Synopsys ve 3. fiskálním čtvrtletí 2026 zvýšil tržby na 2,48 mld. USD a non-GAAP EPS na 3,91 USD, obojí nad odhady. Firma zároveň zvýšila celoroční výhled tržeb na 9,69 až 9,74 mld. USD i zisku na 15,04 až 15,10 USD.
Synopsys powers nearly every advanced chip on the planet, yet its stock has cratered while the broader market surged, and Wall Street analysts are betting that gap closes in a hurry.
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Synopsys (NASDAQ:SNPS | SNPS Price Prediction) currently trades at $416.31, while Wall Street’s average 12-month price target sits at $544.97, an implied upside of roughly 31% from here. Street-high targets stretch that gap toward 50%, which is the version of the story most bullish analysts are telling.
Synopsys is one half of the electronic design automation duopoly that every advanced chip in the world runs through. Following its roughly $35 billion acquisition of Ansys, closed in the third quarter of fiscal 2025, the company now pitches itself as a silicon-to-systems engineering platform spanning chip design, multiphysics simulation, and semiconductor IP.
Wall Street has been paying attention because AI-driven chip complexity is exactly the kind of secular tailwind that lifts EDA license values. Yet the stock is down 11.37% year to date while the S&P 500 is up 13.38%. That disconnect is the setup.
An Ansys Hangover, a Debt Load, and a Design IP Cloud The selloff began with digestion of the Ansys deal. Long-term debt spiked to $13.46 billion at fiscal 2025 close and still sits near $10 billion after aggressive H1 paydowns, a heavy balance sheet for a company that historically ran net cash. GAAP margins are also being compressed by roughly $404 million per quarter in intangibles amortization, and planned Q4 restructuring charges will add more noise to reported profits.
Sentiment took a second hit from the Design IP segment. A Morgan Stanley downgrade earlier in the fiscal year flagged growth deceleration risk, and shareholder lawsuits alleging misrepresentation of Design IP’s financial stability emerged around the fiscal 2025 filing. Layer in export-control and Entity List overhang tied to China exposure, and the market decided to trim the multiple even though revenue growth stayed robust.
The pain has been company-specific rather than sector-wide. Over the past week alone, SNPS fell 10.45%, well beyond typical volatility for a name of this size.
Why the Sell-Side Is Sticking With the Bull Case Analysts are pointing at the earnings report. Q3 fiscal 2026 revenue hit $2.48 billion, up 42.4% year over year, beating consensus, with non-GAAP EPS of $3.91 topping the $3.67 estimate. Management raised full-year revenue guidance to $9.69 to $9.74 billion and non-GAAP EPS to $15.04 to $15.10, and guided EDA growth to accelerate to double digits in Q4.
The bull thesis rests on three pillars. AI is forcing customers into 2nm and 1.4nm nodes, multi-die chiplets, and gate-all-around architectures, all of which command higher license values. Ansys synergies are ahead of schedule, with management reaffirming the $400 million year-four synergy target. And Design IP has already returned to growth at $474 million, up roughly 11% year over year, undercutting the litigation narrative.
Coverage skews decisively positive. Of 25 analysts tracked, 3 rate Synopsys Strong Buy, 16 Buy, 5 Hold, 0 Sell, and 1 Strong Sell. Recent revisions have leaned higher, with 17 upward EPS revisions in the past 30 days for fiscal 2027 and zero downward. Berenberg’s Nay Soe Naing sits at the top end with a Buy rating and a $633 price target, citing the non-discretionary nature of EDA software and the hyperscaler in-house silicon boom.
Cadence Held Up, Autodesk Did Not, Keysight Ran The EDA and engineering-software peer group did not sell off together. Synopsys fell largely alone, while its closest rival held firmer and adjacent names went in opposite directions.
Cadence Design Systems (NASDAQ:CDNS) is the direct EDA peer and is down only 2.46% year to date at $304.88 against a $403.12 average target, implying roughly 32% upside. Coverage is nearly unanimous with 5 Strong Buy, 17 Buy, and 3 Hold ratings, and Cadence carries no Ansys-sized debt burden.
Autodesk (NASDAQ:ADSK) is the adjacent engineering-software comp and has fared worse than SNPS, down 19.76% year to date at $237.52. The average target of $315.37 pencils to about 33% upside, and the ratings mix runs 6 Strong Buy, 24 Buy, and 6 Hold, with revisions trending up post-Q2.
Keysight Technologies (NYSE:KEYS) rounds out the group as a test-and-measurement adjacency and is the odd one out, up 58.78% year to date on AI data center testing demand, leaving less obvious upside from here. Across the three, Autodesk edges Synopsys on implied upside, but SNPS offers the cleanest exposure to the AI silicon buildout.
What the Data Actually Says Synopsys currently trades at $416.31 versus the consensus target of $544.97, an implied upside of roughly 31%. The 25 analysts covering the name tilt heavily positive, with 19 Buy-equivalent ratings against only 5 Holds and one lone Strong Sell. Shares carry a forward P/E of 24, which is not stretched given raised guidance.
The near-term picture is ugly. SNPS is down 29.69% over the past year versus a 20.11% gain for the S&P 500, and it has underperformed the index by nearly 25 percentage points year to date. Longer-term holders are still well ahead, with the stock up 597.69% over ten years.
Buying the Duopoly, With Eyes Open The bull case holds together if the Ansys integration keeps tracking ahead of plan and Design IP holds its recovery. The path back to the target is straightforward: double-digit EDA growth into fiscal 2027, continued debt paydown, and evidence that Multiphysics Fusion is winning genuine incremental spend rather than cannibalizing existing tools.
The thesis weakens if China export restrictions tighten meaningfully, or if the shareholder litigation surfaces a real earnings-quality issue in Design IP. A debt load near $10 billion also limits flexibility if AI design spend pauses. On balance, the risk/reward tilts positive. This looks like a dislocation, and investors should size the position for the volatility that has clearly returned to the name.
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Nvidia investuje 2 miliardy USD do Synopsys jako sázku na AI řízené inženýrství. Firmy už vyvíjejí autonomní workflow, které má zkrátit týdny ruční práce na hodiny.
Nvidia Corp (NASDAQ:NVDA) and Synopsys, Inc (NASDAQ:SNPS) are set to report earnings after the bell Wednesday, putting the companies’ financial results in focus as investors assess the impact of their expanding AI partnership. Nvidia’s $2 billion investment in Synopsys may signal a bet on something much bigger than electronic design automation (EDA) software.
In an exclusive email interview with Benzinga, Synopsys Chief Product Development Officer Shankar Krishnamoorthy said the investment reflects a broader shift toward AI-powered engineering—one that could eventually change how everything from semiconductors to turbine engines is designed.
Nvidia’s Synopsys Investment Is a Bet on AI EngineeringKrishnamoorthy said the strategic value of Nvidia’s investment extends beyond capital, describing it as a reflection of where engineering is headed over the next decade.
“The investment reflects a shared vision that the next generation of engineering will be powered by AI, simulation, and holistic system design,” he told Benzinga.
That vision is already shaping the partnership between the two companies. According to Krishnamoorthy, Synopsys and Nvidia are combining expertise in engineering software and accelerated computing to develop autonomous workflows that help customers tackle increasingly complex design challenges.
The collaboration recently produced an end-to-end autonomous verification workflow that, according to Synopsys, “compresses weeks of manual labor into hours of agentic execution,” addressing one of the most time-consuming stages of chip verification.
The larger objective, however, is not simply to design chips faster. It’s to rethink how products are engineered from concept to completion.
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Synopsys Sees AI Replacing Costly Physical PrototypesKrishnamoorthy believes one of the biggest shifts will occur well before products reach the factory floor.
“Customers can no longer afford the time and cost of creating and testing physical prototypes of their products, from turbine engines to tennis racquets,” he said.
Instead, AI models, simulation tools and digital engineering workflows are increasingly allowing companies to validate designs virtually before committing to expensive physical testing.
That, according to Synopsys, is why the convergence of AI and engineering matters beyond the semiconductor industry. Krishnamoorthy said combining Synopsys’ engineering software with Nvidia’s AI infrastructure is helping accelerate “the industry’s transition toward AI-powered, silicon-to-systems design and development.”
The phrase “silicon-to-systems” reflects a broader ambition: using AI not just to optimize individual chips, but to improve the design of complete products by integrating hardware, software and physics into a unified engineering workflow.
Why Investors Should Watch AI Engineering, Not Just AI ChipsNvidia has become synonymous with the AI infrastructure boom, but Krishnamoorthy suggests the next phase of growth may be driven by the software that enables engineers to build AI-powered products faster and more efficiently.
Rather than viewing the investment as another semiconductor deal, investors may want to see it as a signal that AI is moving deeper into industrial engineering, product development and simulation—areas that have traditionally relied on lengthy design cycles and costly physical prototypes.
If that transition unfolds as Synopsys expects, the biggest winners may not simply be the companies building AI chips, but those enabling an entirely new way of designing products.
For investors, the trend to watch is whether AI-powered engineering platforms can translate today’s strategic vision into measurable productivity gains and broader enterprise adoption over the next several years.
Synopsys uvedl, že zákazníci už hlásí až šestinásobné zvýšení produktivity díky agentní AI při verifikaci návrhů čipů. Firma také vidí zkrácení času debugovacích cyklů o 25 % až 40 %.
Much of the conversation around artificial intelligence still revolves around what it could do for chip design. Synopsys, Inc. (NASDAQ:SNPS) says that the future may already be here.
In an exclusive email interview with Benzinga, Synopsys Chief Product Development Officer Shankar Krishnamoorthy shared rare quantitative evidence of AI’s real-world impact, saying customers are already reporting productivity gains of up to six times while autonomous engineering workflows are reducing tasks that once took weeks to just hours.
• What should traders watch with SNPS?
Synopsys Says Agentic AI Is Delivering Measurable Productivity GainsTechnology companies often describe AI in broad terms, but Synopsys backed its claims with specific performance metrics.
Krishnamoorthy said, “One of our customers is observing a 5x-6x productivity gain using our agentic flow for formal verification.”
Beyond accelerating work, the AI-driven workflow also improved outcomes by identifying “a bug, which pointed to a persistent modeling issue that traditional tools had not identified,” added Krishnamoorthy.
The findings suggest AI is doing more than automating repetitive engineering tasks. It is also helping engineers uncover problems that conventional verification methods can miss, potentially reducing costly design iterations later in the development process.
That shift is becoming increasingly important as semiconductor designs grow more complex and verification consumes a larger share of engineering time.
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AI Is Compressing Weeks of Engineering Into HoursSynopsys also pointed to early results from its autonomous debugging workflow, developed in collaboration with Microsoft Discovery.
According to Krishnamoorthy, early evaluations have shown “reductions of 25%-40% in debug cycle time,” “saving many weeks of engineering efforts and improving productivity.”
He added that the company’s end-to-end autonomous verification workflow “compresses weeks of manual labor into hours of agentic execution,” helping address one of the industry’s biggest engineering bottlenecks.
Rather than replacing engineers, Krishnamoorthy said AI is enabling them to focus on higher-value work by automating complex tasks, orchestrating end-to-end workflows and exploring more design alternatives before a chip reaches production.
The broader implication is that AI’s value may ultimately be measured less by how quickly it generates code and more by how much engineering time it eliminates across the product development cycle.
Why Investors Should Watch Productivity, Not Just AI AdoptionAs AI spending accelerates across the semiconductor industry, investors are increasingly asking whether those investments are producing measurable returns.
Synopsys’ customer examples offer an early answer. Instead of discussing AI as a future productivity tool, the company says customers are already reducing debug cycles by as much as 40%, completing engineering workflows in hours rather than weeks and achieving productivity gains of up to six times.
For investors, the next milestone to watch is whether these early results become commonplace across the semiconductor industry. Synopsys is scheduled to report earnings after the market closes Wednesday, giving investors a timely opportunity to assess whether demand for its AI-enabled design and verification tools is translating into broader financial momentum.
If autonomous engineering continues to deliver measurable improvements in productivity, quality and time-to-market, AI could become as important to designing the next generation of chips as it has been to powering them.
Synopsys ve 3. čtvrtletí zvýšil zisk na akcii o 15,3 % na 3,91 USD a tržby o 42,4 % na 2,48 miliardy USD, obojí nad odhady. Firma zároveň zvedla výhled na fiskální rok 2026.
