Synopsys (NASDAQ:SNPS) Sets New 1-Year Low – Here’s What Happened

Synopsys, Inc. (NASDAQ:SNPS) shares hit a new 52-week low during mid-day trading on Tuesday . The company traded as low as $364.72 and last traded at $363.6980, with a volume of 1178567 shares traded. The stock had previously closed at $381.43.

Analyst Ratings Changes

Several equities analysts have recently issued reports on the stock. Wells Fargo & Company raised shares of Synopsys from an “equal weight” rating to an “overweight” rating and boosted their price target for the company from $450.00 to $475.00 in a report on Thursday, September 10th. Robert W. Baird raised Synopsys from a “neutral” rating to an “outperform” rating and raised their price objective for the stock from $558.00 to $560.00 in a research note on Thursday, August 27th. Bank of America lifted their target price on Synopsys from $515.00 to $600.00 and gave the stock a “buy” rating in a report on Thursday, May 28th. Mizuho decreased their target price on Synopsys from $600.00 to $550.00 and set an “outperform” rating for the company in a research note on Thursday, August 27th. Finally, Weiss Ratings downgraded Synopsys from a “hold (c)” rating to a “hold (c-)” rating in a report on Friday. Thirteen equities research analysts have rated the stock with a Buy rating, four have given a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of $562.67.

Synopsys Price Performance

The stock has a market cap of $70.69 billion, a price-to-earnings ratio of 65.24, a price-to-earnings-growth ratio of 2.18 and a beta of 1.23. The company has a debt-to-equity ratio of 0.29, a quick ratio of 1.24 and a current ratio of 1.34. The company has a 50-day simple moving average of $406.08 and a two-hundred day simple moving average of $437.70.

Synopsys (NASDAQ:SNPS) last announced its quarterly earnings results on Wednesday, August 26th. The semiconductor company reported $3.91 EPS for the quarter, beating analysts’ consensus estimates of $3.67 by $0.24. Synopsys had a net margin of 11.43% and a return on equity of 6.24%. The firm had revenue of $2.48 billion during the quarter, compared to analysts’ expectations of $2.44 billion. During the same quarter last year, the company posted $3.39 earnings per share. The company’s revenue for the quarter was up 42.4% compared to the same quarter last year. Synopsys has set its Q4 2026 guidance at 4.100-4.160 EPS and its FY 2026 guidance at 15.040-15.100 EPS. As a group, equities research analysts forecast that Synopsys, Inc. will post 10.97 EPS for the current year.

Insider Transactions at Synopsys

In other Synopsys news, insider Aart de Geus sold 24,641 shares of Synopsys stock in a transaction dated Tuesday, September 1st. The shares were sold at an average price of $419.44, for a total value of $10,335,421.04. Following the completion of the sale, the insider owned 120,443 shares in the company, valued at $50,518,611.92. The trade was a 16.98% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last ninety days, insiders sold 74,641 shares of company stock valued at $32,518,171. Insiders own 0.56% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of the business. Mitsubishi UFJ Asset Management Co. Ltd. bought a new stake in shares of Synopsys in the 2nd quarter valued at about $747,400,000. Man Group plc purchased a new position in Synopsys during the 2nd quarter worth $55,900,000. Norges Bank bought a new position in shares of Synopsys in the fourth quarter valued at approximately $730,197,000. SBI Okasan Asset Management Co.Ltd. purchased a new stake in Synopsys during the fourth quarter worth about $1,699,000. Finally, Czech National Bank lifted its position in shares of Synopsys by 4.6% during the 2nd quarter. Czech National Bank now owns 54,526 shares of the semiconductor company’s stock valued at $24,322,000 after buying an additional 2,421 shares during the last quarter. Institutional investors own 85.47% of the company’s stock.

Synopsys Company Profile

Synopsys, Inc is a technology company that develops electronic design automation (EDA) software, semiconductor intellectual property (IP), and related services. Its products help semiconductor and electronics companies design, verify, test and manufacture integrated circuits and complex electronic systems.

The company’s EDA portfolio includes tools for digital and analog design, simulation, verification, physical implementation, signoff and manufacturing preparation. Synopsys also provides reusable semiconductor IP, including processor cores, interface technologies, embedded memories and security-related components, which customers can incorporate into system-on-chip designs.

Synopsys additionally offers software integrity and application security solutions that help organizations identify and manage vulnerabilities and risks in the software development lifecycle.