Synopsys' (SNPS) "Buy" Rating Reaffirmed at Rosenblatt Securities

Key Points

• Rosenblatt Securities reaffirmed its “Buy” rating on Synopsys and set a $575 price target, implying approximately 45.75% upside from the stock’s $394.51 opening price. Analysts overall rate the stock “Moderate Buy,” with an average target of $563.59.
• Synopsys exceeded quarterly expectations, reporting $3.35 in EPS versus the $3.15 consensus and $2.28 billion in revenue versus $2.25 billion expected. Revenue increased 41.9% year over year, while the company issued fiscal 2026 EPS guidance of $14.72–$14.80.
• Company insiders sold shares under pre-arranged Rule 10b5-1 plans, including CEO Sassine Ghazi’s $6.7 million sale and CFO Shelagh Glaser’s $1.5 million sale; insiders own 0.56% of the stock, while institutional investors hold 85.47%.

Synopsys (NASDAQ:SNPS - Get Free Report)'s stock had its "buy" rating reaffirmed by research analysts at Rosenblatt Securities in a report released on Tuesday,Benzinga reports. They presently have a $575.00 price objective on the semiconductor company's stock. Rosenblatt Securities' price target would suggest a potential upside of 45.75% from the stock's current price.

Other equities analysts have also issued research reports about the company. Berenberg Bank set a $633.00 target price on Synopsys in a report on Wednesday, May 27th. Morgan Stanley lowered their price objective on Synopsys from $525.00 to $500.00 and set an "equal weight" rating for the company in a research report on Wednesday, August 19th. Needham & Company LLC reiterated a "buy" rating and issued a $580.00 price objective on shares of Synopsys in a report on Thursday, May 28th. BNP Paribas Exane raised their target price on Synopsys from $425.00 to $450.00 and gave the stock an "underperform" rating in a research report on Thursday, May 28th. Finally, Citigroup boosted their target price on Synopsys from $600.00 to $610.00 and gave the stock a "buy" rating in a research note on Thursday, May 28th. Eleven equities research analysts have rated the stock with a Buy rating, six have assigned a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, Synopsys has an average rating of "Moderate Buy" and an average target price of $563.59.

Synopsys Stock Performance

Shares of SNPS stock opened at $394.51 on Tuesday. 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 capitalization of $75.54 billion, a PE ratio of 91.32, a P/E/G ratio of 2.34 and a beta of 1.23. The firm has a 50 day moving average of $418.53 and a two-hundred day moving average of $439.92. Synopsys has a 52 week low of $366.00 and a 52 week high of $615.79.

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 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 company had revenue of $2.28 billion during the quarter, compared to analysts' expectations of $2.25 billion. During the same quarter in the previous year, the business posted $3.67 EPS. 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. On average, research analysts predict that Synopsys will post 10.64 EPS for the current fiscal year.

Insider Buying and Selling

In other news, CEO Sassine Ghazi sold 14,603 shares of the business's 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 transaction, the chief executive officer owned 75,020 shares of the company's stock, valued at approximately $34,431,179.20. The trade was a 16.29% decrease in their ownership of the stock. The transaction 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. 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 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 transaction of $1,527,367.88. Following the completion of the sale, 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 disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 0.56% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Synopsys

Large investors have recently modified their holdings of the business. Brighton Jones LLC lifted its holdings in Synopsys by 5.7% in the fourth quarter. Brighton Jones LLC now owns 921 shares of the semiconductor company's stock valued at $447,000 after acquiring an additional 50 shares during the period. Integrated Wealth Concepts LLC boosted its position in shares of Synopsys by 11.6% during the 1st quarter. Integrated Wealth Concepts LLC now owns 760 shares of the semiconductor company's stock worth $326,000 after purchasing an additional 79 shares in the last quarter. NewEdge Advisors LLC grew its stake in shares of Synopsys by 15.1% during the 1st quarter. NewEdge Advisors LLC now owns 3,010 shares of the semiconductor company's stock worth $1,291,000 after purchasing an additional 395 shares during the period. WINTON GROUP Ltd increased its holdings in shares of Synopsys by 9.2% in the 2nd quarter. WINTON GROUP Ltd now owns 758 shares of the semiconductor company's stock valued at $389,000 after purchasing an additional 64 shares in the last quarter. Finally, Treasurer of the State of North Carolina increased its holdings in shares of Synopsys by 2.1% in the 2nd quarter. Treasurer of the State of North Carolina now owns 72,095 shares of the semiconductor company's stock valued at $36,962,000 after purchasing an additional 1,505 shares in the last quarter. 85.47% of the stock is owned by hedge funds and other institutional investors.

About Synopsys

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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