Key Takeaways Synopsys Q3 earnings rose 15.3% and revenues jumped 42.4%, both topping consensus estimates.EDA strength, Ansys contributions and Design IP growth drove broad-based gains across Synopsys.Synopsys raised fiscal 2026 revenue and earnings guidance and expects double-digit EDA growth. Synopsys, Inc. (SNPS - Free Report) reported third-quarter fiscal 2026 non-GAAP earnings of $3.91 per share, which increased 15.3% year over year and beat the Zacks Consensus Estimate by 6.5%. Broad-based strength, led by EDA and Ansys, supported the earnings outperformance.
Revenues rose 42.4% year over year to $2.48 billion, topping the consensus mark by 1.7%. Backlog remained strong at $10.9 billion, while Design IP returned to year-over-year growth.
SNPS Revenue Mix Shows Broad-Based GrowthTime-based product revenues were $1 billion, which increased 12.4% from the year-ago quarter. Upfront product revenues increased 28.8% to $665.2 million, reflecting higher product contributions during the quarter.
Maintenance and service revenues surged 144.4% year over year to $808.8 million. Ansys contributed approximately $711 million to total quarterly revenues.
Synopsys Segments Gain on EDA and IP GrowthDesign Automation revenues were $2 billion, which increased 52.7% year over year, accounting for 80.9% of total revenues. Within the segment, EDA revenues increased 8.5%, supported by robust software performance and record hardware-assisted verification revenues.
Design IP revenues rose 10.8% to $473.8 million and represented 19.1% of revenues. Management cited broad AI infrastructure demand, including strength in interface, memory and die-to-die IP. The company said its die-to-die business is on pace to double year over year and has surpassed 100 cumulative design wins.
SNPS Margin Expansion Reflects Cost DisciplineThe non-GAAP operating margin was 41.6% in the quarter. Design Automation’s adjusted operating margin expanded to 45.2% from 44.5% a year ago, while the Design IP adjusted margin improved to 26.5% from 20.1%.
Total non-GAAP costs and expenses were $1.45 billion, landing at the lower end of management’s guided range. Synopsys credited operational efficiency and Ansys cost synergies that are running ahead of schedule.
Synopsys Cash Flow and Balance Sheet StrengthenFree cash flow was $746 million in the third quarter. For the first nine months of fiscal 2026, net cash provided by operating activities totaled $2.30 billion.
Synopsys ended the third quarter with $3.61 billion in cash, cash equivalents and short-term investments. Total debt was about $10 billion after the company repaid term loans earlier than planned.
Synopsys AI and Multiphysics Drive New OpportunitiesManagement highlighted AI-driven design complexity as a key demand driver across the portfolio. More than 30 customer engagements are underway for Synopsys’ agentic AI platform, which is designed to automate engineering workflows while increasing use of the company’s underlying EDA tools.
Synopsys also launched Multiphysics Fusion, its first joint Synopsys-Ansys solution. Early customer validations showed up to 10 times faster design closure and three times faster runtime. Management expects these add-on capabilities to begin contributing to EDA growth in fiscal 2027.
SNPS Raises Fiscal 2026 OutlookSynopsys raised its fiscal 2026 revenue guidance to $9.69-$9.74 billion, with the midpoint up $50 million. The company expects Ansys to contribute about $2.98 billion, up $20 million from its previous outlook, and continues to expect Design IP revenues to grow sequentially in the fourth quarter.
The company lifted its fiscal 2026 non-GAAP earnings guidance to $15.04-$15.10 per share, a 31-cent increase at the midpoint from the prior forecast. Non-GAAP operating margin is now projected at about 41.5% at the midpoint, up 50 basis points from the previous guidance.
For the fourth quarter, SNPS projects revenues of $2.53-$2.58 billion and non-GAAP earnings of $4.10-$4.16 per share. Management expects EDA revenue growth to accelerate to double digits in the fourth quarter and for fiscal 2026.
SNPS’ Zacks Rank and Stocks to ConsiderCurrently, SNPS carries a Zacks Rank #3 (Hold).
Some better-ranked stocks worth considering in the broader Zacks Computer and Technology sector are Applied Materials (AMAT - Free Report) , Lam Research (LRCX - Free Report) and Palo Alto Networks (PANW - Free Report) , each carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The Zacks Consensus Estimate for Applied Materials’ fiscal 2026 earnings is pegged at $12.73 per share, up by 4.9% over the past 30 days, indicating a year-over-year surge of 35.1%. Applied Materials shares have surged 87.5% year to date (YTD).
The Zacks Consensus Estimate for Lam Research’s fiscal 2027 earnings has moved northward by 17.8% to $9.32 per share over the past 30 days and calls for a year-over-year jump of 60.4%. Lam Research shares have soared 83.8% YTD.
The Zacks Consensus Estimate for Palo Alto Networks’ fiscal 2026 earnings has remained unchanged at $3.78 per share, over the past 30 days, implying a year-over-year increase of 13.2%. Palo Alto Networks shares have risen 94.1% YTD.
PDF Solutions ve 2. čtvrtletí zvýšila tržby meziročně o 19 % na 61,5 milionu USD a provozní marži na 22 %. Zopakovala také cíl 20% ročního růstu tržeb pro rok 2026.
Key Takeaways PDF Solutions shows stronger growth, with second-quarter revenues rising 19% year over year to $61.5 million.PDFS raised its operating margin to 22% and reaffirmed a 20% annual revenue growth target for 2026.Synopsys trails PDFS in stock performance, while its design IP margin fell to 21% in fiscal 2026. Synopsys, Inc. (SNPS - Free Report) and PDF Solutions (PDFS - Free Report) , both semiconductor software stocks, are positioned at the center of the AI-Driven Chip Boom. PDF Solutions provides technologies that help semiconductor companies improve the yield and performance of manufactured integrated circuits by integrating data across the design and manufacturing processes. In contrast, Synopsys offers software and semiconductor IP spanning the chip design flow, from design capture and implementation to verification, signoff and manufacturing.
Given the demand for semiconductor products across memory, compute, power electronics and networking, both companies are expected to benefit from the tailwinds. Let’s dig deeper into the fundamentals to understand which stock has an edge right now.
The Case for Synopsys StockSynopsys is gaining from design wins, driven by its product portfolio across advanced technology, design, IP and security solutions. The rising impact of artificial intelligence, 5G, the Internet of Things and big data is driving investments in new computing and machine learning architectures. Synopsys generates most of its revenues from recurring sources, which accounted for 82% of total revenues in the third quarter of fiscal 2026.
SNPS’ deferred revenues increased to $2.72 billion as of July 31, 2026, from $2.63 billion at the end of fiscal 2025, while contract assets rose to $1.23 billion from $1.22 billion. The company’s backlog stood at approximately $10.9 billion, including $1.9 billion in non-cancellable Flexible Spending Account commitments, where customers can determine the product mix and quantities at a later date.
Synopsys has expanded beyond its traditional silicon design business with the acquisition of Ansys, adding multi-physics simulation capabilities to its portfolio. Ansys contributed 28.7% of revenue in the third quarter of fiscal 2026. The Design Automation segment, which includes Ansys, accounted for 80.9% of quarterly revenues and generated a 45.2% adjusted operating margin, supporting overall profitability.
Synopsys’ partnership with NVIDIA is likely to open new avenues for growth. In 2025, Synopsys issued about 4.8 million shares in a private placement with NVIDIA for $2 billion of net proceeds. The added capital increases financial flexibility at a time when the company is integrating Ansys and investing across EDA, IP and simulation. However, SNPS’ Design IP segment is facing recurring weakness.
SNPS’ Design IP segment’s adjusted operating margin for the first nine months of fiscal 2026 was 22.6%, down from 27% in the same period last year. For fiscal 2026, SNPS expects its non-GAAP earnings per share to be in the range of $15.04-$15.10, with a midpoint of $15.07. The Zacks Consensus Estimate for fiscal 2026 is pegged at $14.79 per share, implying growth of 14.6% year over year. Estimates have been revised downward in the past 30 days.
Image Source: Zacks Investment Research
The Case for PDF Solutions StockPDF Solutions is benefiting from rising demand for data and analytics solutions across the semiconductor and electronics ecosystem, as the demand for software related to manufacturing equipment, production, test data, advanced analytics and machine learning is rising with customers’ need to improve yield, quality and operational efficiency. In the second quarter of fiscal 2026, total revenues increased 19% year over year to $61.5 million.
PDFS’ growth is being supported by strong demand for its DirectScan, CV and secureWISE systems. Platform revenues increased 24% year over year to $100.1 million in the first six months of fiscal 2026, primarily driven by higher revenues from DirectScan, CV and secureWISE. Volume-based revenues grew 14% to $21.6 million, aided by higher Cimetrix runtime licenses and secureWISE data usage.
PDFS is also winning major customers across secureWISE, DirectScan and Exensio products and services. PDF Solutions’ backlog provides additional visibility into future growth. Remaining performance obligations stood at approximately $270.7 million as of June 30, 2026, with the majority expected to be recognized as revenues over the next two years. The backlog increased from $246.4 million in the first quarter and $232.6 million in the year-ago quarter.
PDF Solutions reaffirmed its 20% annual revenue growth target for 2026, supported by its broad product and services portfolio, major customer wins and growing backlog. PDFS’ profitability is also improving, although higher costs are putting some pressure on margins. Second-quarter non-GAAP operating margin expanded to 22% from 19%. The Zacks Consensus Estimate for PDFS’ 2026 earnings implies year-over-year growth rate 39%. Estimates have been reviewed upward in the past 30 days.
Image Source: Zacks Investment Research
SNPS vs. PDFS: Price Performance & Valuation CheckSynopsys shares have lost 1% year to date, while PDF Solutions has soared 61.8%.
YTD Performance Chart
Image Source: Zacks Investment Research
On the valuation front, PDF Solutions trades at a forward 12-month price-to-sales (P/S) multiple of 6.21, above its five-year median of 4.98x, while Synopsys’ 8.48x trades below its five-year median of 8.53x.
Forward 12-Month (P/S) Valuation Chart
Image Source: Zacks Investment Research
Conclusion: SNPS vs. PDFSPDF Solutions appears better positioned at present, supported by stronger revenue growth, improving profitability, major customer wins and a 20% growth target. PDFS has also significantly outperformed SNPS stock year to date, while earnings estimates have moved upward. Despite its higher valuation, PDFS offers stronger near-term growth momentum, making it the more attractive stock to retain. SNPS and PDFS carry a Zacks Rank #3 (Hold) each at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Synopsys čeká za 3. fiskální čtvrtletí tržby 2,41–2,46 miliardy USD, což by znamenalo růst o 40 % meziročně. Tahounem má být poptávka po AI čipech, brzdou slabé průmyslové a automobilové zakázky i omezení v Číně.
Key Takeaways Synopsys expects Q3 revenues of $2.41-$2.46 billion, with the consensus estimate implying 40% growth.AI chip complexity is driving demand for EDA, verification, simulation and advanced 3DIC design solutions.Weak industrial and automotive design starts, along with China restrictions, could weigh on SNPS' Q3 results. Synopsys (SNPS - Free Report) is scheduled to report third-quarter fiscal 2026 results on Aug. 26, 2026, after market close.
Synopsys expects non-GAAP earnings per share between $3.63 and $3.69. The Zacks Consensus Estimate for fiscal third-quarter earnings is pinned at $3.67 per share, which indicates a year-over-year increase of 8.3%.
The company anticipates revenues between $2.41 billion and $2.46 billion for the fiscal third quarter. The Zacks Consensus Estimate is pegged at $2.44 billion, which suggests a rise of 40% from the year-ago period's reported figure.
In the trailing four quarters, SNPS’ earnings surpassed the Zacks Consensus Estimate thrice while missing the same on one occasion, with an average surprise of 0.9%.
Factors Influencing Synopsys’ Q3 ResultsSynopsys’ fiscal third-quarter performance is likely to have benefited from continued AI-driven demand for semiconductor design and engineering solutions. Management noted that AI is increasing chip complexity, architectural diversity and system-level design requirements, driving demand across EDA, IP, hardware-assisted verification and simulation. Strong AI semiconductor activity, including increased design starts among semiconductor companies and hyperscalers developing their own chips, is expected to have supported SNPS’ top-line growth in the to-be-reported quarter.
