Synopsys (NASDAQ:SNPS) Trading 6.3% Higher – Here’s What Happened

Synopsys, Inc. (NASDAQ:SNPS) traded up 6.3% on Friday . The stock traded as high as $495.00 and last traded at $485.5510. 394,878 shares were traded during mid-day trading, a decline of 81% from the average session volume of 2,075,959 shares. The stock had previously closed at $456.85.

Wall Street Analyst Weigh In

Several equities analysts have recently weighed in on the company. The Goldman Sachs Group set a $600.00 price target on Synopsys and gave the company a “buy” rating in a research report on Wednesday, February 25th. Wells Fargo & Company reduced their price target on Synopsys from $500.00 to $450.00 and set an “equal weight” rating for the company in a research report on Thursday, February 26th. Weiss Ratings reiterated a “hold (c)” rating on shares of Synopsys in a research report on Thursday, January 22nd. HSBC lowered Synopsys from a “buy” rating to a “hold” rating and set a $455.00 price objective for the company. in a research note on Friday, February 20th. Finally, Morgan Stanley reissued an “equal weight” rating and set a $480.00 price objective (down from $550.00) on shares of Synopsys in a research note on Wednesday, February 25th. Eight research analysts have rated the stock with a Buy rating, eight have given a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat.com, the company presently has an average rating of “Hold” and a consensus price target of $531.00.

Synopsys Stock Performance

The company has a debt-to-equity ratio of 0.33, a current ratio of 1.36 and a quick ratio of 1.26. The company has a 50 day simple moving average of $426.02 and a 200-day simple moving average of $445.10. The stock has a market cap of $95.94 billion, a P/E ratio of 77.77, a price-to-earnings-growth ratio of 3.73 and a beta of 1.15.

Synopsys (NASDAQ:SNPS) last released its earnings results on Wednesday, February 25th. The semiconductor company reported $3.77 earnings per share for the quarter, beating analysts’ consensus estimates of $3.56 by $0.21. Synopsys had a return on equity of 6.83% and a net margin of 13.76%.The company had revenue of $2.41 billion during the quarter, compared to analyst estimates of $2.39 billion. During the same quarter in the previous year, the company posted $3.03 EPS. Synopsys’s revenue for the quarter was up 65.6% on a year-over-year basis. Synopsys has set its FY 2026 guidance at 14.380-14.460 EPS and its Q2 2026 guidance at 3.110-3.170 EPS. On average, equities analysts expect that Synopsys, Inc. will post 10.3 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently made changes to their positions in the company. Vanguard Group Inc. grew its stake in shares of Synopsys by 1.6% in the 4th quarter. Vanguard Group Inc. now owns 18,464,862 shares of the semiconductor company’s stock worth $8,673,315,000 after buying an additional 283,677 shares during the last quarter. State Street Corp grew its stake in shares of Synopsys by 0.3% in the 4th quarter. State Street Corp now owns 8,788,890 shares of the semiconductor company’s stock worth $4,128,317,000 after buying an additional 28,532 shares during the last quarter. Morgan Stanley grew its stake in shares of Synopsys by 2.5% in the 4th quarter. Morgan Stanley now owns 4,573,980 shares of the semiconductor company’s stock worth $2,148,491,000 after buying an additional 109,917 shares during the last quarter. Geode Capital Management LLC grew its stake in shares of Synopsys by 1.3% in the 4th quarter. Geode Capital Management LLC now owns 4,310,846 shares of the semiconductor company’s stock worth $2,017,256,000 after buying an additional 54,329 shares during the last quarter. Finally, Victory Capital Management Inc. grew its stake in shares of Synopsys by 238.8% in the 3rd quarter. Victory Capital Management Inc. now owns 2,824,349 shares of the semiconductor company’s stock worth $1,393,506,000 after buying an additional 1,990,608 shares during 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.