Synopsys (NASDAQ:SNPS) Issues FY 2025 Earnings Guidance

Synopsys (NASDAQ:SNPS) updated its FY 2025 earnings guidance on Wednesday. The company provided EPS guidance of 15.110-15.190 for the period, compared to the consensus EPS estimate of 14.920. The company issued revenue guidance of $6.7 billion-$6.8 billion, compared to the consensus revenue estimate of $6.8 billion. Synopsys also updated its Q3 2025 guidance to 3.820-3.87 EPS.

Analysts Set New Price Targets

A number of brokerages have recently commented on SNPS. Piper Sandler dropped their price target on Synopsys from $655.00 to $653.00 and set an “overweight” rating for the company in a research note on Thursday, February 27th. Stifel Nicolaus set a $550.00 price target on Synopsys in a research note on Monday, April 28th. Morgan Stanley dropped their price target on Synopsys from $625.00 to $590.00 and set an “overweight” rating for the company in a research note on Monday, February 24th. KeyCorp set a $575.00 price target on Synopsys and gave the company an “overweight” rating in a research note on Tuesday, May 20th. Finally, Wells Fargo & Company dropped their price target on Synopsys from $540.00 to $520.00 and set an “equal weight” rating for the company in a research note on Thursday, February 27th. One investment analyst has rated the stock with a hold rating and twelve have assigned a buy rating to the stock. Based on data from MarketBeat, Synopsys has a consensus rating of “Moderate Buy” and a consensus price target of $614.86.

Synopsys Price Performance

SNPS traded down $49.36 on Wednesday, hitting $462.43. The company had a trading volume of 4,758,538 shares, compared to its average volume of 1,120,499. Synopsys has a 52-week low of $365.74 and a 52-week high of $624.80. The stock has a fifty day simple moving average of $453.18 and a 200-day simple moving average of $487.60. The firm has a market capitalization of $71.50 billion, a P/E ratio of 31.85, a P/E/G ratio of 3.23 and a beta of 1.16.

Insider Buying and Selling at Synopsys

In other Synopsys news, insider Geus Aart De sold 15,705 shares of the firm’s stock in a transaction that occurred on Thursday, March 6th. The shares were sold at an average price of $444.42, for a total transaction of $6,979,616.10. Following the completion of the transaction, the insider now owns 116,671 shares of the company’s stock, valued at approximately $51,850,925.82. This trade represents a 11.86% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, CEO Sassine Ghazi sold 11,366 shares of the firm’s stock in a transaction that occurred on Monday, March 3rd. The shares were sold at an average price of $463.75, for a total transaction of $5,270,982.50. Following the transaction, the chief executive officer now directly owns 70,922 shares of the company’s stock, valued at $32,890,077.50. This represents a 13.81% decrease in their position. The disclosure for this sale can be found here. Insiders own 0.62% of the company’s stock.

Institutional Investors Weigh In On Synopsys

Several institutional investors and hedge funds have recently added to or reduced their stakes in the stock. NewEdge Advisors LLC boosted its holdings in Synopsys by 15.1% in the first quarter. NewEdge Advisors LLC now owns 3,010 shares of the semiconductor company’s stock worth $1,291,000 after purchasing an additional 395 shares during the last quarter. Integrated Wealth Concepts LLC boosted its holdings in Synopsys by 11.6% in the first quarter. Integrated Wealth Concepts LLC now owns 760 shares of the semiconductor company’s stock worth $326,000 after purchasing an additional 79 shares during the last quarter. Finally, Brighton Jones LLC boosted its holdings in Synopsys by 5.7% in the fourth quarter. Brighton Jones LLC now owns 921 shares of the semiconductor company’s stock worth $447,000 after purchasing an additional 50 shares during the last quarter. Hedge funds and other institutional investors own 85.47% of the company’s stock.

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.