Synopsys (SNPS) Expected to Announce Quarterly Earnings on Wednesday

Key Points

• Synopsys is set to release its Q3 2025 earnings data on August 20th, with analysts expecting earnings of $3.84 per share and revenue of $1.77 billion.
• The company recently reported a 10.3% revenue increase year-over-year, posting $3.67 EPS in the last quarter, exceeding expectations.
• Analysts have varied price targets for Synopsys, with recent increases leading to a consensus price target of $630.67 and a rating of "Moderate Buy".

Synopsys (NASDAQ:SNPS - Get Free Report) is projected to post its Q3 2025 quarterly earnings results before the market opens on Wednesday, August 20th. Analysts expect Synopsys to post earnings of $3.84 per share and revenue of $1.77 billion for the quarter. Synopsys has set its FY 2025 guidance at 15.110-15.190 EPS and its Q3 2025 guidance at 3.820-3.87 EPS.

Synopsys (NASDAQ:SNPS - Get Free Report) last issued its quarterly earnings results on Wednesday, May 28th. The semiconductor company reported $3.67 EPS for the quarter, beating analysts' consensus estimates of $3.40 by $0.27. The company had revenue of $1.60 billion for the quarter, compared to analyst estimates of $1.60 billion. Synopsys had a return on equity of 17.09% and a net margin of 34.77%. The company's quarterly revenue was up 10.3% compared to the same quarter last year. During the same period in the previous year, the company posted $3.00 earnings per share. On average, analysts expect Synopsys to post $11 EPS for the current fiscal year and $13 EPS for the next fiscal year.

Synopsys Stock Up 0.3%

Shares of Synopsys stock traded up $1.55 during trading on Friday, reaching $617.91. The stock had a trading volume of 881,387 shares, compared to its average volume of 1,431,323. The company has a market capitalization of $95.87 billion, a price-to-earnings ratio of 44.61, a P/E/G ratio of 4.09 and a beta of 1.15. The stock has a fifty day moving average price of $556.26 and a two-hundred day moving average price of $497.32. Synopsys has a 52 week low of $365.74 and a 52 week high of $651.73. The company has a current ratio of 7.02, a quick ratio of 6.85 and a debt-to-equity ratio of 1.01.

Insiders Place Their Bets

In other Synopsys news, CRO Richard S. Mahoney sold 9,010 shares of the business's stock in a transaction that occurred on Wednesday, June 18th. The stock was sold at an average price of $471.21, for a total transaction of $4,245,602.10. Following the transaction, the executive owned 1,485 shares of the company's stock, valued at $699,746.85. The trade was a 85.85% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, CFO Shelagh Glaser sold 7,310 shares of the business's stock in a transaction that occurred on 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 transaction, 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 position. The disclosure for this sale can be found here. Insiders have sold a total of 27,686 shares of company stock valued at $13,001,048 over the last 90 days. 0.62% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Synopsys

A number of institutional investors have recently bought and sold shares of SNPS. Modern Wealth Management LLC acquired a new position in shares of Synopsys in the second quarter valued at approximately $237,000. Voya Financial Advisors Inc. acquired a new position in shares of Synopsys in the second quarter valued at approximately $254,000. Integrated Wealth Concepts LLC grew its position in shares of Synopsys by 11.6% in the first quarter. Integrated Wealth Concepts LLC now owns 760 shares of the semiconductor company's stock valued at $326,000 after purchasing an additional 79 shares during the last quarter. WINTON GROUP Ltd grew its position in shares of Synopsys by 9.2% in the second quarter. WINTON GROUP Ltd now owns 758 shares of the semiconductor company's stock valued at $389,000 after purchasing an additional 64 shares during the last quarter. Finally, Brighton Jones LLC grew its position in shares of Synopsys by 5.7% in the fourth quarter. Brighton Jones LLC now owns 921 shares of the semiconductor company's stock valued at $447,000 after purchasing an additional 50 shares during the last quarter. Institutional investors and hedge funds own 85.47% of the company's stock.

Analyst Ratings Changes

A number of brokerages have recently commented on SNPS. Morgan Stanley restated an "overweight" rating and issued a $715.00 price target (up from $540.00) on shares of Synopsys in a report on Monday. Rosenblatt Securities boosted their price target on Synopsys from $625.00 to $650.00 and gave the company a "buy" rating in a report on Friday, July 25th. Stifel Nicolaus set a $550.00 price target on Synopsys in a report on Monday, April 28th. The Goldman Sachs Group initiated coverage on Synopsys in a report on Thursday, July 10th. They issued a "buy" rating and a $620.00 price target on the stock. Finally, KeyCorp upped their target price on Synopsys from $540.00 to $610.00 and gave the stock an "overweight" rating in a report on Thursday, July 10th. One analyst has rated the stock with a hold rating and thirteen have issued a buy rating to the company's stock. Based on data from MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and a consensus target price of $630.67.

About Synopsys

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.