Strength in the Design Automation business is likely to have remained a key driver in the third quarter of fiscal 2026. The company continues to see strong demand for advanced-node and 3DIC solutions, while hardware-assisted verification is benefiting from hyperscalers and leading semiconductor customers scaling emulation and prototyping for increasingly complex AI designs. The growing adoption of multi-die and chiplet architectures, along with Synopsys’ leadership in 3DIC design, is expected to aid its third-quarter results.
The Ansys business is also likely to have supported SNPS’ fiscal third-quarter performance. Management noted continued demand for system-level digital engineering and physics-based simulation, with AI data center build-outs driving demand for simulation solutions beyond semiconductors. Growth in aerospace and defense, automotive and industrial applications is also supporting Ansys, particularly as customers increasingly use simulation for complex and intelligent systems, which is likely to have driven SNPS’ top-line growth in the fiscal third quarter.
The Design IP business is expected to have shown sequential improvement in the fiscal third quarter. Management expects sequential growth in the Design IP business throughout the second half of fiscal 2026. Strong demand for high-speed interconnect IP, including PCIe 7.0 and UCIe, as well as memory IP for hyperscalers and AI companies, is likely to aid its third-quarter results.
However, weak design-start activity in industrial and automotive markets might have remained a headwind in the fiscal third quarter. Management said that while customers in these markets are reporting stronger revenue trends, design starts remain muted compared with AI-related activity. China is another concern, as the design-start environment remains challenging due to ongoing restrictions and their cumulative impact. Management has maintained a cautious outlook for China, which might have posed an investor concern in the to-be-reported quarter.
What Our Model Says About SNPSOur proven model does not conclusively predict an earnings beat for SNPS this season. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat. That’s the exact case here.
SNPS has an Earnings ESP of +0.35% and carries a Zacks Rank #3 at present. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Other Stocks to ConsiderHere are some other companies worth considering, as our model shows that these, too, have the right combination of elements to beat on earnings in their upcoming releases:
Dell Technologies (DELL - Free Report) has an Earnings ESP of +6.42% and carries a Zacks Rank #2 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
Dell Technologies is slated to report second-quarter fiscal 2027 results on Sept. 1. The Zacks Consensus Estimate for DELL’s second-quarter earnings is pegged at $4.88 per share, down by a penny over the past 30 days, indicating a rise of 110.3% from the year-ago quarter’s reported figure.
Hewlett Packard (HPE - Free Report) has an Earnings ESP of +9.96% and carries a Zacks Rank #2 at present.
Hewlett Packard is set to report third-quarter fiscal 2026 results on Sept. 2. The Zacks Consensus Estimate for HPE’s third-quarter earnings is pegged at 94 cents per share, up by a penny over the past 30 days, indicating a rise of 113.6% from the year-ago quarter’s reported figure.
NVIDIA (NVDA - Free Report) has an Earnings ESP of +0.92% and carries a Zacks Rank #3 at present.
NVIDIA is set to report second-quarter fiscal 2027 results on Aug. 26. The Zacks Consensus Estimate for NVDA’s second-quarter earnings is pegged at $2.09 per share, unchanged over the past 30 days, indicating a rise of 99.1% from the year-ago quarter’s reported figure.
Callan Family Office LLC ve 2. čtvrtletí nakoupila nový podíl v Synopsys, Inc. v podobě 7 088 akcií za zhruba 3,162 milionu USD. Institucionální investoři nyní drží 85,47 % akcií.
Callan Family Office LLC purchased a new stake in Synopsys, Inc. (NASDAQ:SNPS – Free Report) in the second quarter, according to its most recent Form 13F filing with the SEC. The institutional investor purchased 7,088 shares of the semiconductor company’s stock, valued at approximately $3,162,000.
Several other large investors also recently made changes to their positions in the business. Sankala Group LLC bought a new stake in shares of Synopsys in the 4th quarter worth approximately $25,000. Elevation Wealth Partners LLC lifted its stake in Synopsys by 96.4% during the second quarter. Elevation Wealth Partners LLC now owns 55 shares of the semiconductor company’s stock valued at $25,000 after purchasing an additional 27 shares during the last quarter. Caitong International Asset Management Co. Ltd bought a new stake in Synopsys during the fourth quarter worth approximately $28,000. IMG Wealth Management Inc. bought a new stake in Synopsys during the second quarter worth approximately $28,000. Finally, Atlas Capital Advisors Inc. bought a new stake in Synopsys during the fourth quarter worth approximately $32,000. Institutional investors own 85.47% of the company’s stock.
Synopsys Stock Performance Shares of SNPS opened at $397.87 on Friday. The company has a 50-day moving average of $419.73 and a two-hundred day moving average of $440.22. The stock has a market cap of $76.18 billion, a price-to-earnings ratio of 92.10, a PEG ratio of 2.34 and a beta of 1.23. The company has a debt-to-equity ratio of 0.33, a current ratio of 1.43 and a quick ratio of 1.32. Synopsys, Inc. has a one year low of $366.00 and a one year high of $615.79.
Synopsys (NASDAQ:SNPS – Get Free Report) last released its quarterly earnings results on Wednesday, May 27th. The semiconductor company reported $3.35 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $3.15 by $0.20. The business had revenue of $2.28 billion for the quarter, compared to analyst estimates of $2.25 billion. Synopsys had a net margin of 8.91% and a return on equity of 5.83%. During the same quarter in the previous year, the business earned $3.67 earnings per share. The firm’s revenue was up 41.9% compared to the same quarter last year. Synopsys has set its FY 2026 guidance at 14.720-14.800 EPS and its Q3 2026 guidance at 3.630-3.690 EPS. On average, equities research analysts expect that Synopsys, Inc. will post 10.64 earnings per share for the current year. Insider Buying and Selling at Synopsys In other news, CEO Sassine Ghazi sold 14,603 shares of the firm’s stock in a transaction on Monday, June 15th. The stock was sold at an average price of $458.96, for a total value of $6,702,192.88. Following the completion of the sale, the chief executive officer owned 75,020 shares of the company’s stock, valued at $34,431,179.20. This trade represents a 16.29% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CFO Shelagh Glaser sold 3,394 shares of Synopsys stock in a transaction on Friday, June 12th. The shares were sold at an average price of $450.02, for a total value of $1,527,367.88. Following the transaction, the chief financial officer owned 14,358 shares in the company, valued at $6,461,387.16. This represents a 19.12% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 0.56% of the stock is owned by insiders.
Analyst Upgrades and Downgrades Several research analysts have issued reports on SNPS shares. Bank of America upped their price target on Synopsys from $515.00 to $600.00 and gave the company a “buy” rating in a report on Thursday, May 28th. Stifel Nicolaus raised their price objective on Synopsys from $550.00 to $600.00 and gave the stock a “buy” rating in a research note on Thursday, May 28th. Morgan Stanley reduced their price objective on Synopsys from $525.00 to $500.00 and set an “equal weight” rating for the company in a research note on Wednesday. Benchmark restated a “buy” rating on shares of Synopsys in a report on Wednesday. Finally, Berenberg Bank set a $633.00 target price on Synopsys in a research report on Wednesday, May 27th. One equities research analyst has rated the stock with a Strong Buy rating, eleven have given a Buy rating, five have issued a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $563.59.
Get Our Latest Research Report on SNPS
Synopsys Profile (Free Report)
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.
Read More Five stocks we like better than Synopsys 2 Biotech Stocks Shaping Up for Major Breakouts 3 Stocks Came Roaring Back—Now They’re Flashing Warning Signs 3 Beaten-Down Stocks That Haven’t Gotten the Message About the S&P 500’s Record Run Darden Restaurants Just Hit a 52-Week High–Is the Olive Garden Comeback Story Legit? Want to see what other hedge funds are holding SNPS? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Synopsys, Inc. (NASDAQ:SNPS – Free Report).
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EP Wealth Advisors LLC ve 2. čtvrtletí nově nakoupila 7 122 akcií společnosti Synopsys za zhruba 3,177 milionu USD. Firma zároveň oznámila čtvrtletní EPS 3,35 USD při tržbách 2,28 miliardy USD.
EP Wealth Advisors LLC acquired a new stake in shares of Synopsys, Inc. (NASDAQ:SNPS – Free Report) during the second quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor acquired 7,122 shares of the semiconductor company’s stock, valued at approximately $3,177,000.
Other institutional investors have also modified their holdings of the company. Sankala Group LLC purchased a new position in shares of Synopsys in the 4th quarter worth approximately $25,000. Elevation Wealth Partners LLC raised its holdings in Synopsys by 96.4% during the 2nd quarter. Elevation Wealth Partners LLC now owns 55 shares of the semiconductor company’s stock valued at $25,000 after buying an additional 27 shares during the period. Caitong International Asset Management Co. Ltd purchased a new stake in Synopsys during the 4th quarter valued at $28,000. IMG Wealth Management Inc. bought a new stake in Synopsys in the second quarter worth $28,000. Finally, Atlas Capital Advisors Inc. bought a new stake in Synopsys in the fourth quarter worth $32,000. 85.47% of the stock is owned by institutional investors.
Wall Street Analysts Forecast Growth Several research analysts have commented on the stock. Weiss Ratings reiterated a “hold (c-)” rating on shares of Synopsys in a research report on Monday, June 8th. Morgan Stanley reduced their target price on shares of Synopsys from $525.00 to $500.00 and set an “equal weight” rating on the stock in a research note on Wednesday. Bank of America raised their target price on shares of Synopsys from $515.00 to $600.00 and gave the stock a “buy” rating in a report on Thursday, May 28th. Citigroup lifted their price target on shares of Synopsys from $600.00 to $610.00 and gave the stock a “buy” rating in a research note on Thursday, May 28th. Finally, KeyCorp reiterated an “overweight” rating on shares of Synopsys in a report on Wednesday. One analyst has rated the stock with a Strong Buy rating, eleven have assigned a Buy rating, five have issued a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $563.59.
Check Out Our Latest Analysis on Synopsys Insiders Place Their Bets In related news, CFO Shelagh Glaser sold 3,394 shares of the firm’s stock in a transaction dated Friday, June 12th. The shares were sold at an average price of $450.02, for a total value of $1,527,367.88. Following the transaction, the chief financial officer owned 14,358 shares of the company’s stock, valued at $6,461,387.16. This trade represents a 19.12% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Sassine Ghazi sold 14,603 shares of Synopsys stock in a transaction dated Monday, June 15th. The shares were sold at an average price of $458.96, for a total transaction of $6,702,192.88. Following the sale, the chief executive officer owned 75,020 shares of the company’s stock, valued at $34,431,179.20. The trade was a 16.29% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. 0.56% of the stock is currently owned by insiders.
Synopsys Price Performance SNPS opened at $397.87 on Friday. The business has a fifty day moving average of $419.73 and a 200 day moving average of $440.22. Synopsys, Inc. has a 52-week low of $366.00 and a 52-week high of $615.79. The company has a quick ratio of 1.32, a current ratio of 1.43 and a debt-to-equity ratio of 0.33. The stock has a market cap of $76.18 billion, a P/E ratio of 92.10, a PEG ratio of 2.34 and a beta of 1.23.
Synopsys (NASDAQ:SNPS – Get Free Report) last announced its quarterly earnings data on Wednesday, May 27th. The semiconductor company reported $3.35 EPS for the quarter, beating the consensus estimate of $3.15 by $0.20. Synopsys had a return on equity of 5.83% and a net margin of 8.91%.The company had revenue of $2.28 billion for the quarter, compared to the consensus estimate of $2.25 billion. During the same quarter in the prior year, the company posted $3.67 EPS. Synopsys’s quarterly revenue was up 41.9% on a year-over-year basis. Synopsys has set its FY 2026 guidance at 14.720-14.800 EPS and its Q3 2026 guidance at 3.630-3.690 EPS. As a group, sell-side analysts anticipate that Synopsys, Inc. will post 10.64 EPS for the current year.
About Synopsys (Free Report)
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.
Read More Five stocks we like better than Synopsys 2 Biotech Stocks Shaping Up for Major Breakouts 3 Stocks Came Roaring Back—Now They’re Flashing Warning Signs 3 Beaten-Down Stocks That Haven’t Gotten the Message About the S&P 500’s Record Run Darden Restaurants Just Hit a 52-Week High–Is the Olive Garden Comeback Story Legit?
