Synopsys (NASDAQ:SNPS) Raised to Neutral at Bank of America

Synopsys (NASDAQ:SNPS) was upgraded by stock analysts at Bank of America from an “underperform” rating to a “neutral” rating in a report issued on Monday,Benzinga reports. The brokerage presently has a $500.00 target price on the semiconductor company’s stock, down from their prior target price of $525.00. Bank of America‘s price objective points to a potential upside of 7.12% from the company’s current price.

Several other equities research analysts also recently issued reports on the stock. Robert W. Baird restated a “neutral” rating and set a $535.00 price objective (down from $670.00) on shares of Synopsys in a research report on Wednesday, September 10th. Piper Sandler lowered their target price on Synopsys from $660.00 to $630.00 and set an “overweight” rating on the stock in a research note on Wednesday, September 10th. KeyCorp reduced their price target on Synopsys from $590.00 to $575.00 and set an “overweight” rating for the company in a research note on Wednesday. Wells Fargo & Company decreased their price objective on Synopsys from $550.00 to $445.00 and set an “equal weight” rating on the stock in a report on Tuesday, November 25th. Finally, Citigroup began coverage on Synopsys in a report on Monday, November 24th. They set a “buy” rating and a $580.00 target price for the company. Ten investment analysts have rated the stock with a Buy rating, seven have issued a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average target price of $553.67.

Synopsys Stock Up 0.7%

SNPS stock opened at $466.76 on Monday. Synopsys has a 1-year low of $365.74 and a 1-year high of $651.73. The business’s 50 day simple moving average is $437.04 and its 200 day simple moving average is $505.38. The company has a current ratio of 1.62, a quick ratio of 1.51 and a debt-to-equity ratio of 0.52. The firm has a market capitalization of $86.70 billion, a PE ratio of 36.64, a PEG ratio of 5.35 and a beta of 1.16.

Synopsys (NASDAQ:SNPS) last released its quarterly earnings data on Tuesday, September 9th. The semiconductor company reported $2.30 EPS for the quarter, missing the consensus estimate of $3.75 by ($1.45). The company had revenue of $1.74 billion during the quarter, compared to analyst estimates of $1.77 billion. Synopsys had a net margin of 31.04% and a return on equity of 10.82%. Synopsys’s revenue for the quarter was up 14.0% on a year-over-year basis. During the same quarter in the prior year, the firm earned $3.43 earnings per share. Synopsys has set its FY 2025 guidance at 12.760-12.800 EPS and its Q4 2025 guidance at 2.760-2.80 EPS. As a group, research analysts anticipate that Synopsys will post 10.64 EPS for the current year.

Insider Transactions at Synopsys

In other Synopsys news, CAO Sudhindra Kankanwadi sold 9,873 shares of the business’s stock in a transaction that occurred on Monday, September 22nd. The shares were sold at an average price of $500.90, for a total transaction of $4,945,385.70. Following the completion of the transaction, the chief accounting officer directly owned 20,520 shares in the company, valued at $10,278,468. The trade was a 32.48% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, Director Robert G. Painter bought 350 shares of Synopsys stock in a transaction on Thursday, September 11th. The stock was acquired at an average cost of $425.44 per share, for a total transaction of $148,904.00. Following the acquisition, the director owned 2,291 shares in the company, valued at approximately $974,683.04. This represents a 18.03% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. Corporate insiders own 0.62% of the company’s stock.

Institutional Investors Weigh In On Synopsys

Several hedge funds have recently modified their holdings of SNPS. Vanguard Group Inc. raised its position in Synopsys by 20.7% in the third quarter. Vanguard Group Inc. now owns 18,181,185 shares of the semiconductor company’s stock valued at $8,970,415,000 after purchasing an additional 3,120,401 shares during the last quarter. State Street Corp grew its holdings in shares of Synopsys by 20.6% during the third quarter. State Street Corp now owns 8,760,358 shares of the semiconductor company’s stock worth $4,322,273,000 after purchasing an additional 1,493,912 shares during the last quarter. Geode Capital Management LLC increased its stake in shares of Synopsys by 1.5% in the second quarter. Geode Capital Management LLC now owns 3,545,892 shares of the semiconductor company’s stock valued at $1,810,214,000 after buying an additional 51,043 shares during the period. Victory Capital Management Inc. raised its holdings in Synopsys by 238.8% in the 3rd quarter. Victory Capital Management Inc. now owns 2,824,349 shares of the semiconductor company’s stock valued at $1,393,506,000 after buying an additional 1,990,608 shares during the last quarter. Finally, Ameriprise Financial Inc. boosted its position in Synopsys by 29.1% during the 2nd quarter. Ameriprise Financial Inc. now owns 2,598,874 shares of the semiconductor company’s stock worth $1,333,095,000 after buying an additional 585,494 shares during the period. Institutional investors and hedge funds own 85.47% of the company’s stock.

About Synopsys

Synopsys, Inc provides electronic design automation software products used to design and test integrated circuits. It operates in three segments: Design Automation, Design IP, and Software Integrity. The company offers Digital and Custom IC Design solution that provides digital design implementation solutions; Verification solution that offers virtual prototyping, static and formal verification, simulation, emulation, field programmable gate array (FPGA)-based prototyping, and debug solutions; and FPGA design products that are programmed to perform specific functions.