Generation Investment Management LLP Takes $240.49 Million Position in Synopsys, Inc. $SNPS

Key Points

• Generation Investment Management LLP has acquired 560,782 shares of Synopsys, Inc., representing an investment of approximately $240 million, making it the firm's 23rd largest position.
• Institutional ownership in Synopsys stands at 85.47%, with significant increases in stakes from other investors, including GAMMA Investing LLC, Nuveen LLC, and Pictet Asset Management Holding SA during the first quarter.
• Synopsys has received a consensus rating of "Moderate Buy" from analysts, with a price target range increasing to $715.00 from a previous target of $540.00 by Morgan Stanley.

Generation Investment Management LLP purchased a new position in shares of Synopsys, Inc. (NASDAQ:SNPS - Free Report) during the first quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor purchased 560,782 shares of the semiconductor company's stock, valued at approximately $240,491,000. Synopsys makes up approximately 1.5% of Generation Investment Management LLP's holdings, making the stock its 23rd biggest holding. Generation Investment Management LLP owned approximately 0.36% of Synopsys at the end of the most recent quarter.

A number of other hedge funds and other institutional investors have also made changes to their positions in SNPS. Williams Jones Wealth Management LLC. lifted its stake in shares of Synopsys by 0.5% during the 4th quarter. Williams Jones Wealth Management LLC. now owns 4,650 shares of the semiconductor company's stock worth $2,257,000 after purchasing an additional 22 shares during the last quarter. Hardy Reed LLC lifted its stake in shares of Synopsys by 0.7% during the 1st quarter. Hardy Reed LLC now owns 3,290 shares of the semiconductor company's stock worth $1,411,000 after purchasing an additional 22 shares during the last quarter. Resurgent Financial Advisors LLC lifted its stake in shares of Synopsys by 2.7% during the 1st quarter. Resurgent Financial Advisors LLC now owns 832 shares of the semiconductor company's stock worth $357,000 after purchasing an additional 22 shares during the last quarter. Trust Asset Management LLC lifted its stake in shares of Synopsys by 1.3% during the 1st quarter. Trust Asset Management LLC now owns 1,766 shares of the semiconductor company's stock worth $757,000 after purchasing an additional 22 shares during the last quarter. Finally, Argent Trust Co lifted its stake in shares of Synopsys by 2.8% during the 1st quarter. Argent Trust Co now owns 856 shares of the semiconductor company's stock worth $367,000 after purchasing an additional 23 shares during the last quarter. Institutional investors own 85.47% of the company's stock.

Synopsys Stock Up 1.7%

Synopsys stock traded up $9.84 during midday trading on Thursday, reaching $601.96. The company's stock had a trading volume of 1,012,740 shares, compared to its average volume of 994,262. The stock's 50-day simple moving average is $592.20 and its 200-day simple moving average is $505.58. The company has a debt-to-equity ratio of 1.01, a current ratio of 7.02 and a quick ratio of 6.85. Synopsys, Inc. has a 52-week low of $365.74 and a 52-week high of $651.73. The stock has a market capitalization of $93.40 billion, a P/E ratio of 43.46, a PEG ratio of 3.89 and a beta of 1.14.

Analyst Ratings Changes

A number of equities research analysts recently weighed in on the company. Needham & Company LLC restated a "buy" rating and set a $660.00 price objective (up from $650.00) on shares of Synopsys in a research note on Tuesday, July 15th. The Goldman Sachs Group assumed coverage on Synopsys in a research note on Thursday, July 10th. They set a "buy" rating and a $620.00 price objective for the company. Piper Sandler upped their price objective on Synopsys from $615.00 to $660.00 and gave the stock an "overweight" rating in a research note on Monday, July 21st. Wells Fargo & Company restated a "positive" rating on shares of Synopsys in a research note on Wednesday, August 27th. Finally, Bank of America upped their price objective on Synopsys from $575.00 to $625.00 and gave the stock a "buy" rating in a research note on Wednesday, July 16th. Twelve analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the stock. Based on data from MarketBeat, the stock has an average rating of "Moderate Buy" and a consensus price target of $638.21.

Insider Buying and Selling at Synopsys

In other Synopsys news, CFO Shelagh Glaser sold 7,310 shares of the stock in a transaction dated Friday, June 6th. The stock was sold at an average price of $485.72, for a total value of $3,550,613.20. Following the completion of the sale, the chief financial officer directly owned 15,291 shares in the company, valued at approximately $7,427,144.52. This trade represents a 32.34% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, CRO Richard S. Mahoney sold 9,010 shares of the stock in a transaction dated Wednesday, June 18th. The shares were sold at an average price of $471.21, for a total value of $4,245,602.10. Following the completion of the sale, the executive owned 1,485 shares of the company's stock, valued at approximately $699,746.85. This trade represents a 85.85% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last ninety days, insiders sold 27,686 shares of company stock worth $14,490,903. 0.62% of the stock is owned by insiders.

Synopsys 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.