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B. Metzler seel. Sohn & Co. AG ve 2. čtvrtletí nově koupila 13 863 akcií Synopsys za zhruba 6,184 milionu USD. Synopsys zároveň oznámila kvartální EPS 3,35 USD a tržby 2,28 miliardy USD.
B. Metzler seel. Sohn & Co. AG acquired a new position in shares of Synopsys, Inc. (NASDAQ:SNPS – Free Report) in the 2nd quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm acquired 13,863 shares of the semiconductor company’s stock, valued at approximately $6,184,000.
Other institutional investors also recently modified their holdings of the company. Vanguard Group Inc. lifted its holdings in Synopsys by 1.6% during 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 in the last quarter. BlackRock Inc. acquired a new stake in shares of Synopsys in the 2nd quarter valued at $7,228,099,000. State Street Corp increased 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 valued at $4,128,317,000 after buying an additional 28,532 shares during the period. Morgan Stanley raised its position in shares of Synopsys by 2.5% during the fourth quarter. Morgan Stanley now owns 4,573,980 shares of the semiconductor company’s stock worth $2,148,491,000 after acquiring an additional 109,917 shares during the last quarter. Finally, Geode Capital Management LLC lifted its stake in shares of Synopsys by 1.3% during the fourth quarter. Geode Capital Management LLC now owns 4,310,846 shares of the semiconductor company’s stock valued at $2,017,256,000 after acquiring an additional 54,329 shares during the period. Institutional investors own 85.47% of the company’s stock.
Synopsys Stock Down 0.0% Shares of SNPS stock opened at $397.87 on Friday. Synopsys, Inc. has a 52-week low of $366.00 and a 52-week high of $615.79. The stock has a market cap of $76.18 billion, a price-to-earnings ratio of 92.10, a PEG ratio of 2.34 and a beta of 1.23. The firm’s 50-day moving average is $419.73 and its 200-day moving average is $440.22. The company has a debt-to-equity ratio of 0.33, a quick ratio of 1.32 and a current ratio of 1.43.
Synopsys (NASDAQ:SNPS – Get Free Report) last posted its quarterly earnings results on Wednesday, May 27th. The semiconductor company reported $3.35 EPS for the quarter, topping analysts’ consensus estimates of $3.15 by $0.20. The business had revenue of $2.28 billion during the quarter, compared to analysts’ expectations of $2.25 billion. Synopsys had a return on equity of 5.83% and a net margin of 8.91%.Synopsys’s quarterly revenue was up 41.9% on a year-over-year basis. During the same quarter last year, the company posted $3.67 earnings per share. Synopsys has set its FY 2026 guidance at 14.720-14.800 EPS and its Q3 2026 guidance at 3.630-3.690 EPS. Sell-side analysts predict that Synopsys, Inc. will post 10.65 EPS for the current year. Insider Transactions at Synopsys In other Synopsys news, CFO Shelagh Glaser sold 3,394 shares of the company’s stock in a transaction on Friday, June 12th. The stock was sold at an average price of $450.02, for a total value of $1,527,367.88. Following the transaction, the chief financial officer directly owned 14,358 shares of the company’s stock, valued at $6,461,387.16. This represents a 19.12% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Sassine Ghazi sold 14,603 shares of the company’s stock in a transaction on Monday, June 15th. The shares were sold at an average price of $458.96, for a total value of $6,702,192.88. Following the completion of the transaction, the chief executive officer directly owned 75,020 shares in the company, valued at approximately $34,431,179.20. This represents a 16.29% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. 0.56% of the stock is currently owned by corporate insiders.
Wall Street Analyst Weigh In Several equities analysts recently issued reports on SNPS shares. Rosenblatt Securities raised their price target on Synopsys from $530.00 to $575.00 and gave the company a “buy” rating in a report on Tuesday, May 26th. KeyCorp reissued an “overweight” rating on shares of Synopsys in a report on Wednesday. Wells Fargo & Company cut their target price on shares of Synopsys from $535.00 to $450.00 and set an “equal weight” rating on the stock in a research report on Tuesday, August 11th. Morgan Stanley reduced their target price on shares of Synopsys from $525.00 to $500.00 and set an “equal weight” rating on the stock in a research note on Wednesday. Finally, Benchmark reiterated a “buy” rating on shares of Synopsys in a research report on Wednesday. One investment analyst has rated the stock with a Strong Buy rating, eleven have assigned a Buy rating, five have issued a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $563.59.
View Our Latest Report on SNPS
Synopsys Company Profile (Free Report)
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.
Recommended Stories Five stocks we like better than Synopsys Blueprint for a Boom: SEC Clears the Crypto Runway Ross Stores Just Flipped the Off-Price Retail Story After TJX’s Marmaxx Miss Advance Auto Parts Plunged, But Its Turnaround Is Still Working Is Palo Alto Networks Priced for Perfection Again as AI Security Demand Accelerates? Want to see what other hedge funds are holding SNPS? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Synopsys, Inc. (NASDAQ:SNPS – Free Report).
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Advisors Capital Management ve 2. čtvrtletí koupila novou pozici v Synopsys za zhruba 4,07 milionu USD. CFO Shelagh Glaser a CEO Sassine Ghazi zároveň prodali akcie.
Advisors Capital Management LLC bought a new position in Synopsys, Inc. (NASDAQ:SNPS – Free Report) in the 2nd quarter, according to the company in its most recent 13F filing with the SEC. The firm bought 9,124 shares of the semiconductor company’s stock, valued at approximately $4,070,000.
Other large investors have also recently made changes to their positions in the company. Sankala Group LLC purchased a new position in Synopsys during the 4th quarter worth $25,000. Elevation Wealth Partners LLC lifted its position in shares of Synopsys by 96.4% in the 2nd quarter. Elevation Wealth Partners LLC now owns 55 shares of the semiconductor company’s stock worth $25,000 after purchasing an additional 27 shares during the period. Caitong International Asset Management Co. Ltd purchased a new stake in shares of Synopsys in the 4th quarter worth approximately $28,000. IMG Wealth Management Inc. bought a new position in Synopsys in the second quarter worth approximately $28,000. Finally, Atlas Capital Advisors Inc. bought a new position in Synopsys in the fourth quarter worth approximately $32,000. 85.47% of the stock is owned by hedge funds and other institutional investors.
Insiders Place Their Bets In other Synopsys news, CFO Shelagh Glaser sold 3,394 shares of the firm’s stock in a transaction on Friday, June 12th. The stock was sold at an average price of $450.02, for a total value of $1,527,367.88. Following the transaction, the chief financial officer owned 14,358 shares in the company, valued at approximately $6,461,387.16. This trade represents a 19.12% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Sassine Ghazi sold 14,603 shares of Synopsys stock in a transaction on Monday, June 15th. The stock was sold at an average price of $458.96, for a total transaction of $6,702,192.88. Following the sale, the chief executive officer directly owned 75,020 shares in the company, valued at approximately $34,431,179.20. This trade represents a 16.29% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Company insiders own 0.56% of the company’s stock.
Wall Street Analysts Forecast Growth Several research analysts have recently commented on SNPS shares. Zacks Research raised Synopsys from a “hold” rating to a “strong-buy” rating in a research report on Tuesday, June 30th. BNP Paribas Exane raised their price objective on Synopsys from $425.00 to $450.00 and gave the company an “underperform” rating in a research report on Thursday, May 28th. Robert W. Baird set a $558.00 target price on Synopsys in a research note on Thursday, May 28th. Benchmark reaffirmed a “buy” rating on shares of Synopsys in a research report on Wednesday. Finally, KeyCorp reiterated an “overweight” rating on shares of Synopsys in a research note on Wednesday. One research analyst has rated the stock with a Strong Buy rating, eleven have given a Buy rating, five have assigned a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $563.59. Read Our Latest Report on SNPS
Synopsys Stock Down 0.0% SNPS stock opened at $397.87 on Friday. Synopsys, Inc. has a 52 week low of $366.00 and a 52 week high of $615.79. The company has a quick ratio of 1.32, a current ratio of 1.43 and a debt-to-equity ratio of 0.33. The firm has a 50-day simple moving average of $419.73 and a 200-day simple moving average of $440.22. The stock has a market capitalization of $76.18 billion, a P/E ratio of 92.10, a P/E/G ratio of 2.34 and a beta of 1.23.
Synopsys (NASDAQ:SNPS – Get Free Report) last posted its quarterly earnings data on Wednesday, May 27th. The semiconductor company reported $3.35 earnings per share (EPS) for the quarter, topping the consensus estimate of $3.15 by $0.20. The company had revenue of $2.28 billion for the quarter, compared to analysts’ expectations of $2.25 billion. Synopsys had a return on equity of 5.83% and a net margin of 8.91%.Synopsys’s revenue was up 41.9% compared to the same quarter last year. During the same period in the previous year, the firm posted $3.67 EPS. Synopsys has set its FY 2026 guidance at 14.720-14.800 EPS and its Q3 2026 guidance at 3.630-3.690 EPS. Equities analysts forecast that Synopsys, Inc. will post 10.65 earnings per share for the current fiscal year.
Synopsys Profile (Free Report)
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.
Recommended Stories Five stocks we like better than Synopsys Blueprint for a Boom: SEC Clears the Crypto Runway Ross Stores Just Flipped the Off-Price Retail Story After TJX’s Marmaxx Miss Advance Auto Parts Plunged, But Its Turnaround Is Still Working Is Palo Alto Networks Priced for Perfection Again as AI Security Demand Accelerates? Want to see what other hedge funds are holding SNPS? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Synopsys, Inc. (NASDAQ:SNPS – Free Report).
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Synopsys před výsledky za 3Q ukázal silný růst: tržby ve 2Q stouply meziročně o 41,98 % na 2,28 mld. USD a non-GAAP EPS překonal odhad o 5,96 %.
Firma zároveň zvýšila celoroční výhled.
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Synopsys (NASDAQ:SNPS | SNPS Price Prediction) is the highest-conviction EDA setup in front of the August 26, 2026 after-market fiscal Q3 report, and the data behind that call leaves little room for deliberation. Two consecutive beat-and-raise quarters, expanding margins, and a rapidly deleveraging balance sheet frame the risk/reward as one-sided.
Beat-And-Raise Pattern Already In Motion Synopsys posted non-GAAP EPS of $3.35 against a $3.1617 consensus in Q2, a 5.96% beat, on the heels of a 5.98% Q1 beat. Revenue climbed 41.98% year-over-year to $2.28 billion. Management then raised the FY2026 non-GAAP EPS range to $14.72 to $14.80 and revenue to $9,625 to $9,705 million. Q3 guidance already calls for revenue of $2,410 to $2,460 million and EPS of $3.63 to $3.69. The trajectory is a company beating its own raised bar.
AI-Driven EDA Demand Is Compounding Design Automation adjusted operating margin expanded to 43.3%, and backlog reached $11 billion. CEO Sassine Ghazi framed demand directly: “AI is scaling semiconductor demand, architectural diversity and complexity of chips and the systems they power”. Hyperscaler custom silicon and Ansys integration synergies drove more than 30 full-flow technical wins in Q2 alone.
Cash Generation Funds The Deleveraging Synopsys targets approximately $2,000 million in FY2026 free cash flow and repaid $3.46 billion in debt during H1 FY2026, alongside $262.5 million in buybacks. The September 30, 2026 Investor Day extends the story past this report.
Head-To-Head Against Cadence Cadence Design Systems (NASDAQ:CDNS) is the obvious comparable, and it loses on the metrics that matter. Cadence grew Q2 revenue 24.23% year-over-year against Synopsys’s 41.98%. Cadence’s FY2026 non-GAAP EPS guide of $8.05 to $8.15 and revenue guide of $6.26 billion to $6.34 billion sit well below Synopsys’s $14.76 EPS midpoint and $9,665 million revenue midpoint. Cadence carries a larger $86.74 billion market cap versus SNPS at roughly $76.83 billion. Investors are paying more for slower growth on a smaller revenue base.
Dismissing The Debt Concern The standard pushback centers on the $10.0 billion long-term debt load from the Ansys deal and $403.6 million of quarterly intangibles amortization pressuring GAAP earnings. That objection collapses under H1’s $3.46 billion in paydown and roughly $2B in annual free cash flow, and amortization is a non-cash accounting item. Analyst positioning agrees, at 18 buy, 5 hold, and 1 sell, with an average target of $561.03 against a recent print of $401.24.
