bets

In other news, insider Janet Lee sold 250 shares of the company’s stock in a transaction on Monday, January 12th. The stock was sold at an average price of $530.00, for a total value of $132,500.00. Following the transaction, the insider owned 11,959 shares of the company’s stock, valued at $6,338,270. This represents a 2.05% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, CFO Shelagh Glaser sold 3,657 shares of the stock in a transaction on Friday, December 19th. The stock was sold at an average price of $460.77, for a total value of $1,685,035.89. Following the transaction, the chief financial officer owned 17,842 shares of the company’s stock, valued at approximately $8,221,058.34. This represents a 17.01% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold 4,157 shares of company stock worth $1,945,036 in the last 90 days. Company insiders own 0.62% of the company’s stock.

Synopsys Price Performance

Shares of SNPS stock opened at $420.82 on Tuesday. The company has a debt-to-equity ratio of 0.48, a current ratio of 1.62 and a quick ratio of 1.52. The company has a market capitalization of $80.61 billion, a PE ratio of 52.67, a price-to-earnings-growth ratio of 3.66 and a beta of 1.12. The firm’s 50-day moving average is $473.38 and its two-hundred day moving average is $480.49. Synopsys, Inc. has a 12 month low of $365.74 and a 12 month high of $651.73.

Synopsys (NASDAQ:SNPS) last announced its quarterly earnings results on Wednesday, December 10th. The semiconductor company reported $2.90 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.79 by $0.11. Synopsys had a net margin of 18.89% and a return on equity of 7.89%. The business had revenue of $2.25 billion during the quarter, compared to the consensus estimate of $2.25 billion. During the same quarter last year, the firm earned $3.40 EPS. The business’s revenue was up 37.8% compared to the same quarter last year. Synopsys has set its FY 2026 guidance at 14.320-14.400 EPS and its Q1 2026 guidance at 3.520-3.580 EPS. Analysts predict that Synopsys, Inc. will post 10.64 earnings per share for the current year.

Synopsys Profile

Synopsys, Inc is a leading provider of electronic design automation (EDA) software and semiconductor intellectual property (IP) used to design, verify and manufacture integrated circuits and complex systems-on-chip (SoCs). Its product portfolio spans tools and technologies for front‑end design and synthesis, simulation and verification, physical implementation and signoff, and design-for-manufacturability, enabling chip designers to move from architecture through tape‑out.

In addition to core EDA offerings, Synopsys supplies a broad set of semiconductor IP building blocks — such as interface, memory and analog/mixed-signal cores — that customers integrate into SoCs to accelerate development.