Synopsys, Inc. (NASDAQ:SNPS) Given Average Rating of “Moderate Buy” by Brokerages

Synopsys, Inc. (NASDAQ:SNPS) has earned a consensus rating of “Moderate Buy” from the eighteen research firms that are covering the stock, MarketBeat Ratings reports. One equities research analyst has rated the stock with a sell recommendation, six have assigned a hold recommendation and eleven have given a buy recommendation to the company. The average twelve-month price target among analysts that have issued a report on the stock in the last year is $562.1333.

A number of research firms have recently commented on SNPS. Piper Sandler lowered their price objective on shares of Synopsys from $630.00 to $602.00 and set an “overweight” rating for the company in a research note on Thursday, December 11th. KeyCorp boosted their price target on Synopsys from $575.00 to $600.00 and gave the company an “overweight” rating in a research report on Thursday, December 11th. Needham & Company LLC raised their price objective on Synopsys from $550.00 to $580.00 and gave the stock a “buy” rating in a report on Thursday, December 11th. Weiss Ratings reaffirmed a “hold (c)” rating on shares of Synopsys in a research note on Wednesday, October 8th. Finally, Wall Street Zen upgraded Synopsys from a “sell” rating to a “hold” rating in a report on Saturday, December 13th.

Synopsys Trading Down 1.2%

Shares of SNPS stock opened at $475.47 on Wednesday. The business’s fifty day moving average price is $435.49 and its 200 day moving average price is $504.13. The firm has a market capitalization of $88.32 billion, a PE ratio of 59.51, a P/E/G ratio of 4.00 and a beta of 1.16. The company has a debt-to-equity ratio of 0.48, a current ratio of 1.62 and a quick ratio of 1.52. Synopsys has a 1-year low of $365.74 and a 1-year high of $651.73.

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

Synopsys News Roundup

Here are the key news stories impacting Synopsys this week:

• Positive Sentiment: Large institutional buying and supportive analyst coverage that point to continuing demand and a median Wall Street target near $570 — a constructive backdrop for longer‑term holders. Read More.
• Positive Sentiment: Long‑term performance narrative — analyses showing strong 10–15 year total returns for SNPS can attract buy‑and‑hold investors and support valuation multiples. Read More.
• Neutral Sentiment: Market chatter about a reported $2 billion Nvidia investment into Synopsys is creating optimism around AI/chip‑design synergies — the story is influential if confirmed but remains unverified rumor‑level for now. Read More.
• Negative Sentiment: Multiple law firms have filed or publicized securities‑class action notices alleging violations tied to a sharp post‑September decline; lead‑plaintiff deadlines around Dec. 30 raise near‑term headline and litigation risk that can pressure the stock and increase uncertainty for investors. Read More.
• Negative Sentiment: Insider selling: CFO Shelagh Glaser sold 3,657 shares on Dec. 19 (~$460.77 avg), reducing her position ~17% — routine insider sales can nonetheless be interpreted negatively when paired with active litigation headlines. Read More.

Insiders Place Their Bets

In other Synopsys news, CFO Shelagh Glaser sold 3,657 shares of Synopsys stock in a transaction that occurred on Friday, December 19th. The stock was sold at an average price of $460.77, for a total transaction of $1,685,035.89. Following the sale, the chief financial officer directly owned 17,842 shares in the company, valued at $8,221,058.34. The trade was a 17.01% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. 0.62% of the stock is currently owned by corporate insiders.

Institutional Trading of Synopsys

A number of institutional investors and hedge funds have recently modified their holdings of SNPS. Symphony Financial Ltd. Co. lifted its holdings in shares of Synopsys by 4,780.9% during the second quarter. Symphony Financial Ltd. Co. now owns 40,219 shares of the semiconductor company’s stock valued at $20,638,000 after acquiring an additional 39,395 shares during the period. HBW Advisory Services LLC increased its position in shares of Synopsys by 494.9% during the 2nd quarter. HBW Advisory Services LLC now owns 3,611 shares of the semiconductor company’s stock worth $1,851,000 after purchasing an additional 3,004 shares in the last quarter. Bank of New York Mellon Corp lifted its holdings 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 valued at $691,035,000 after purchasing an additional 4,815 shares during the last quarter. Westbourne Investments Inc. acquired a new position in Synopsys in the second quarter valued at about $1,505,000. Finally, Mirae Asset Global Investments Co. Ltd. boosted its position in Synopsys by 1.7% in the second quarter. Mirae Asset Global Investments Co. Ltd. now owns 178,786 shares of the semiconductor company’s stock valued at $91,660,000 after buying an additional 2,991 shares in the last quarter. 85.47% of the stock is owned by institutional investors and hedge funds.

About Synopsys

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.