SNPS sits at the top of the pre-earnings watchlist heading into next Wednesday’s release.
Contact [email protected] for any questions or corrections.
Allworth Financial LP ve 2. čtvrtletí koupila novou pozici v Synopsys za zhruba 4,286 milionu USD, když nabyla 9 608 akcií. Firma zároveň oznámila čtvrtletní EPS 3,35 USD a tržby 2,28 miliardy USD.
Allworth Financial LP bought a new position in Synopsys, Inc. (NASDAQ:SNPS – Free Report) during the 2nd quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor bought 9,608 shares of the semiconductor company’s stock, valued at approximately $4,286,000.
Other institutional investors have also recently made changes to their positions in the company. Sankala Group LLC bought a new stake in shares of Synopsys in the fourth quarter worth $25,000. Elevation Wealth Partners LLC boosted its position in Synopsys by 96.4% in the second quarter. Elevation Wealth Partners LLC now owns 55 shares of the semiconductor company’s stock worth $25,000 after purchasing an additional 27 shares during the last quarter. IMG Wealth Management Inc. purchased a new position in Synopsys in the second quarter worth about $28,000. Caitong International Asset Management Co. Ltd bought a new stake in shares of Synopsys during the 4th quarter valued at about $28,000. Finally, Atlas Capital Advisors Inc. bought a new stake in shares of Synopsys during the 4th quarter valued at about $32,000. Hedge funds and other institutional investors own 85.47% of the company’s stock.
Synopsys Stock Performance SNPS opened at $397.92 on Friday. The stock has a market capitalization of $76.19 billion, a price-to-earnings ratio of 92.11, a PEG ratio of 2.36 and a beta of 1.23. The company has a fifty day moving average of $420.85 and a 200 day moving average of $440.51. Synopsys, Inc. has a fifty-two week low of $366.00 and a fifty-two week high of $615.79. The company has a debt-to-equity ratio of 0.33, a quick ratio of 1.32 and a current ratio of 1.43.
Synopsys (NASDAQ:SNPS – Get Free Report) last announced its quarterly earnings results on Wednesday, May 27th. The semiconductor company reported $3.35 EPS for the quarter, beating analysts’ consensus estimates of $3.15 by $0.20. Synopsys had a return on equity of 5.83% and a net margin of 8.91%.The company had revenue of $2.28 billion during the quarter, compared to analyst estimates of $2.25 billion. During the same period in the prior year, the company earned $3.67 earnings per share. The firm’s revenue was up 41.9% on a year-over-year basis. Synopsys has set its FY 2026 guidance at 14.720-14.800 EPS and its Q3 2026 guidance at 3.630-3.690 EPS. As a group, sell-side analysts forecast that Synopsys, Inc. will post 10.65 earnings per share for the current fiscal year. Insiders Place Their Bets In related news, CFO Shelagh Glaser sold 3,394 shares of the company’s stock in a transaction dated Friday, June 12th. The shares were sold at an average price of $450.02, for a total transaction of $1,527,367.88. Following the transaction, the chief financial officer directly owned 14,358 shares in the company, valued at approximately $6,461,387.16. This represents a 19.12% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Sassine Ghazi sold 14,603 shares of the stock in a transaction that occurred on Monday, June 15th. The stock was sold at an average price of $458.96, for a total value of $6,702,192.88. Following the completion of the sale, the chief executive officer owned 75,020 shares in the company, valued at approximately $34,431,179.20. The trade was a 16.29% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders own 0.56% of the company’s stock.
Analyst Ratings Changes A number of brokerages have commented on SNPS. Benchmark reaffirmed a “buy” rating on shares of Synopsys in a report on Wednesday. Morgan Stanley dropped their price target on shares of Synopsys from $525.00 to $500.00 and set an “equal weight” rating on the stock in a research note on Wednesday. Berenberg Bank set a $633.00 price objective on shares of Synopsys in a research report on Wednesday, May 27th. BNP Paribas Exane upped their price objective on Synopsys from $425.00 to $450.00 and gave the stock an “underperform” rating in a research note on Thursday, May 28th. Finally, Citigroup raised their target price on Synopsys from $600.00 to $610.00 and gave the stock a “buy” rating in a report on Thursday, May 28th. One research analyst has rated the stock with a Strong Buy rating, eleven have assigned a Buy rating, five have assigned a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average target price of $563.59.
Check Out Our Latest Stock Report on Synopsys
Synopsys Company Profile (Free Report)
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.
See Also Five stocks we like better than Synopsys 3 Energy Stocks Raising Dividends as the Sector Surges 5 Reasons the S&P 500 Could Keep Rallying Through Year-End Walmart’s Post-Earnings Drop Could Be a Buying Opportunity The Trade Desk’s Earnings Miss Raises a Bigger Question About Its AI Future Want to see what other hedge funds are holding SNPS? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Synopsys, Inc. (NASDAQ:SNPS – Free Report).
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Synopsys ve 2. čtvrtletí fiskálního roku 2026 zvýšil výnosy z Design IP o 12 % mezičtvrtletně na 454,2 milionu USD. PCIe 7.0 IP měl přes 90% úspěšnost a získal 18 nových licencí.
Key Takeaways Synopsys' Design IP revenues rose 12% sequentially to $454.2 million in fiscal Q2 2026.PCIe 7.0 IP posted a greater-than-90% win rate and secured 18 new licenses in the quarter.SNPS is focusing resources on AI-driven demand and hyperscaler customization for high-value IP opportunities. Synopsys’ (SNPS - Free Report) Design IP business provides a broad portfolio of semiconductor intellectual property, including logic libraries, embedded memories, wired interface IP, memory interface IP, security IP and embedded processors, increasing customer productivity and reducing design risk.
Synopsys holds a leading position in interface and foundation IP. The business is increasingly focused on areas that benefit from AI-driven semiconductor complexity. Synopsys said demand for high-speed interconnect IP is accelerating because of AI’s massive data requirements.
In the second quarter of fiscal 2026, SNPS’ PCIe 7.0 IP achieved a win rate exceeding 90% and secured 18 new licenses. The company also secured additional UCIe design wins, completed a 64G tapeout on a 2nm process and surpassed 150 lifetime UCIe wins. In memory IP, Synopsys reported design wins across hyperscalers, AI startups and leading semiconductor companies and delivered an HBM4 IP test chip.
Design IP generated $454.2 million in the second quarter of fiscal 2026, accounting for 20% of the company’s revenue. Revenues increased 12% sequentially, while adjusted operating margin was 24.4%. Management expects muted IP growth for fiscal 2026 but believes the segment has begun recovering.
Its strategy is to focus resources on the highest-value opportunities aligned with AI demand and hyperscaler customization, with deeper customer collaboration and customized IP solutions.
How Competitors Fare Against SNPSSynopsys operates in a highly competitive market, with major rivals including Cadence Design Systems Inc. (CDNS - Free Report) and Keysight Technologies (KEYS - Free Report) . These companies serve different stages of the electronic and IC design lifecycle, offering specialized tools and solutions that help customers improve product development, design efficiency and testing.
Keysight Technologies competes primarily in electronic design, measurement and testing, with software and solutions covering areas such as electromagnetic analysis, circuit simulation and hardware verification. Meanwhile, Cadence Design Systems is benefiting from rising design complexity and growing customer investments in AI-powered automation.
Cadence is also strengthening its position through its expanding Cadence.ai portfolio. New offerings, including AgentStack, ChipStack, ViraStack and InnoStack AI Super Agents, are broadening the company’s AI capabilities across the design workflow and could help Cadence maintain its momentum as AI adoption accelerates.
SNPS’ Price Performance, Valuation and EstimatesShares of SNPS have lost 15.7% year to date compared with the Computer - Software industry’s decline of 6%.
SNPS YTD Performance Chart
Image Source: Zacks Investment Research
From a valuation standpoint, SNPS trades at a forward price-to-sales ratio of 7.32X, lower than the industry’s average of 11.08X.
The Zacks Consensus Estimate for SNPS’ fiscal 2026 earnings is pegged at $14.80, indicating 14.6% year-over-year growth. Estimates have remained unchanged for the past 30 days.
Image Source: Zacks Investment Research
SNPS currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Synopsys zapojuje AI do návrhu čipů; DSO.ai už optimalizoval přes 700 tape-outů a VSO.ai pokrývá až 90 % některých bloků SoC. Firma uvádí až 50% rychlejší asistenci při znalostní práci a pětkrát rychlejší tvorbu formálního testbench.
Key Takeaways Synopsys is embedding AI across its portfolio to automate engineering and accelerate design cycles.DSO.ai has optimized over 700 tape-outs, while VSO.ai reaches up to 90% of some SoC blocks.Synopsys cites up to 50% faster knowledge assistance and five times faster formal testbench generation. Synopsys (SNPS - Free Report) is benefiting from the large AI infrastructure expansion, which is fueling semiconductor R&D, system-level design activity and demand for advanced AI computing capabilities. The company is integrating AI throughout its product portfolio to automate engineering processes, accelerate design cycles and enhance customer productivity. This is driving solid design wins, driven by a robust product portfolio.
Synopsys is pursuing a multi-layered AI strategy. At the product level, the company has introduced XSO.ai to embed AI capabilities directly into its solutions. The second layer focuses on customer-specific AI, allowing customers to train AI models on their own workflows and develop knowledge-assistant tools tailored to their requirements. Synopsys is also advancing the use of agentic generative AI to enable more autonomous engineering workflows.
The company also offers DSO.ai and VSO.ai. DSO.ai serves as an optimization engine for chip tape-outs, while VSO.ai is being deployed more extensively across SoC blocks and verification processes. Customers have used DSO.ai to optimize more than 700 cumulative tape-outs, while VSO.ai has been deployed across as much as 90% of SoC blocks in certain chips.
Synopsys benefits from its decades of engineering expertise, proprietary software codebases and solvers, silicon-proven design technologies and strong foundry co-optimization capabilities. These advantages have enabled the company to deliver significant productivity gains, including up to 50% faster knowledge assistance, 70% faster workflow assistance and five times faster formal testbench generation for customers.
Synopsys is leveraging AI on two key fronts like accelerating and improving chip design at present while positioning itself for a broader transition toward more autonomous AI-driven workflows spanning design, verification and simulation. These capabilities should strengthen SNPS’ position as an important player in the AI semiconductor value chain over the long term.
How Competitors Fare Against SNPSSynopsys operates in a highly competitive EDA market, with major rivals, including Cadence Design Systems Inc. (CDNS - Free Report) and Keysight Technologies (KEYS - Free Report) . These companies serve different stages of the electronic and IC design lifecycle, offering specialized tools and solutions that help customers improve product development, design efficiency and testing.
Keysight Technologies competes primarily across electronic design, measurement and testing, with software and solutions covering areas such as electromagnetic analysis, circuit simulation and hardware verification. Meanwhile, Cadence Design Systems is benefiting from increasing design complexity and growing customer investments in AI-powered automation.
Cadence is also strengthening its position through its expanding Cadence.ai portfolio. New offerings, including AgentStack, ChipStack, ViraStack and InnoStack AI Super Agents, are broadening the company’s AI capabilities across the design workflow and could help Cadence maintain its momentum as AI adoption accelerates.
SNPS’ Price Performance, Valuation and EstimatesShares of SNPS have lost 12.5% year to date against the Computer - Software industry’s decline of 3.3%.
SNPS YTD Performance Chart
Image Source: Zacks Investment Research
From a valuation standpoint, SNPS trades at a forward price-to-sales ratio of 7.52X, higher than the industry’s average of 6.31X.
The Zacks Consensus Estimate for SNPS’ fiscal 2026 earnings is pegged at $14.49, indicating 12% year-over-year growth. The estimates have remained unchanged in the past 60 days.
Image Source: Zacks Investment Research
SNPS currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Atreides Management LP bought a new stake in shares of Synopsys, Inc. (NASDAQ:SNPS – Free Report) in the first quarter, according to its most recent disclosure with the Securities and Exchange Commission. The fund bought 136,925 shares of the semiconductor company’s stock, valued at approximately $54,288,000. Synopsys makes up approximately 1.1% of Atreides Management LP’s investment portfolio, making the stock its 26th largest position. Atreides Management LP owned about 0.07% of Synopsys as of its most recent filing with the Securities and Exchange Commission.
