Market Cap: 91.0714B; Large Cap
P/E Ratio: 108.59; Fwd: 32.57
EPS (TTM): $4.38
Div. Yield: N/A

SN

SNPSNASDAQ— Synopsys Inc Price & Analysis

Synopsys Inc

TECHNOLOGY — SOFTWARE - INFRASTRUCTURE

$465.27

-$8.21-1.73%

Market Cap: 91.0714B; Large Cap
P/E Ratio: 108.59; Fwd: 32.57
EPS (TTM): $4.38
Div. Yield: N/A

Technical Summary

RSI (14)41.85Neutral

SMA (50)$470.99Bearish

SMA (200)$464.57Bullish

MACD-1.4705Bearish

Bollinger$460.66 – $536.18Mid

Stochastic14.13Oversold

Theo Outlook

Synopsys Inc (SNPS) presents a bullish thesis supported by its $95.36 billion market capitalization, trailing P/E of 113.96, forward P/E of 34.84, EPS of $4.37, and robust 41.9% year-over-year quarterly revenue growth to $8.68 billion TTM, reflecting strong demand in electronic design automation amid AI chip proliferation despite elevated valuation multiples. Key catalysts include Synopsys' leadership in silicon design and verification tools, expanding AI-optimized IP portfolios, and momentum from semiconductor industry tailwinds, with analyst target price at $560.38 and 17 buy/strong buy ratings driving potential upside as design complexity increases. Risks encompass high valuation vulnerability to macro slowdowns in semiconductors, intense competition from Cadence Design Systems, and regulatory scrutiny on tech IP; these are mitigated by 90.9% institutional ownership, diversified revenue streams, and proven resilience shown in 0.419 quarterly revenue growth. Analysis generated by HeyTheo AI based on SEC filings, earnings transcripts, and market data.

Theo Outlook

Synopsys Inc (SNPS) presents a bullish thesis supported by its $95.36 billion market capitalization, trailing P/E of 113.96, forward P/E of 34.84, EPS of $4.37, and robust 41.9% year-over-year quarterly revenue growth to $8.68 billion TTM, reflecting strong demand in electronic design automation amid AI chip proliferation despite elevated valuation multiples. Key catalysts include Synopsys' leadership in silicon design and verification tools, expanding AI-optimized IP portfolios, and momentum from semiconductor industry tailwinds, with analyst target price at $560.38 and 17 buy/strong buy ratings driving potential upside as design complexity increases. Risks encompass high valuation vulnerability to macro slowdowns in semiconductors, intense competition from Cadence Design Systems, and regulatory scrutiny on tech IP; these are mitigated by 90.9% institutional ownership, diversified revenue streams, and proven resilience shown in 0.419 quarterly revenue growth. Analysis generated by HeyTheo AI based on SEC filings, earnings transcripts, and market data.

Company Overview

Synopsys is an American electronic design automation company that focuses on silicon design and verification, silicon intellectual property and software security and quality. Products include logic synthesis, behavioral synthesis, place and route, static timing analysis, formal verification, hardware description language (SystemC, SystemVerilog/Verilog, VHDL) simulators, and transistor-level circuit simulation.

Fundamental Snapshot

Revenue: 8.6794B
EBITDA: 1.6963B
Gross Profit: 7.1691B
Operating Margin: 10.4%
Profit Margin: 8.9%
ROE: 3.8%
Book Value: $159.2
Beta: 1.245
52-Wk High: $651.73
52-Wk Low: $376.18
Avg Volume: 2.5346M
PEG Ratio: 3.017

Frequently Asked Questions

What is Synopsys' business model?

Synopsys operates as a leading provider of electronic design automation (EDA) software, silicon IP, and security solutions for chip design and verification. It generates revenue primarily through software licenses, maintenance, and professional services, serving semiconductor and electronics companies globally.

What are Synopsys' main revenue sources?

The company's $8.68 billion TTM revenue comes mainly from EDA tools (logic synthesis, simulation, place-and-route), silicon IP licensing, and software security products. Quarterly revenue grew 41.9% YoY, underscoring strength in design and verification segments.

What are Synopsys' key competitive advantages?

Trading Data

Open: $475.81
Previous Close: $473.48
Day Range: $451 – $487.55
Volume: 2.1659M
Shares Outstanding: 191.479M
Analyst Target: $559.61

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Company Overview

Synopsys is an American electronic design automation company that focuses on silicon design and verification, silicon intellectual property and software security and quality. Products include logic synthesis, behavioral synthesis, place and route, static timing analysis, formal verification, hardware description language (SystemC, SystemVerilog/Verilog, VHDL) simulators, and transistor-level circuit simulation.

Fundamental Snapshot

Revenue: 8.6794B
EBITDA: 1.6963B
Gross Profit: 7.1691B
Operating Margin: 10.4%
Profit Margin: 8.9%
ROE: 3.8%
Book Value: $159.2
Beta: 1.245
52-Wk High: $651.73
52-Wk Low: $376.18
Avg Volume: 2.5346M
PEG Ratio: 3.017

Frequently Asked Questions

What is Synopsys' business model?

Synopsys operates as a leading provider of electronic design automation (EDA) software, silicon IP, and security solutions for chip design and verification. It generates revenue primarily through software licenses, maintenance, and professional services, serving semiconductor and electronics companies globally.

What are Synopsys' main revenue sources?

The company's $8.68 billion TTM revenue comes mainly from EDA tools (logic synthesis, simulation, place-and-route), silicon IP licensing, and software security products. Quarterly revenue grew 41.9% YoY, underscoring strength in design and verification segments.

What are Synopsys' key competitive advantages?

Synopsys holds a dominant position in EDA with comprehensive tool suites and IP portfolios that reduce design time for complex AI chips. Its $95.36B market cap, 90.9% institutional ownership, and 1.245 beta reflect strong moats versus competitors like Cadence.

What are the main risks for SNPS investors?

Key risks include elevated valuation (trailing P/E 113.96) sensitive to semiconductor cycles, competition, and macro headwinds. Mitigants include forward P/E compression to 34.84, diversified offerings, and analyst consensus target of $560.38 with 17 buy ratings.

What is the growth outlook for Synopsys?

Growth is driven by AI chip demand and design complexity, with 41.9% YoY revenue growth and EPS of $4.37. Analysts project continued expansion, supported by product innovation and market share gains in a $560+ target price environment.