Synopsys (NASDAQ:SNPS) Releases Earnings Results, Misses Expectations By $0.03 EPS

Synopsys (NASDAQ:SNPS - Get Free Report) announced its quarterly earnings data on Wednesday. The semiconductor company reported $3.00 EPS for the quarter, missing the consensus estimate of $3.03 by ($0.03), Briefing.com reports. Synopsys had a net margin of 22.96% and a return on equity of 22.88%. The business had revenue of $1.45 billion during the quarter, compared to analysts' expectations of $1.50 billion. During the same quarter in the previous year, the firm earned $1.76 earnings per share. Synopsys's revenue was up 15.2% on a year-over-year basis. Synopsys updated its FY 2024 guidance to 12.900-12.980 EPS and its Q3 2024 guidance to 3.250-3.300 EPS.

Synopsys Stock Up 0.3 %

NASDAQ SNPS traded up $1.60 during trading hours on Wednesday, hitting $573.13. 1,001,060 shares of the company were exchanged, compared to its average volume of 1,137,448. The stock has a 50-day moving average price of $557.38 and a 200 day moving average price of $545.99. Synopsys has a 52 week low of $390.20 and a 52 week high of $629.38. The stock has a market cap of $87.40 billion, a PE ratio of 63.12, a price-to-earnings-growth ratio of 3.35 and a beta of 1.07.

Analyst Ratings Changes

Several brokerages have recently issued reports on SNPS. Piper Sandler began coverage on Synopsys in a report on Thursday, April 4th. They issued an "overweight" rating and a $665.00 target price on the stock. Rosenblatt Securities reaffirmed a "buy" rating and issued a $615.00 target price on shares of Synopsys in a report on Thursday, March 21st. Robert W. Baird lifted their target price on Synopsys from $624.00 to $640.00 and gave the stock an "outperform" rating in a report on Thursday, February 22nd. Needham & Company LLC reaffirmed a "buy" rating and issued a $660.00 target price on shares of Synopsys in a report on Friday, March 22nd. Finally, StockNews.com raised Synopsys from a "hold" rating to a "buy" rating in a report on Monday, March 18th. Eleven research analysts have rated the stock with a buy rating, Based on data from MarketBeat.com, Synopsys presently has a consensus rating of "Buy" and an average price target of $601.00.

Insiders Place Their Bets

In related news, Director Marc N. Casper acquired 750 shares of Synopsys stock in a transaction on Monday, March 25th. The shares were bought at an average cost of $585.45 per share, with a total value of $439,087.50. Following the completion of the purchase, the director now directly owns 1,736 shares of the company's stock, valued at approximately $1,016,341.20. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. In other news, CEO Sassine Ghazi sold 10,294 shares of the company's stock in a transaction that occurred on Friday, February 23rd. The stock was sold at an average price of $577.51, for a total transaction of $5,944,887.94. Following the transaction, the chief executive officer now owns 61,863 shares of the company's stock, valued at $35,726,501.13. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Also, Director Marc N. Casper bought 750 shares of the business's stock in a transaction dated Monday, March 25th. The shares were acquired at an average cost of $585.45 per share, for a total transaction of $439,087.50. Following the purchase, the director now owns 1,736 shares of the company's stock, valued at approximately $1,016,341.20. The disclosure for this purchase can be found here. Insiders have sold 26,832 shares of company stock valued at $15,464,992 over the last ninety days. 0.66% of the stock is owned by insiders.

Synopsys Company 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.