Synopsys (NASDAQ:SNPS) Issues Quarterly Earnings Results, Misses Estimates By $0.89 EPS

Synopsys (NASDAQ:SNPS) announced its earnings results on Wednesday. The semiconductor company reported $1.90 earnings per share for the quarter, missing analysts’ consensus estimates of $2.79 by ($0.89), Zacks reports. Synopsys had a return on equity of 10.82% and a net margin of 31.04%.

Synopsys Trading Up 2.3%

Shares of Synopsys stock traded up $10.59 during trading on Wednesday, reaching $476.44. 2,374,678 shares of the stock were exchanged, compared to its average volume of 1,877,311. The stock’s fifty day moving average is $436.17 and its 200 day moving average is $504.88. The firm has a market cap of $88.50 billion, a price-to-earnings ratio of 37.40, a price-to-earnings-growth ratio of 5.34 and a beta of 1.16. The company has a quick ratio of 1.51, a current ratio of 1.62 and a debt-to-equity ratio of 0.52. Synopsys has a 1 year low of $365.74 and a 1 year high of $651.73.

Wall Street Analysts Forecast Growth

Several research analysts recently weighed in on the stock. The Goldman Sachs Group decreased their price objective on shares of Synopsys from $700.00 to $600.00 and set a “buy” rating on the stock in a research report on Wednesday, September 10th. JPMorgan Chase & Co. reduced their target price on Synopsys from $685.00 to $600.00 and set an “overweight” rating on the stock in a research note on Wednesday, September 10th. Rosenblatt Securities upgraded Synopsys from a “neutral” rating to a “buy” rating and lowered their price target for the company from $605.00 to $560.00 in a research report on Tuesday. Citigroup initiated coverage on Synopsys in a report on Monday, November 24th. They issued a “buy” rating and a $580.00 price objective for the company. Finally, Bank of America upgraded shares of Synopsys from an “underperform” rating to a “neutral” rating and reduced their price target for the company from $525.00 to $500.00 in a research report on Monday. Eleven investment analysts have rated the stock with a Buy rating, six have given a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat, Synopsys has an average rating of “Moderate Buy” and an average price target of $550.67.

Insider Buying and Selling at Synopsys

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

Institutional Trading of Synopsys

A number of institutional investors and hedge funds have recently bought and sold shares of SNPS. WealthCollab LLC increased its holdings in Synopsys by 110.8% in the 3rd quarter. WealthCollab LLC now owns 78 shares of the semiconductor company’s stock worth $38,000 after acquiring an additional 41 shares in the last quarter. JPL Wealth Management LLC purchased a new stake in Synopsys during the third quarter valued at $41,000. Measured Wealth Private Client Group LLC purchased a new stake in shares of Synopsys during the 3rd quarter valued at about $42,000. State of Wyoming bought a new position in shares of Synopsys during the 2nd quarter valued at approximately $63,000. Finally, Pin Oak Investment Advisors Inc. bought a new stake in shares of Synopsys in the 3rd quarter worth about $77,000. 85.47% of the stock is currently owned by institutional investors.

Synopsys Company Profile

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.