Other hedge funds and other institutional investors have also made changes to their positions in the company. Sankala Group LLC purchased a new position in Synopsys during the fourth quarter valued at approximately $25,000. Thurston Springer Miller Herd & Titak Inc. purchased a new stake in Synopsys during the fourth quarter worth $28,000. Caitong International Asset Management Co. Ltd purchased a new stake in Synopsys during the fourth quarter worth $28,000. IMG Wealth Management Inc. purchased a new position in shares of Synopsys in the 1st quarter valued at $30,000. Finally, Atlas Capital Advisors Inc. bought a new position in shares of Synopsys in the 4th quarter worth $32,000. Institutional investors own 85.47% of the company’s stock.
Wall Street Analyst Weigh In Several equities analysts have issued reports on the company. Needham & Company LLC reiterated a “buy” rating and issued a $580.00 target price on shares of Synopsys in a research note on Thursday, May 28th. Stifel Nicolaus increased their price target on shares of Synopsys from $550.00 to $600.00 and gave the company a “buy” rating in a research report on Thursday, May 28th. BNP Paribas Exane lifted their price objective on shares of Synopsys from $425.00 to $450.00 and gave the stock an “underperform” rating in a research report on Thursday, May 28th. Benchmark began coverage on shares of Synopsys in a research note on Wednesday, July 15th. They set a “buy” rating and a $570.00 price objective for the company. Finally, Berenberg Bank set a $633.00 target price on shares of Synopsys in a research report on Wednesday, May 27th. Two analysts have rated the stock with a Strong Buy rating, ten have given a Buy rating, five have assigned a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat, Synopsys currently has an average rating of “Moderate Buy” and an average price target of $570.06.
Get Our Latest Stock Analysis on Synopsys
Insider Transactions at Synopsys In other news, CFO Shelagh Glaser sold 3,394 shares of the firm’s stock in a transaction dated Friday, June 12th. The stock was sold at an average price of $450.02, for a total value of $1,527,367.88. Following the completion of the transaction, the chief financial officer directly owned 14,358 shares in the company, valued at $6,461,387.16. This trade represents a 19.12% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Sassine Ghazi sold 14,603 shares of Synopsys stock in a transaction dated Monday, June 15th. The stock was sold at an average price of $458.96, for a total value of $6,702,192.88. Following the sale, the chief executive officer directly owned 75,020 shares of the company’s stock, valued at $34,431,179.20. This trade represents a 16.29% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. 0.56% of the stock is currently owned by corporate insiders.
Trending Headlines about Synopsys Here are the key news stories impacting Synopsys this week:
Positive Sentiment: AI partnerships are strengthening Synopsys’ growth story. The company introduced autonomous electronic-design-automation (EDA) workflows with Microsoft and AMD, including tools available for evaluation through Microsoft Discovery. Synopsys is positioning its agentic-AI platform to automate chip design from specifications through silicon, potentially increasing customer productivity and demand for its software. Synopsys Advances Agentic AI Chip Design with AMD and Microsoft Positive Sentiment: Intel 14A certification expands Synopsys’ advanced-process opportunity. Certified AI-powered EDA flows, multiphysics analysis, advanced-packaging support and IP such as PCIe 7.0 and 224G SerDes should help customers design for Intel Foundry’s next-generation 14A process. The collaboration builds on Synopsys’ existing support for Intel 18A and 18A-P and could support future licensing and services revenue. Synopsys and Intel Foundry Fast-Track Customer Readiness on Intel 14A Positive Sentiment: NVIDIA collaboration highlights potential productivity gains. Synopsys demonstrated autonomous verification and CAE workflows developed with NVIDIA technology, including a verification agent claimed to deliver up to 50-times faster time-to-validated RTL and additional coverage improvements. Analysts view agentic AI and the Ansys acquisition as important long-term catalysts, while maintaining generally bullish ratings. Synopsys Showcases Autonomous Engineering Workflows with NVIDIA Technology Neutral Sentiment: Investor attention is elevated ahead of earnings. Synopsys is scheduled to report fiscal third-quarter results on August 26. Its latest quarter produced $2.28 billion in revenue, up 41.9% year over year, although much of the increase reflected Ansys, while organic growth was more modest. The company’s full-year fiscal 2026 outlook remains constructive. Negative Sentiment: Valuation and execution concerns may be limiting upside. With a high earnings multiple and the stock still digesting its post-acquisition integration, investors may require stronger organic growth and evidence that AI products translate into material revenue. A coming earnings report also creates risk of profit-taking or disappointment. Negative Sentiment: Reported insider selling adds a minor cautionary signal. CEO Sassine Ghazi and CFO Shelagh Glaser sold shares during the past six months. These transactions may be routine, but they provide little support for sentiment while the stock remains volatile. Synopsys Trading Down 1.3% Shares of Synopsys stock opened at $383.82 on Wednesday. The firm’s 50 day simple moving average is $451.74 and its two-hundred day simple moving average is $453.18. The firm has a market capitalization of $73.49 billion, a price-to-earnings ratio of 88.85, a PEG ratio of 2.29 and a beta of 1.22. Synopsys, Inc. has a 12-month low of $366.00 and a 12-month high of $651.73. The company has a current ratio of 1.43, a quick ratio of 1.32 and a debt-to-equity ratio of 0.33.
Synopsys (NASDAQ:SNPS – Get Free Report) last posted its quarterly earnings data on Wednesday, May 27th. The semiconductor company reported $3.35 EPS for the quarter, topping the consensus estimate of $3.15 by $0.20. Synopsys had a net margin of 8.91% and a return on equity of 5.83%. The business had revenue of $2.28 billion during the quarter, compared to the consensus estimate of $2.25 billion. During the same period in the previous year, the firm posted $3.67 earnings per share. The business’s revenue for the quarter was up 41.9% compared to the same quarter last year. Synopsys has set its FY 2026 guidance at 14.720-14.800 EPS and its Q3 2026 guidance at 3.630-3.690 EPS. Analysts predict that Synopsys, Inc. will post 10.65 EPS for the current year.
Synopsys Company Profile (Free Report)
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.
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Synopsys oznámila rozšířenou spolupráci s Intel Foundry: certifikované AI EDA flow pro Intel 14A mají urychlit návrh čipů a snížit riziko integrace. Firma zároveň rozšiřuje podporu pro multi-die a IP portfolio.
Synopsys Certified AI-powered EDA flows, integrated multiphysics analysis, and broad IP portfolio accelerate Angstrom-scale AI and multi-die designs
Key Highlights
Certified AI-powered EDA flows and multiphysics analysis for Intel 14A designs: Provide early insight into power integrity, thermal, and electromagnetic effects, improving predictability and accelerating convergence From DTCO to system-aware co-optimization: Extends co-optimization across silicon, package, IP and system domains to enable full system realization with optimal PPA Multi-die and advanced packaging leadership: Synopsys 3DIC Compiler platform extends exploration-to-signoff support to designs integrated with Intel EMIB and Intel EMIB-T, enabling multi-die designs Broad IP portfolio for faster time-to-tapeout: Interface and Foundation IP for Intel 14A — including PCIe 7.0, 224G SerDes, USB 4 and eUSB reduce integration risk and accelerate design readiness , /PRNewswire/ -- Synopsys, Inc. (Nasdaq: SNPS) today announced at the 2026 DAC Chips to Systems Conference, expanded collaborations with Intel Foundry with the certification of AI-powered EDA flows on Intel 14A process technology, advancing design enablement from design technology co-optimization (DTCO) to system-aware co-design, building on its certified and production-ready EDA flows and IP portfolio for Intel 18A and Intel 18A-P technologies. As AI and high-performance computing designs move beyond monolithic scaling, success requires connecting process technology with AI-powered EDA flows, multi-die design, integrated multiphysics analysis, and broad IP portfolio to accelerate system-level realization.
"Angstrom-scale design is no longer only about extracting more power, performance, and area from a process node. It is about turning process innovation into predictable system-level outcomes," said Michael Buehler-Garcia, Senior Vice President at Synopsys. "Together with Intel Foundry, Synopsys is helping customers accelerate convergence, reduce late-stage rework, and achieve first-pass silicon success. We applaud the Intel Foundry team for their progress on Intel 14A to expand the capabilities of advanced semiconductor manufacturing."
"In this increasingly AI-driven world, Intel Foundry is committed to supporting our customers by accelerating innovation and providing predictable execution from silicon to packaging on our most advanced technologies," said Shawn Han, SVP and GM, Foundry Services, Intel Corporation. "Our wide-ranging collaboration with Synopsys, including AI-driven, certified flows and IP, gives our customers greater ease of use and confidence to achieve their design goals."
System-Aware Co-Design: EDA Meets Multiphysics
At angstrom-scale geometries with backside power delivery and dense 3D integration, electrical, thermal, and mechanical effects can no longer be effectively analyzed in isolation. Synopsys is uniquely positioned to address this challenge with the integration of Synopsys certified, AI-powered implementation and signoff flows and multiphysics analysis — including power integrity, thermal, and electromagnetic solutions on Intel 14A.
Enabling the Multi-Die Era
With multi-die design now mainstream in AI and HPC, Synopsys and Intel Foundry are extending their proven collaboration to enable efficient system-level integration, analysis, and optimization of advanced chiplet-based architectures. The Synopsys reference design flow based on 3DIC Compiler supports Intel Embedded Multi-die Interconnect Bridge (EMIB) and Embedded Multi-die Interconnect Bridge-T (EMIB-T) advanced packaging technology, with early bump and TSV planning, automated UCIe and HBM routing, and unified multiphysics analysis across dies. Designers can analyze and optimize power delivery networks, thermal gradients, and signal integrity concurrently across die, Intel EMIB and EMIB-T interconnect, and package, catching system-level issues at design time rather than after tapeout.
Advancing Ecosystem Readiness with Broad IP Portfolio Across Intel 18A, Intel 18A-P and Intel 14A
Synopsys and Intel Foundry continue to enable AI and HPC innovation with Synopsys' expanding portfolio of high-performance interface and foundation IP available today for Intel 18A and Intel 18A-P while expanding to support Intel 14A technologies, helping reduce integration risk and accelerate time-to-tapeout for complex SoCs and multi-die designs. New titles optimized for Intel 14A include:
Interface IP, including 224G SerDes, PCIe 7.0, USB 4 and eUSB, addresses the high throughput and connectivity demands of next-generation AI and HPC applications Foundation IP, including embedded memories, logic libraries, and IOs, helps optimize performance, power, and area while lowering total cost of ownership. Resources
Blog: Learn more about Process Design Kits and how Synopsys and Intel Foundry Are Accelerating Customer Success Blog: Learn about the Next-Generation EMIB-T Packaging: A Collaboration Between Synopsys and Intel Foundry Webinar: Learn about EMIB Design Methodology using Synopsys Tools Join Synopsys at the 2026 DAC Chips to Systems Conference
Attendees can visit the Synopsys' booth #631 for demonstrations of the latest solutions and collaborations. For a complete list of Synopsys sessions and activities at DAC 2026, visit the Synopsys DAC 2026 event page.
About Synopsys
Synopsys, Inc. (Nasdaq: SNPS) is the leader in engineering solutions from silicon to systems, enabling customers to rapidly innovate AI-powered products. We deliver industry-leading silicon design, IP, simulation and analysis solutions, and design services. We partner closely with our customers across a wide range of industries to maximize their R&D capability and productivity, powering innovation today that ignites the ingenuity of tomorrow. Learn more at www.synopsys.com.
This press release contains forward-looking statements, which involve risks, uncertainties and other factors that could cause our actual results, time frames, or achievements to differ materially. Information on potential risks, uncertainties and other factors that could affect our results is included in filings we make with the SEC from time to time, including in the sections entitled "Risk Factors" in our latest Annual Report on Form 10-K and Quarterly Report on Form 10-Q.
Contacts
Kelli Wheeler: [email protected]
Pete Smith: [email protected]
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Synopsys představil na Microsoft Discovery první autonomní EDA workflow pro návrh čipů, vyvinuté s Microsoftem a používané AMD. První testy ukázaly až 40% zkrácení doby cyklu ladění.
