Sumitomo Mitsui Trust Group Inc. Sells 40,352 Shares of Synopsys, Inc. $SNPS

Key Points

• Sumitomo Mitsui Trust Group trimmed its Synopsys stake by 4.1% in Q1, selling 40,352 shares and leaving it with 936,570 shares valued at about $371.3 million.
• Synopsys reported stronger-than-expected quarterly results, with EPS of $3.35 versus $3.15 estimated and revenue of $2.28 billion versus $2.25 billion expected; revenue rose 41.9% year over year.
• Analysts remain broadly positive, with multiple firms raising price targets and the stock carrying a consensus "Moderate Buy" rating and average target of $570.06.

Sumitomo Mitsui Trust Group Inc. reduced its holdings in shares of Synopsys, Inc. (NASDAQ:SNPS - Free Report) by 4.1% in the first quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The firm owned 936,570 shares of the semiconductor company's stock after selling 40,352 shares during the period. Sumitomo Mitsui Trust Group Inc. owned 0.49% of Synopsys worth $371,331,000 as of its most recent SEC filing.

Several other hedge funds have also recently made changes to their positions in SNPS. Sankala Group LLC bought a new stake in shares of Synopsys during the 4th quarter valued at about $25,000. Thurston Springer Miller Herd & Titak Inc. acquired a new stake in Synopsys during the fourth quarter worth approximately $28,000. Caitong International Asset Management Co. Ltd bought a new stake in Synopsys in the fourth quarter worth approximately $28,000. Atlas Capital Advisors Inc. bought a new stake in Synopsys in the fourth quarter worth approximately $32,000. Finally, Osbon Capital Management LLC acquired a new position in Synopsys in the fourth quarter valued at approximately $34,000. 85.47% of the stock is owned by institutional investors.

Synopsys Stock Performance

NASDAQ SNPS opened at $434.50 on Thursday. The company has a market cap of $83.20 billion, a P/E ratio of 100.58, a PEG ratio of 2.56 and a beta of 1.22. The company has a fifty day simple moving average of $479.33 and a 200 day simple moving average of $460.96. The company has a current ratio of 1.43, a quick ratio of 1.32 and a debt-to-equity ratio of 0.33. Synopsys, Inc. has a 12-month low of $376.18 and a 12-month high of $651.73.

Synopsys (NASDAQ:SNPS - Get Free Report) last released its quarterly earnings data on Wednesday, May 27th. The semiconductor company reported $3.35 earnings per share for the quarter, topping the consensus estimate of $3.15 by $0.20. The firm had revenue of $2.28 billion for the quarter, compared to the consensus estimate of $2.25 billion. Synopsys had a net margin of 8.91% and a return on equity of 5.83%. The business's revenue was up 41.9% on a year-over-year basis. During the same quarter in the prior year, the company posted $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. Sell-side analysts predict that Synopsys, Inc. will post 10.65 earnings per share for the current fiscal year.

Insider Activity

In other Synopsys news, CEO Sassine Ghazi sold 14,603 shares of Synopsys stock in a transaction dated Monday, June 15th. The stock was sold at an average price of $458.96, for a total transaction of $6,702,192.88. Following the completion of the transaction, the chief executive officer owned 75,020 shares in the company, valued at approximately $34,431,179.20. The trade was a 16.29% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. 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 business's stock in a transaction that occurred on Friday, June 12th. The stock was sold at an average price of $450.02, for a total value of $1,527,367.88. Following the sale, the chief financial officer directly owned 14,358 shares of the company's stock, valued at $6,461,387.16. This represents a 19.12% decrease in their ownership of the stock. 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.

Wall Street Analysts Forecast Growth

SNPS has been the topic of a number of research analyst reports. Rosenblatt Securities increased their price target on Synopsys from $530.00 to $575.00 and gave the stock a "buy" rating in a report on Tuesday, May 26th. Citigroup boosted their target price on shares of Synopsys from $600.00 to $610.00 and gave the company a "buy" rating in a research report on Thursday, May 28th. Bank of America raised their price target on shares of Synopsys from $515.00 to $600.00 and gave the stock a "buy" rating in a report on Thursday, May 28th. BNP Paribas Exane upped their price objective on shares of Synopsys from $425.00 to $450.00 and gave the company an "underperform" rating in a report on Thursday, May 28th. Finally, Stifel Nicolaus raised their target price on Synopsys from $550.00 to $600.00 and gave the company a "buy" rating in a research note on Thursday, May 28th. One analyst has rated the stock with a Strong Buy rating, ten have issued a Buy rating, five have given a Hold rating and one has given a Sell rating to the company's stock. Based on data from MarketBeat, Synopsys currently has a consensus rating of "Moderate Buy" and a consensus price target of $570.06.

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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