Citigroup Boosts Synopsys (NASDAQ:SNPS) Price Target to $610.00

Key Points

• Citigroup raised its price target on Synopsys to $610 from $600 and kept a buy rating, implying about 26.6% upside from the current share price.
• Synopsys stock fell 8.4% to $481.68 even as the company posted strong quarterly results, with earnings and revenue both beating estimates and revenue jumping 41.9% year over year.
• Analyst sentiment remains mixed overall: while several firms have boosted targets, the consensus rating is still Hold with an average price target of $563.81.

Synopsys (NASDAQ:SNPS - Get Free Report) had its price target lifted by analysts at Citigroup from $600.00 to $610.00 in a research report issued on Thursday,Benzinga reports. The brokerage currently has a "buy" rating on the semiconductor company's stock. Citigroup's price objective would suggest a potential upside of 26.64% from the stock's current price.

SNPS has been the subject of several other research reports. Stifel Nicolaus lifted their target price on shares of Synopsys from $550.00 to $600.00 and gave the stock a "buy" rating in a report on Thursday. HSBC downgraded shares of Synopsys from a "buy" rating to a "hold" rating and set a $455.00 target price for the company. in a report on Friday, February 20th. Morgan Stanley lifted their target price on shares of Synopsys from $480.00 to $525.00 and gave the stock an "equal weight" rating in a report on Thursday. The Goldman Sachs Group set a $600.00 target price on shares of Synopsys and gave the stock a "buy" rating in a report on Wednesday, February 25th. Finally, Rosenblatt Securities lifted their target price on shares of Synopsys from $530.00 to $575.00 and gave the stock a "buy" rating in a report on Tuesday. Nine investment analysts have rated the stock with a Buy rating, seven have issued a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, the company currently has a consensus rating of "Hold" and an average price target of $563.81.

Synopsys Stock Down 8.4%

NASDAQ:SNPS traded down $44.24 during trading hours on Thursday, reaching $481.68. 3,658,311 shares of the stock were exchanged, compared to its average volume of 2,015,052. The stock has a market cap of $92.27 billion, a PE ratio of 74.12, a PEG ratio of 4.38 and a beta of 1.25. Synopsys has a twelve month low of $376.18 and a twelve month high of $651.73. The firm has a 50 day moving average of $457.56 and a 200 day moving average of $453.69. The company has a debt-to-equity ratio of 0.33, a current ratio of 1.36 and a quick ratio of 1.26.

Synopsys (NASDAQ:SNPS - Get Free Report) last released its earnings results on Wednesday, May 27th. The semiconductor company reported $3.35 earnings per share for the quarter, beating analysts' consensus estimates of $3.15 by $0.20. The business had revenue of $2.28 billion during the quarter, compared to the consensus estimate of $2.25 billion. Synopsys had a net margin of 13.76% and a return on equity of 6.83%. The firm's revenue for the quarter was up 41.9% compared to the same quarter last year. During the same quarter last year, the firm earned $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. On average, equities analysts expect that Synopsys will post 10.28 earnings per share for the current year.

Institutional Trading of Synopsys

A number of hedge funds have recently made changes to their positions in SNPS. Sankala Group LLC bought a new stake in Synopsys in the fourth quarter worth approximately $25,000. Thurston Springer Miller Herd & Titak Inc. acquired a new position in shares of Synopsys during the fourth quarter valued at about $28,000. Caitong International Asset Management Co. Ltd bought a new stake in Synopsys during the fourth quarter worth $28,000. IMG Wealth Management Inc. bought a new stake in Synopsys during the first quarter worth $30,000. Finally, Atlas Capital Advisors Inc. bought a new stake in Synopsys during the fourth quarter worth $32,000. 85.47% of the stock is owned by institutional investors and hedge funds.

More Synopsys News

Here are the key news stories impacting Synopsys this week:

• Positive Sentiment: Synopsys posted stronger-than-expected Q2 results, with adjusted EPS of $3.35 and revenue of $2.28 billion, while also raising full-year guidance on continued AI chip-design demand.
• Positive Sentiment: The company announced new production-ready, AI-powered digital and analog flows for Samsung Foundry’s latest 2nm processes, along with expanded certified interface IP, supporting its long-term growth story.
• Positive Sentiment: Bank of America raised its price target on Synopsys to $600 and Needham reaffirmed a buy rating, signaling continued analyst confidence in the stock’s upside.
• Positive Sentiment: Synopsys reached a governance agreement with activist investor Elliott, adding Jesse Cohn to the board, which may improve oversight and operational focus.
• Neutral Sentiment: BNP Paribas Exane raised its price target to $450 but kept an underperform rating, reflecting a cautious view even after the company’s strong results.
• Neutral Sentiment: Piper Sandler also lifted its target to $450 while maintaining a neutral stance, suggesting the recent rally may already reflect much of the near-term good news.
• Negative Sentiment: Despite the earnings beat and higher guidance, the stock has been slipping as investors remain concerned about weakness in the chip IP business and the complexity of integrating Ansys.

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.

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