Synopsys Introduces Industry's First Autonomous EDA Workflows on Microsoft Discovery to Accelerate Engineering from Specification to Silicon
Key Highlights
Synopsys is advancing an open, interoperable agentic AI stack for autonomous workflows across the chip design lifecycle. Introducing two new agentic EDA workflows, developed in collaboration with Microsoft and used by AMD, available for evaluation on Microsoft Discovery to accelerate chip design. Fully-autonomous debug closure workflow initial results demonstrate up to 40% reduction in cycle time , /PRNewswire/ -- Synopsys, Inc. (NASDAQ: SNPS) announced new autonomous agentic AI workflows for chip design, developed in collaboration with Microsoft and available for evaluation on Microsoft Discovery. AI is fundamentally reshaping engineering, and Synopsys is building a comprehensive, open agentic AI stack to increase engineering autonomy and accelerate product design from silicon to systems. This week at the 2026 DAC Chips to Systems Conference, Synopsys is showcasing new fully autonomous workflows powered by AgentEngineer™ technology, extending agentic AI from task automation to long-running engineering execution.
This includes Synopsys autonomous workflows on Microsoft Discovery:
Synopsys fully-autonomous debug closure workflow: A fully autonomous AI-powered verification and root cause analysis (RCA) workflow orchestrated with Microsoft Discovery, brings together domain-specific and task-level agents to identify design failures, automate debug tasks, and accelerate validation— helping engineering teams resolve issues faster and improve silicon quality. Early evaluations show reductions of 25–40% in debug cycle time, saving many weeks of engineering efforts and improving productivity. Synopsys fully-autonomous implementation and closure workflow: An autonomous workflow leveraging Synopsys implementation agents and Fusion Compiler on Azure brings together domain-specific and task-level agents to automate implementation quality-of-results (QoR) tuning and closure. Initial results demonstrate improved QoR. Synopsys, AMD, and Microsoft are enabling AI-powered design workflows that combine large-scale reasoning, domain expertise, and cloud-scale compute to accelerate the development of the next generation of AI infrastructure silicon. Today's milestone builds on the existing collaboration and previously announced agentic specification to RTL workflow, marking the first EDA applications available for evaluation on Microsoft Discovery. Customers can request evaluation access through Synopsys. AMD is actively evaluating the application of autonomous workflows to accelerate the development of their next-generation products.
"AI is reshaping engineering. Together with Microsoft and Synopsys, we're enabling a new generation of AI-assisted design workflows that augment human ingenuity with intelligent automation and optimization," said Alex Starr, AMD Corporate Fellow. "AI driven workflows powered by Discovery and leveraging AI tooling, such as RCA with deep EDA domain knowledge, are a paradigm we see accelerating scaling and deployment, helping improve both design velocity and overall silicon quality."
"We designed Microsoft Discovery to accelerate scientific and engineering innovation with AI, and chip design is an ideal application for Discovery as it addresses one of the most complex engineering challenges on the planet," said Aseem Datar, Corporate Vice President (CVP) of Product Innovation for Microsoft Discovery and Quantum. "We are excited about Synopsys' open, interoperable approach to their agentic platform and the collaborative effort with Synopsys and AMD to make these agentic AI EDA workflows the first available on Discovery."
"As AI-powered systems and hyperscale computing push silicon complexity to unprecedented levels, engineering teams can no longer afford traditional tradeoffs between performance, quality, and development speed," said Ravi Subramanian, Chief Product Management Officer, Synopsys. "Synopsys is addressing this challenge by applying AI capabilities with increasing levels of autonomy to accelerate and transform silicon engineering."
Join Synopsys at the 2026 DAC Chips to Systems Conference
This week at DAC, Synopsys is showcasing AI-powered engineering solutions that enable customers to rapidly design from silicon to system with increased quality, efficiency, precision, and scale. Attendees can visit Synopsys' booth #631 for demonstrations of newly announced autonomous workflows. For a complete list of Synopsys sessions and activities at DAC 2026, visit the Synopsys DAC 2026 event page.
About Synopsys
Synopsys, Inc. (Nasdaq: SNPS) is the leader in engineering solutions from silicon to systems, enabling customers to rapidly innovate AI-powered products. We deliver industry-leading silicon design, IP, simulation and analysis solutions, and design services. We partner closely with our customers across a wide range of industries to maximize their R&D capability and productivity, powering innovation today that ignites the ingenuity of tomorrow. Learn more at www.synopsys.com.
Forward-Looking Statements
This press release contains forward-looking statements, which involve risks, uncertainties and other factors that could cause our actual results, time frames, or achievements to differ materially. Information on potential risks, uncertainties and other factors that could affect our results is included in filings we make with the SEC from time to time, including in the sections entitled "Risk Factors" in our latest Annual Report on Form 10-K and Quarterly Report on Form 10-Q.
Synopsys ve spolupráci s NVIDIA představila plně autonomní workflow pro ověřování čipů, které má zkrátit čas k validovanému RTL až 50× a zlepšit pokrytí o 20 %.
New long-running, fully agentic workflows spanning EDA to CAE multiply engineering productivity
Key Highlights
Synopsys unveils a fully autonomous long-running design verification agent that orchestrates the entire chip verification cycle delivering up to 50X faster time-to-validated RTL while achieving 20% additional coverage improvement Demonstrating Synopsys' first fully autonomous computer-aided engineering (CAE) workflow for thermal management and electronic device cooling capable of autonomously executing set-up, pre-processing, and post-processing in a fraction of the time required for manual approaches Expanded portfolio of more than 20 GPU-accelerated Synopsys EDA and multiphysics products, including 18X speedup of PrimeSim™ SPICE simulations , /PRNewswire/ -- Today at the 2026 DAC Chips to Systems Conference, Synopsys, Inc. (NASDAQ: SNPS) announced advancements to agentic AI for engineering in collaboration with NVIDIA. Synopsys has developed fully autonomous, long-running agentic capabilities for chip design and electronics system design enabled with NVIDIA Nemotron on NVIDIA's accelerated computing platform and secured by the NVIDIA OpenShell runtime. Demonstrated at DAC for the first time, Synopsys' capabilities promise to be a force multiplier for R&D teams beyond task agents, transforming time-consuming chip verification and thermal simulation into automated insight delivery, engineering productivity, and system performance improvement engines.
"AI is fundamentally reshaping engineering, and Synopsys is at the forefront of this transformation, enabling fully autonomous agents across every stage of silicon and systems development," said Ravi Subramanian, Chief Product Management Officer at Synopsys. "Our close collaboration with NVIDIA continues to accelerate the development of next-generation AI technologies by combining Synopsys' domain expertise spanning EDA and CAE with NVIDIA's advanced AI infrastructure and technologies. Together, we are enabling a new class of autonomous engineering workflows that elevate productivity, unlock deeper insights, and help customers innovate faster."
"The future of engineering is agentic, where AI agents reason, plan, execute complex workflows and verify their own work across the entire product development lifecycle," said Tim Costa, Vice President and General Manager for Computational Engineering at NVIDIA. "Synopsys is using NVIDIA AI tools and accelerated computing to build simulation and AI physics agents that help teams close verification, automate thermal analysis and compress development cycles from weeks to hours."
Introducing Synopsys' Fully Autonomous Design Verification (DV) Workflow
Coverage closure has been among the most significant bottlenecks in the DV process. Despite assistive tools, engineering teams spend significant labor and compute resources on incremental improvements. The companies are evolving the DV approach from tool-assisted to a goal-driven workflow that autonomously pursues coverage closure and traces root failure causes throughout development.
The solution, built on Synopsys' agentic AI platform and powered by Synopsys AgentEngineer™ technology and NVIDIA's agentic AI infrastructure — including NVIDIA Agent Toolkit, NVIDIA Nemotron 3 Ultra open model, and OpenShell runtime — features a fully autonomous, long-running orchestrator agent. The orchestrator agent deconstructs DV goals from specification, design, test repository, and user inputs, and orchestrates specialized agents and tools in a closed loop workflow spanning the full chip verification lifecycle, from test plan generation to coverage closure and advanced debug. Demonstrated at DAC, the end-to-end fully autonomous verification closure agentic flow compresses weeks of manual labor into hours of agentic execution that achieves up to 50X faster time-to-validated RTL with an additional 20% improvement in coverage.1
Autonomous Analog & Mixed-Signal (AMS) Workflows
AI-powered Custom Compiler™ Layout Synthesis (CCLS) is laying the foundation for autonomous analog and mixed-signal (AMS) design by automating layout generation, optimization, and design-layout convergence. Building on these capabilities, Synopsys AgentEngineer™ technology orchestrates multi-step analog flow spanning design creation, SPICE simulation, implementation, and verification. Engineers define design intent and performance goals in natural language, while autonomous agents execute and optimize the workflow, accelerating design closure and improving productivity by up to 3X.2
Delivering Autonomous Engineering Agents Across Design and Simulation
Synopsys developed a fully autonomous agentic CAE workflow for electronics thermal analysis using NVIDIA Agent Toolkit and NVIDIA CUDA-X libraries. Built with Ansys Icepak® electronics cooling simulation software — now part of the Synopsys portfolio — and open-source PyAEDT libraries, the agentic workflow autonomously executes simulation set-up, pre- and post-processing in a fraction of the time required for traditional approaches.
Extending the Value of GPU Acceleration to More Engineering Workflows
Synopsys continues to accelerate innovation with the industry's broadest portfolio of more than 20 GPU-enabled EDA and multiphysics products, unlocking deeper analysis and faster time-to-market across the design flow — from physical verification to photonics simulation. Recent developments include:
PrimeSim™ SPICE circuit simulations perform up to 18X faster leveraging NVIDIA GPUs.3 Synopsys QuantumATK® accelerates next-generation semiconductor material innovation by up to 50X for Gaussian-basis quantum chemistry simulations enabled by cuEST and up to 200x faster machine-learned force field simulations using NVIDIA Blackwell GPU infrastructure. Ansys Lumerical FDTD™ 3D electromagnetic simulation software achieved a 10X speedup on NVIDIA GPUs compared to CPUs when used within Synopsys' Multiphysics Fusion™ solution for analog and photonic design. In addition, Synopsys continues its deep collaboration with NVIDIA leveraging CUDA-X libraries to accelerate its solvers, including cuLitho, cuDSS, cuEST, and use cases in development with the newly announced cuISS library. Availability
Customers are currently evaluating Synopsys' agentic EDA and CAE capabilities with availability planned for the second half of 2026.
Follow Synopsys online for updates via our Newsroom, on LinkedIn, and on X.
Join Synopsys at the 2026 DAC Chips to Systems Conference
This week at DAC, Synopsys is showcasing AI-powered engineering solutions that enable customers to rapidly design from silicon to system with increased quality, efficiency, precision, and scale. Attendees can visit Synopsys' booth #631 for demonstrations of newly announced autonomous workflows. For a complete list of Synopsys sessions and activities at DAC 2026, visit the Synopsys DAC 2026 event page.
1 Compared to traditional verification workflows not powered by AgentEngineer technology.
2 AMS workflow leverages CCLS which delivers 3X gains in productivity.
3 PrimeSim SPICE delivered approximately 18X faster overall wall-clock time by introducing NVIDIA GPUs compared to CPU-only workloads.
About Synopsys
Synopsys, Inc. (Nasdaq: SNPS) is the leader in engineering solutions from silicon to systems, enabling customers to rapidly innovate AI-powered products. We deliver industry-leading silicon design, IP, simulation and analysis solutions, and design services. We partner closely with our customers across a wide range of industries to maximize their R&D capability and productivity, powering innovation today that ignites the ingenuity of tomorrow. Learn more at www.synopsys.com.
Forward-Looking Statements
This press release contains forward-looking statements, which involve risks, uncertainties and other factors that could cause our actual results, time frames, or achievements to differ materially. Information on potential risks, uncertainties and other factors that could affect our results is included in filings we make with the SEC from time to time, including in the sections entitled "Risk Factors" in our latest Annual Report on Form 10-K and Quarterly Report on Form 10-Q.
Media Contacts
Kelli Wheeler, [email protected]
Pete Smith, [email protected]
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Moonshot AI s modelem Kimi K3 znovu vyvolal tlak na polovodiče, ale Mizuho tvrdí, že Synopsys a Cadence Design Systems z toho mohou těžit. Kimi K3 podle ní spíš zvýší využití EDA softwaru, než aby jej nahradil.
Moonshot AI's launch of its latest artificial intelligence model, Kimi K3, has shaken global technology markets, reviving memories of the DeepSeek shock earlier this year.
