Investors Purchase Large Volume of Call Options on Synopsys (NASDAQ:SNPS)

Synopsys, Inc. (NASDAQ:SNPS) was the target of unusually large options trading on Wednesday. Investors bought 15,971 call options on the company. This is an increase of 169% compared to the typical volume of 5,938 call options.

Insider Buying and Selling

In other Synopsys news, CFO Shelagh Glaser sold 3,657 shares of the business’s stock in a transaction that occurred on Friday, December 19th. The shares were sold at an average price of $460.77, for a total transaction of $1,685,035.89. Following the completion of the transaction, the chief financial officer owned 17,842 shares in the company, valued at $8,221,058.34. The trade was a 17.01% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, insider Janet Lee sold 250 shares of the firm’s stock in a transaction on Monday, January 12th. The shares were sold at an average price of $530.00, for a total transaction of $132,500.00. Following the completion of the sale, the insider owned 11,959 shares in the company, valued at $6,338,270. The trade was a 2.05% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 4,157 shares of company stock worth $1,945,036 over the last 90 days. Insiders own 0.62% of the company’s stock.

Institutional Inflows and Outflows

Several large investors have recently added to or reduced their stakes in the company. Alpine Bank Wealth Management raised its stake in shares of Synopsys by 89.3% during the 3rd quarter. Alpine Bank Wealth Management now owns 53 shares of the semiconductor company’s stock worth $26,000 after buying an additional 25 shares in the last quarter. TFC Financial Management Inc. grew its holdings in Synopsys by 1,250.0% during the third quarter. TFC Financial Management Inc. now owns 54 shares of the semiconductor company’s stock worth $27,000 after acquiring an additional 50 shares during the period. Millstone Evans Group LLC purchased a new position in Synopsys in the third quarter worth $27,000. SOA Wealth Advisors LLC. purchased a new position in Synopsys in the third quarter worth $28,000. Finally, Thurston Springer Miller Herd & Titak Inc. acquired a new stake in Synopsys in the fourth quarter valued at $28,000. 85.47% of the stock is owned by hedge funds and other institutional investors.

Analyst Upgrades and Downgrades

Several analysts have recently weighed in on the stock. Needham & Company LLC boosted their price objective on shares of Synopsys from $550.00 to $580.00 and gave the stock a “buy” rating in a research report on Thursday, December 11th. Piper Sandler lowered shares of Synopsys from an “overweight” rating to a “neutral” rating and cut their price target for the stock from $602.00 to $520.00 in a research note on Tuesday, January 13th. Wells Fargo & Company upped their price objective on shares of Synopsys from $445.00 to $500.00 and gave the company an “equal weight” rating in a research note on Thursday, December 11th. Wall Street Zen upgraded Synopsys from a “sell” rating to a “hold” rating in a research report on Saturday, December 13th. Finally, Zacks Research raised Synopsys from a “strong sell” rating to a “hold” rating in a research report on Monday, November 10th. Nine analysts have rated the stock with a Buy rating, seven have issued a Hold rating and one has given a Sell rating to the stock. According to MarketBeat.com, the stock presently has a consensus rating of “Hold” and a consensus target price of $547.00.

Synopsys Stock Performance

Synopsys stock traded up $8.99 during mid-day trading on Wednesday, reaching $449.71. 977,608 shares of the company were exchanged, compared to its average volume of 2,132,714. The firm’s 50-day simple moving average is $472.93 and its two-hundred day simple moving average is $479.23. Synopsys has a twelve month low of $365.74 and a twelve month high of $651.73. The firm has a market cap of $86.15 billion, a PE ratio of 56.28, a price-to-earnings-growth ratio of 3.50 and a beta of 1.12. The company has a debt-to-equity ratio of 0.48, a quick ratio of 1.52 and a current ratio of 1.62.

Synopsys (NASDAQ:SNPS) last released its quarterly earnings results on Wednesday, December 10th. The semiconductor company reported $2.90 EPS for the quarter, topping the consensus estimate of $2.79 by $0.11. Synopsys had a return on equity of 7.89% and a net margin of 18.89%.The business had revenue of $2.25 billion during the quarter, compared to analysts’ expectations of $2.25 billion. During the same quarter in the prior year, the business earned $3.40 earnings per share. The company’s quarterly revenue was up 37.8% compared to the same quarter last year. Synopsys has set its FY 2026 guidance at 14.320-14.400 EPS and its Q1 2026 guidance at 3.520-3.580 EPS. Equities analysts predict that Synopsys will post 10.64 earnings per share for the current fiscal year.

Synopsys Company Profile

Synopsys, Inc is a leading provider of electronic design automation (EDA) software and semiconductor intellectual property (IP) used to design, verify and manufacture integrated circuits and complex systems-on-chip (SoCs). Its product portfolio spans tools and technologies for front‑end design and synthesis, simulation and verification, physical implementation and signoff, and design-for-manufacturability, enabling chip designers to move from architecture through tape‑out.

In addition to core EDA offerings, Synopsys supplies a broad set of semiconductor IP building blocks — such as interface, memory and analog/mixed-signal cores — that customers integrate into SoCs to accelerate development.