Synopsys (NASDAQ:SNPS) Issues FY 2026 Earnings Guidance

Synopsys (NASDAQ:SNPS) issued an update on its FY 2026 earnings guidance on Wednesday morning. The company provided earnings per share guidance of 14.380-14.460 for the period, compared to the consensus earnings per share estimate of 12.670. The company issued revenue guidance of $9.6 billion-$9.7 billion, compared to the consensus revenue estimate of $9.6 billion. Synopsys also updated its Q2 2026 guidance to 3.110-3.170 EPS.

Synopsys Stock Up 1.9%

SNPS stock traded up $8.45 during midday trading on Wednesday, hitting $449.17. The stock had a trading volume of 2,752,252 shares, compared to its average volume of 2,156,990. The business has a 50-day moving average of $472.93 and a two-hundred day moving average of $479.23. 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 firm has a market cap of $86.04 billion, a price-to-earnings ratio of 56.22, a price-to-earnings-growth ratio of 3.50 and a beta of 1.12. Synopsys has a 52-week low of $365.74 and a 52-week high of $651.73.

Synopsys (NASDAQ:SNPS) last released its earnings results on Wednesday, February 25th. The semiconductor company reported $3.77 earnings per share for the quarter, topping analysts’ consensus estimates of $3.57 by $0.20. Synopsys had a net margin of 18.89% and a return on equity of 7.89%. The firm had revenue of $2.41 billion for the quarter, compared to the consensus estimate of $2.39 billion. Synopsys has set its FY 2026 guidance at 14.380-14.460 EPS and its Q2 2026 guidance at 3.110-3.170 EPS. As a group, equities research analysts forecast that Synopsys will post 10.64 earnings per share for the current fiscal year.

Analyst Upgrades and Downgrades

SNPS has been the topic of several analyst reports. Needham & Company LLC boosted their target price on Synopsys from $550.00 to $580.00 and gave the stock a “buy” rating in a report on Thursday, December 11th. Zacks Research raised shares of Synopsys from a “strong sell” rating to a “hold” rating in a research report on Monday, November 10th. KeyCorp raised their price objective on shares of Synopsys from $575.00 to $600.00 and gave the company an “overweight” rating in a research note on Thursday, December 11th. Piper Sandler cut shares of Synopsys from an “overweight” rating to a “neutral” rating and decreased their target price for the stock from $602.00 to $520.00 in a report on Tuesday, January 13th. Finally, Wells Fargo & Company increased their price target on shares of Synopsys from $445.00 to $500.00 and gave the company an “equal weight” rating in a report on Thursday, December 11th. Nine research analysts have rated the stock with a Buy rating, seven have assigned a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat, the company presently has an average rating of “Hold” and an average price target of $547.00.

Insider Buying and Selling

In related news, CFO Shelagh Glaser sold 3,657 shares of the firm’s stock in a transaction that occurred on Friday, December 19th. The shares were sold at an average price of $460.77, for a total value of $1,685,035.89. Following the sale, the chief financial officer owned 17,842 shares in the company, valued at approximately $8,221,058.34. This trade represents a 17.01% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, insider Janet Lee sold 250 shares of Synopsys stock in a transaction that occurred on Monday, January 12th. The stock was sold at an average price of $530.00, for a total transaction of $132,500.00. Following the completion of the sale, the insider directly owned 11,959 shares of the company’s stock, valued at approximately $6,338,270. This trade represents a 2.05% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last 90 days, insiders have sold 4,157 shares of company stock worth $1,945,036. 0.62% of the stock is owned by insiders.

Hedge Funds Weigh In On Synopsys

A number of institutional investors and hedge funds have recently made changes to their positions in the business. Caitong International Asset Management Co. Ltd bought a new position in Synopsys in the fourth quarter worth approximately $28,000. Atlas Capital Advisors Inc. bought a new position in Synopsys in the 4th quarter worth approximately $32,000. Kemnay Advisory Services Inc. purchased a new position in shares of Synopsys in the fourth quarter worth $35,000. Greenline Wealth Management LLC bought a new stake in Synopsys in the 4th quarter valued at $37,000. Finally, WealthCollab LLC lifted its stake in Synopsys by 110.8% in the 3rd quarter. WealthCollab LLC now owns 78 shares of the semiconductor company’s stock worth $38,000 after purchasing an additional 41 shares in the last quarter. Hedge funds and other institutional investors own 85.47% of the company’s stock.

Synopsys Company 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.