While the model has intensified concerns over the dominance of US AI leaders such as OpenAI and Anthropic, analysts say the broader implications for the AI ecosystem are more nuanced, with several hardware and infrastructure companies potentially emerging as long-term winners.
The Chinese startup claims Kimi K3 rivals some of the world's most advanced AI models despite relying on fewer cutting-edge AI chips, raising fresh questions about the future economics of AI development and spending.
The announcement triggered renewed selling across semiconductor stocks on Friday as investors weighed the possibility that advances in AI efficiency could reduce future demand for expensive computing hardware.
The Philadelphia Semiconductor Index dropped 4% during the session.
"Whatever gap existed between American and Chinese frontier AI just got a lot smaller, and it happened on the exact morning Wall Street was busy convincing itself AI economics don't add up," Mark Malek, chief investment officer at Siebert Financial, wrote following the market reaction on Friday.
Despite concerns surrounding AI chip demand, several investors believe memory manufacturers remain among the strongest positioned companies as AI models continue becoming larger and more capable.
According to Bloomberg, Kimi K3 features 2.8 trillion parameters and supports a one-million-token context window, specifications that require substantially higher memory capacity than previous generations of AI models.
Stanley Tang, senior portfolio manager at Sumitomo Mitsui DS Asset Management, told Bloomberg that memory suppliers should remain among the biggest beneficiaries because the market continues to be dominated by only a handful of companies, including SK Hynix and Samsung Electronics.
Tang added that growing adoption of models such as Kimi K3 is unlikely to reduce overall computing demand.
Instead, broader deployment of agentic AI systems could accelerate hardware consumption over time.
That view is shared by Gary Tan, portfolio manager at Allspring Global Investments.
He told Bloomberg that "the biggest winners will remain the AI infrastructure layer," adding that China's push toward open-source AI would require greater computing resources and continue driving demand for networking equipment and memory chips.
However, whether Nvidia and AMD can maintain the scarcity premium that has driven their valuations is less certain.
While semiconductor shares broadly came under pressure, Mizuho believes concerns surrounding electronic design automation software companies have been overstated.
The brokerage said Kimi K3 strengthens rather than weakens its long-term investment thesis for Synopsys and Cadence Design Systems.
Both companies fell between 8% and 10% last week as investors worried that increasingly capable open-source AI models from China could eventually replace portions of the semiconductor design process.
Mizuho's TMT sector specialist Jordan Klein said those fears were misplaced.
The firm said it "believes this risk is way overblown" and maintained its positive stance on both companies, Investing.com reported.
According to Klein, Kimi K3 functions as a general-purpose AI agent using existing open-source EDA tools such as OpenRoad rather than replacing the underlying software platforms.
He argued that foundation AI models cannot substitute for the deterministic and physically accurate engineering tools required for semiconductor design.
Instead, autonomous AI agents are expected to increase usage of existing EDA software by helping engineers work more efficiently.
Mizuho believes this trend supports its broader "agentic AI engineer" thesis, under which AI helps address the semiconductor industry's engineering talent shortage while expanding monetization opportunities for EDA companies beyond software licensing into engineering productivity, potentially tripling the industry's addressable market over time.
Synopsys uzavřel na 417,03 USD, což představuje denní pokles o 1,94 % a za poslední měsíc ztrátu 7,9 %. Investoři sledují blížící se výsledky, trh očekává EPS 3,68 USD a tržby 2,44 miliardy USD.
In the latest trading session, Synopsys (SNPS - Free Report) closed at $417.03, marking a -1.94% move from the previous day. This change lagged the S&P 500's daily loss of 0.51%. On the other hand, the Dow registered a loss of 0.2%, and the technology-centric Nasdaq decreased by 1.47%.
The maker of software used to test and develop chips's stock has dropped by 7.9% in the past month, falling short of the Computer and Technology sector's loss of 2.99% and the S&P 500's gain of 0.53%.
The upcoming earnings release of Synopsys will be of great interest to investors. The company is predicted to post an EPS of $3.68, indicating a 8.55% growth compared to the equivalent quarter last year. Our most recent consensus estimate is calling for quarterly revenue of $2.44 billion, up 40.31% from the year-ago period.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $14.75 per share and revenue of $9.69 billion. These totals would mark changes of +14.25% and +37.37%, respectively, from last year.
Investors should also pay attention to any latest changes in analyst estimates for Synopsys. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Synopsys is currently sporting a Zacks Rank of #1 (Strong Buy).
In terms of valuation, Synopsys is presently being traded at a Forward P/E ratio of 28.83. This expresses a premium compared to the average Forward P/E of 16.49 of its industry.
Meanwhile, SNPS's PEG ratio is currently 1.8. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Computer - Software industry had an average PEG ratio of 1.26 as trading concluded yesterday.
The Computer - Software industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 95, this industry ranks in the top 39% of all industries, numbering over 250.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
Synopsys ukončí prodej softwaru EES a FDC pro řízení výroby polovodičů a přesouvá zdroje do návrhu čipů s využitím AI. O plánu už informoval více než 10 výrobců čipů včetně Samsungu a SK Hynix.
SummaryCompaniesSynopsys informed chipmakers including Samsung, SK Hynix about 'end of life' move, sources saySoftware helps monitor and detect production anomalies during chip productionSynopsys says it is discontinuing select legacy products to focus resources on other higher-value onesSEOUL, July 7 (Reuters) - U.S. chip design giant Synopsys (SNPS.O), opens new tab plans to stop offering a suite of manufacturing process control software used by global semiconductor makers, six sources briefed on the matter said, as it seeks to divert resources to higher-margin offerings such as AI design.
Synopsys in April and May informed more than 10 chipmakers including Samsung Electronics, SK Hynix (000660.KS), opens new tab, Kioxia Holdings Corp (285A.T), opens new tab and Qorvo Inc (QRVO.O), opens new tab about the "end of life" move that means Synopsys will not provide future new versions and will only carry out maintenance obligations, two of the sources said.
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The affected products include the Equipment Engineering System (EES) and Fault Detection and Classification (FDC), a set of automation software that acts as the central nervous system of semiconductor fabrication plants to monitor and detect any anomalies before they cascade into costly defects, the two sources said.
The company has already laid off a few dozen staff, said three of the sources, one of whom added that Synopsys plans to conclude talks with each chipmaker on maintenance obligations by July.
Synopsys is discontinuing some legacy manufacturing analytics products to focus resources on the highest-value products, a company spokesperson told Reuters in a statement, without naming the products.
The move highlights a changing balance in the semiconductor software industry, where vendors are investing more heavily in AI design technologies while some chipmakers increasingly build manufacturing software in-house.
"While we are discontinuing certain manufacturing analytics products, which are older diagnostic tools not in our customers' critical paths of production, we continue to invest in new capabilities in this area of our portfolio and are honoring all existing contractual and support obligations as we take this action,” the Synopsys spokesperson said.
The company declined to disclose whether job cuts were involved.
CUSTOMERS LOOK TO DEVELOP IN-HOUSE TOOLSSynopsys began offering the EES product after acquiring semiconductor manufacturing solutions from South Korean firm BISTel in 2021 for an undisclosed amount.
One of the sources said Synopsys had been wanting to be free of support and maintenance obligations related to IP services and to reallocate engineers to high-margin AI design. Synopsys completed its $35 billion purchase of engineering software firm Ansys, opens new tab in 2025.
That person and a second source said the software's removal risked causing some declines in production yields for chipmakers as the software needed to be constantly maintained, updated and patched.
However, four of the other sources said they did not expect an impact on production at major chipmakers.
One of the sources said the decision was also taken partly because enhancing the EES service required chipmakers to share tightly-held manufacturing data. Some clients like Samsung were also developing their own in-house tools, impacting the competitiveness of Synopsys' offerings, two sources said.
A Samsung spokesperson confirmed the end-of-life decision and said active discussions were underway with Synopsys regarding the product's sunset. Samsung had established compatible alternatives and there would be "no negative impact on production," the spokesperson said when asked if production yields could decline.
SK Hynix declined to comment. Kioxia and Qorvo did not respond to requests for comment.
Synopsys has for decades been one of the main suppliers of software used in determining how to arrange the tens of billions of transistors that make up chips, which can be 2,000 times smaller than the width of a strand of human hair.
In March, Synopsys introduced a technology it said would pave the way toward AI agents taking over many of the tasks in creating chips.
Reporting by Cynthia Kim and Hyunjoo Jin in Seoul, Wen-Yee Lee in Taipei and Stephen Nellis in San Francisco; Editing by Brenda Goh and Jamie Freed
Our Standards: The Thomson Reuters Trust Principles., opens new tab
Synopsys po silném čtvrtletí zůstává pod tlakem, ale 24/7 Wall St. vidí cílovou cenu 561,40 USD, tedy potenciál růstu 23,25 % z 455,51 USD. Tržby ve 2. čtvrtletí fiskálního roku 2026 vzrostly o 42 % na 2,276 mld. USD a management zvýšil výhled na fiskální rok 2026.
Synopsys (NASDAQ:SNPS | SNPS Price Prediction) is one of the most strategically positioned software franchises in the AI-era semiconductor stack, and the recent pullback has reset the setup for investors evaluating the name.
The 24/7 Wall St. price target for Synopsys is $561.40, implying 23.25% upside from $455.51. Our model classifies SNPS as a high-conviction setup, with 90% confidence in the target.
24/7 Wall St. Price Target Summary Metric Value Current Price $455.51 24/7 Wall St. Price Target $561.40 Upside 23.25% Recommendation BUY Confidence 90% A Strong Quarter Met With a Sleepy Stock SNPS is down 7.77% over the past month and 3.03% year to date, trading 14% below its 52-week high of $651.73 and well off the low of $376.18.
The cooldown followed a strong Q2 FY26 print on May 27, 2026: revenue of $2.276B, up 42% YoY, with non-GAAP EPS of $3.35 beating estimates by 5.96%. Design Automation operating margin expanded to 43.3% from 40.9% a year earlier. Management raised FY26 guidance to $9.625B to $9.705B in revenue and $14.72 to $14.80 in non-GAAP EPS.
The Case for $667 and Beyond Bulls have a clean thesis. CEO Sassine Ghazi said on the Q2 call that “AI is scaling semiconductor demand, architectural diversity and complexity of chips and the systems they power, driving demand across our portfolio.”
Synopsys sits at the choke point for every advanced-node design, and the $35 billion Ansys acquisition that closed July 17, 2025 extends that moat into multi-physics simulation.
Q1 FY26 revenue grew 65.4% YoY, and the backlog stood at $11.4B exiting FY25. Of 25 analysts, 17 rate the stock Buy or Strong Buy against just one Strong Sell. Our bull case scenario puts SNPS at $667.14 within 12 months, a 46.46% return, if Ansys synergies accelerate and the September 30 Investor Day reveals raised long-term targets.
The Risks Worth Watching The bear case starts with the balance sheet. SNPS carries roughly $10B in long-term debt and $403.6M in quarterly intangibles amortization, which crushed GAAP net income to $17.1M in Q2.
Bulls will counter that this is purely a non-cash artifact of purchase accounting and that non-GAAP EPS and free cash flow of $2B tell the real story. Design IP remains soft, with management divesting Processor IP Solutions, and export controls into China remain an overhang.
Year-over-year quarterly earnings growth of -0.96% trimmed our factor by 0.03. The bear scenario lands the stock at $494.55 over the next year, still 8.57% above today.
Synopsys Price Prediction 2026-2030 The 24/7 Wall St. price target of $561.40 reflects a high-confidence buy. The tipping factor is the disconnect between accelerating non-GAAP fundamentals and a stock that has gone nowhere YTD.
The bull case rests on AI-driven design complexity remaining a multi-year tailwind and Ansys synergies landing as guided. The bear case strengthens if the trailing P/E of 104 matters more than the forward P/E of 31, or if China export controls tighten further.
Looking further out, here is where our model projects SNPS could trade, assuming current growth and margin trajectories hold.
Year 24/7 Wall St. Price Target 2026 $561.40 2027 $666.63 2028 $710.01 2029 $805.26 2030 $849.44 These projections assume Synopsys keeps executing on Ansys integration and AI design demand stays robust. Significant upside or downside could come from China export policy, EDA pricing power, or the pace of advanced-node design starts.
