Synopsys (NASDAQ:SNPS) Price Target Lowered to $450.00 at Wells Fargo & Company

Synopsys (NASDAQ:SNPS) had its price objective lowered by Wells Fargo & Company from $500.00 to $450.00 in a report published on Thursday morning,Benzinga reports. Wells Fargo & Company currently has an equal weight rating on the semiconductor company’s stock.

A number of other brokerages have also recently weighed in on SNPS. Citigroup began coverage on shares of Synopsys in a report on Monday, November 24th. They set a “buy” rating and a $580.00 target price on the stock. HSBC lowered shares of Synopsys from a “buy” rating to a “hold” rating and set a $455.00 price objective on the stock. in a research note on Friday, February 20th. Piper Sandler decreased their target price on Synopsys from $520.00 to $430.00 and set a “neutral” rating for the company in a research note on Thursday. The Goldman Sachs Group set a $600.00 target price on Synopsys and gave the company a “buy” rating in a report on Wednesday. Finally, Rosenblatt Securities cut their price target on Synopsys from $560.00 to $530.00 and set a “buy” rating on the stock in a report on Thursday. Nine equities research analysts have rated the stock with a Buy rating, seven have issued a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat, the stock has an average rating of “Hold” and an average price target of $535.67.

Synopsys Trading Down 5.2%

Shares of NASDAQ SNPS opened at $426.00 on Thursday. The company has a quick ratio of 1.52, a current ratio of 1.62 and a debt-to-equity ratio of 0.48. The stock’s 50 day moving average price is $472.21 and its two-hundred day moving average price is $478.66. Synopsys has a 52-week low of $365.74 and a 52-week high of $651.73. The stock has a market capitalization of $81.60 billion, a P/E ratio of 66.15, a PEG ratio of 3.74 and a beta of 1.12.

Synopsys (NASDAQ:SNPS) last issued its quarterly 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 7.49% and a net margin of 13.76%.The business had revenue of $2.41 billion during the quarter, compared to the consensus estimate of $2.39 billion. During the same period in the previous year, the business earned $3.03 EPS. The business’s quarterly revenue 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, analysts anticipate that Synopsys will post 10.64 earnings per share for the current fiscal year.

Insider Buying and Selling

In other news, insider Janet Lee sold 250 shares of the stock in a transaction on 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 of the company’s stock, valued at approximately $6,338,270. This represents a 2.05% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this link. Also, CFO Shelagh Glaser sold 3,657 shares of Synopsys stock in a transaction dated Friday, December 19th. The shares were sold at an average price of $460.77, for a total transaction 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 represents a 17.01% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 4,157 shares of company stock valued at $1,945,036 over the last three months. Corporate insiders own 0.62% of the company’s stock.

Institutional Trading of Synopsys

A number of institutional investors have recently made changes to their positions in the stock. Vanguard Group Inc. raised its holdings in Synopsys by 20.7% during the third quarter. Vanguard Group Inc. now owns 18,181,185 shares of the semiconductor company’s stock worth $8,970,415,000 after purchasing an additional 3,120,401 shares in the last quarter. Victory Capital Management Inc. increased its position in shares of Synopsys by 238.8% during the 3rd quarter. Victory Capital Management Inc. now owns 2,824,349 shares of the semiconductor company’s stock valued at $1,393,506,000 after purchasing an additional 1,990,608 shares during the period. Coatue Management LLC bought a new stake in shares of Synopsys in the 3rd quarter worth $892,605,000. Capital Research Global Investors lifted its holdings in shares of Synopsys by 226.6% in the third quarter. Capital Research Global Investors now owns 2,524,512 shares of the semiconductor company’s stock valued at $1,245,533,000 after buying an additional 1,751,432 shares during the period. Finally, Norges Bank bought a new position in Synopsys during the fourth quarter valued at about $730,197,000. 85.47% of the stock is owned by institutional investors and hedge funds.

Key Stories Impacting Synopsys

Here are the key news stories impacting Synopsys this week:

• Positive Sentiment: Q1 beat and big revenue upside — Synopsys reported non‑GAAP EPS $3.77 (above estimates) and revenue of $2.409B, up ~65% YoY, driven by Design Automation and the Ansys contribution; headline results support longer‑term AI chip‑design demand. Synopsys Posts Financial Results for First Quarter Fiscal Year 2026
• Positive Sentiment: Better FY26 EPS outlook — management set FY26 non‑GAAP EPS guidance ~14.38–14.46, well above consensus, suggesting management sees stronger full‑year earnings even if near‑term revenue cadence is choppy. Synopsys’ FY26 guidance likely conservative as analysts reiterate strong ratings
• Positive Sentiment: $2.0B buyback — the board authorized up to $2B of repurchases, a direct capital return that can support the stock and offset dilution from the Ansys deal. Synopsys Posts Financial Results for First Quarter Fiscal Year 2026
• Neutral Sentiment: Unusual options and whale activity — heavy call buying and large options volume were observed around the release, which can amplify intraday moves but may reflect short‑term, speculative positioning rather than conviction. Check Out What Whales Are Doing With SNPS
• Negative Sentiment: Mixed/softer near‑term guide and China risk — investors reacted to a Q2 revenue guide some saw as light and to commentary about China export restrictions that could mute near‑term growth in that region. Those factors pressured the stock despite the beat. Synopsys forecasts muted quarter on China export restrictions, shares fall
• Negative Sentiment: Acquisition costs, restructuring and debt concerns — reports note GAAP hit from Ansys integration, workforce reductions and the company’s elevated debt load from the transaction; these raise near‑term risk and make investors sensitive to guidance quality. Synopsys Stock (SNPS) Opinions on Earnings Release and AI Outlook
• Negative Sentiment: Analysts trim targets and neutrality rises — several firms cut price targets or lowered ratings after the print (Wells Fargo, Piper Sandler among them), which can add selling pressure even as many analysts remain constructive on AI exposure. Analyst price target and rating 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.