Synopsys (NASDAQ:SNPS – Get Free Report) had its price objective lowered by equities research analysts at Rosenblatt Securities from $560.00 to $530.00 in a research report issued on Thursday,Benzinga reports. The firm currently has a “buy” rating on the semiconductor company’s stock. Rosenblatt Securities’ price target would indicate a potential upside of 28.02% from the stock’s current price.
SNPS has been the topic of several other research reports. The Goldman Sachs Group set a $600.00 price objective on Synopsys and gave the company a “buy” rating in a report on Wednesday. Morgan Stanley reiterated an “equal weight” rating and issued a $480.00 price target (down from $550.00) on shares of Synopsys in a report on Wednesday. Piper Sandler lowered their price objective on shares of Synopsys from $520.00 to $430.00 and set a “neutral” rating for the company in a research report on Thursday. KeyCorp boosted their price objective on shares of Synopsys from $575.00 to $600.00 and gave the company an “overweight” rating in a research report on Thursday, December 11th. Finally, Needham & Company LLC reaffirmed a “buy” rating on shares of Synopsys in a research note on Thursday. Eight research analysts have rated the stock with a Buy rating, eight have assigned a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, the company has an average rating of “Hold” and an average target price of $531.00.
Read Our Latest Stock Report on SNPS
Synopsys Stock Down 2.8%
Synopsys (NASDAQ:SNPS – Get Free Report) last released its quarterly earnings data on Wednesday, February 25th. The semiconductor company reported $3.77 EPS for the quarter, beating analysts’ consensus estimates of $3.56 by $0.21. The business had revenue of $2.41 billion during the quarter, compared to analysts’ expectations of $2.39 billion. Synopsys had a net margin of 13.76% and a return on equity of 7.49%. The firm’s quarterly revenue was up 65.6% on a year-over-year basis. During the same quarter in the prior year, the company earned $3.03 EPS. Synopsys has set its FY 2026 guidance at 14.380-14.460 EPS and its Q2 2026 guidance at 3.110-3.170 EPS. Analysts forecast that Synopsys will post 10.64 earnings per share for the current year.
Insiders Place Their Bets
In other news, insider Janet Lee sold 250 shares of the firm’s stock in a transaction dated Monday, January 12th. The stock was sold at an average price of $530.00, for a total value of $132,500.00. Following the completion of the transaction, the insider owned 11,959 shares in the company, valued at $6,338,270. This trade represents a 2.05% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, CFO Shelagh Glaser sold 3,657 shares of the company’s stock in a transaction dated 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 sale, the chief financial officer owned 17,842 shares in the company, valued at $8,221,058.34. The trade was a 17.01% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last ninety days, insiders sold 4,157 shares of company stock valued at $1,945,036. 0.62% of the stock is owned by insiders.
Institutional Inflows and Outflows
Several institutional investors have recently made changes to their positions in the stock. Stanley Laman Group Ltd. grew its position in shares of Synopsys by 542.9% in the third quarter. Stanley Laman Group Ltd. now owns 12,877 shares of the semiconductor company’s stock valued at $6,353,000 after purchasing an additional 10,874 shares during the last quarter. Symphony Financial Ltd. Co. grew its holdings in Synopsys by 4,780.9% in the 2nd quarter. Symphony Financial Ltd. Co. now owns 40,219 shares of the semiconductor company’s stock valued at $20,638,000 after buying an additional 39,395 shares in the last quarter. Bank of New York Mellon Corp increased its position in Synopsys by 0.4% during the 2nd quarter. Bank of New York Mellon Corp now owns 1,347,887 shares of the semiconductor company’s stock worth $691,035,000 after buying an additional 4,815 shares during the period. Empirical Asset Management LLC acquired a new stake in shares of Synopsys during the third quarter worth $773,000. Finally, Waverton Investment Management Ltd boosted its position in shares of Synopsys by 15.0% in the second quarter. Waverton Investment Management Ltd now owns 578,299 shares of the semiconductor company’s stock valued at $296,630,000 after acquiring an additional 75,374 shares during the period. Institutional investors and hedge funds own 85.47% of the company’s stock.
Synopsys News Summary
Here are the key news stories impacting Synopsys this week:
- Positive Sentiment: Q1 beat and AI-driven revenue surge — Synopsys reported Q1 revenue up ~65% and an EPS beat, driven by EDA demand and the Ansys deal; the results validate AI-led chip‑design tailwinds. Synopsys Q1 Earnings
- Positive Sentiment: Ansys integration expands long‑term TAM — Management and analysts highlight that combining EDA with Ansys simulation opens full‑system design markets (servers, autonomous systems), which could materially enlarge revenue opportunities over the medium term. Can AI Push in EDA & Ansys Integration?
- Positive Sentiment: Capital return and trader interest — Board approved a $2B buyback and there was high call‑option volume / large option trades, signaling bullish positioning by some traders. Those actions provide buy‑side support. Why Is Synopsys Stock Falling? Call Options Volume
- Neutral Sentiment: Analyst consensus still skewed positive, but stock has lagged peers — Wall Street average rating remains around “Buy” even as SNPS underperformed some tech peers over the past year, leaving room for divergence between sentiment and price action. How Is Synopsys’ Stock Performance Compared?
- Negative Sentiment: Guidance and China/export risks — Management flagged a muted near‑term quarter and a Q2 revenue guide that disappointed some investors; Reuters notes export restrictions to China as a headwind to visibility. Reuters: Muted Quarter
- Negative Sentiment: Integration costs, GAAP loss and IP weakness — Analysts and social commentary point to near‑term profitability pressure from Ansys deal costs, one‑time charges and workforce reductions, plus continued softness in the Design IP segment. QuiverQuant: Integration & IP Issues
- Negative Sentiment: Analyst price‑target trims — Several firms trimmed targets or moved to neutral/equal‑weight after the report (Piper Sandler, Wells Fargo, Rosenblatt adjustments), which can depress sentiment even if ratings remain constructive. Benzinga: Price Target Changes
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.
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