Handelsbanken Fonder AB Reduces Stock Position in Synopsys, Inc. $SNPS

Key Points

• Handelsbanken Fonder AB cut its Synopsys stake by 39.3% in the fourth quarter, selling 42,939 shares and ending with 66,189 shares valued at about $31.1 million.
• Despite that trim, institutional ownership remains very high, with hedge funds and other institutions holding 85.47% of Synopsys shares. Several large investors, including Vanguard and State Street, also added to positions in recent quarters.
• Synopsys has been supported by strong earnings and AI-related growth, including Q1 FY26 revenue up 65.6% year over year and higher non-GAAP EPS, while the Ansys acquisition is seen as expanding its market and long-term growth potential.

Handelsbanken Fonder AB reduced its holdings in shares of Synopsys, Inc. (NASDAQ:SNPS - Free Report) by 39.3% during the fourth quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The institutional investor owned 66,189 shares of the semiconductor company's stock after selling 42,939 shares during the quarter. Handelsbanken Fonder AB's holdings in Synopsys were worth $31,090,000 at the end of the most recent quarter.

Other institutional investors also recently modified their holdings of the company. Vanguard Group Inc. increased its holdings in Synopsys by 20.7% during the 3rd quarter. Vanguard Group Inc. now owns 18,181,185 shares of the semiconductor company's stock worth $8,970,415,000 after acquiring an additional 3,120,401 shares during the period. Victory Capital Management Inc. increased its holdings in Synopsys by 238.8% during the 3rd quarter. Victory Capital Management Inc. now owns 2,824,349 shares of the semiconductor company's stock worth $1,393,506,000 after acquiring an additional 1,990,608 shares during the period. Coatue Management LLC bought a new stake in Synopsys during the 3rd quarter worth approximately $892,605,000. Capital Research Global Investors increased its holdings in Synopsys by 226.6% during the 3rd quarter. Capital Research Global Investors now owns 2,524,512 shares of the semiconductor company's stock worth $1,245,533,000 after acquiring an additional 1,751,432 shares during the period. Finally, State Street Corp increased its holdings in Synopsys by 20.6% during the 3rd quarter. State Street Corp now owns 8,760,358 shares of the semiconductor company's stock worth $4,322,273,000 after acquiring an additional 1,493,912 shares during the period. 85.47% of the stock is currently owned by hedge funds and other institutional investors.

Key Stories Impacting Synopsys

Here are the key news stories impacting Synopsys this week:

• Positive Sentiment: Synopsys continues to draw support from its strong Q1 FY26 report, which showed about 65% year-over-year revenue growth and higher non-GAAP EPS, reinforcing confidence in demand for its chip-design software. A Look At Synopsys (SNPS) Valuation After Strong Q1 FY26 Results And Ansys Acquisition
• Positive Sentiment: Investors are also focusing on the Ansys acquisition, which expands Synopsys’ addressable market and could support longer-term revenue growth and cross-selling opportunities. A Look At Synopsys (SNPS) Valuation After Strong Q1 FY26 Results And Ansys Acquisition
• Positive Sentiment: Some recent commentary argues SNPS could have further upside over the next 12 months, citing AI-driven chip-design demand and the integration of Ansys as key drivers. Prediction: Synopsys Could Hit $600+ in 12 Months and Here’s Why
• Neutral Sentiment: Synopsys is also being discussed in valuation-versus-peers pieces, including comparisons with Progress Software and Simulations Plus, which may influence investor sentiment but do not point to a clear near-term catalyst. PRGS or SNPS: Which Is the Better Value Stock Right Now? Synopsys NASDAQ: SNPS vs. Simulations Plus NASDAQ: SLP Critical Review
• Negative Sentiment: On the cautious side, some articles argue SNPS may be expensive below $500 and say the stock’s AI narrative may be richer than the fundamentals justify, which could weigh on sentiment. Buy, Sell or Hold Synopsis Below $500?
• Neutral Sentiment: Coverage noting that Synopsys is projected to report earnings soon may keep traders focused on the upcoming print, but it is more of a watch item than a direct catalyst today. Synopsys (SNPS) Projected to Post Earnings on Wednesday

Wall Street Analysts Forecast Growth

SNPS has been the topic of a number of analyst reports. Morgan Stanley reaffirmed an "equal weight" rating and set a $480.00 target price (down from $550.00) on shares of Synopsys in a report on Wednesday, February 25th. Rosenblatt Securities decreased their target price on shares of Synopsys from $560.00 to $530.00 and set a "buy" rating on the stock in a report on Thursday, February 26th. Weiss Ratings reaffirmed a "hold (c)" rating on shares of Synopsys in a report on Thursday, January 22nd. Needham & Company LLC reaffirmed a "buy" rating on shares of Synopsys in a report on Thursday, February 26th. Finally, Wells Fargo & Company upped their target price on shares of Synopsys from $450.00 to $505.00 and gave the stock an "equal weight" rating in a report on Thursday, May 14th. Eight analysts have rated the stock with a Buy rating, eight have given a Hold rating and one has given a Sell rating to the company. According to data from MarketBeat.com, the company presently has a consensus rating of "Hold" and an average target price of $536.00.

Synopsys Price Performance

Shares of NASDAQ:SNPS opened at $493.87 on Wednesday. The company's fifty day moving average price is $446.51 and its 200-day moving average price is $449.82. The firm has a market capitalization of $94.61 billion, a price-to-earnings ratio of 76.69, a PEG ratio of 4.07 and a beta of 1.25. Synopsys, Inc. has a one year low of $376.18 and a one year high of $651.73. 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 issued its quarterly earnings results on Wednesday, February 25th. The semiconductor company reported $3.77 EPS for the quarter, topping analysts' consensus estimates of $3.56 by $0.21. The firm had revenue of $2.41 billion for the quarter, compared to analyst estimates of $2.39 billion. Synopsys had a net margin of 13.76% and a return on equity of 6.83%. The business's revenue for the quarter was up 65.6% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $3.03 EPS. Synopsys has set its FY 2026 guidance at 14.380-14.460 EPS and its Q2 2026 guidance at 3.110-3.170 EPS. On average, equities research analysts anticipate that Synopsys, Inc. will post 10.3 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.

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