Synopsys, Inc. (NASDAQ:SNPS) Given Average Rating of “Buy” by Analysts

Synopsys, Inc. (NASDAQ:SNPS) has been given an average recommendation of “Buy” by the sixteen ratings firms that are currently covering the stock, MarketBeat Ratings reports. Two analysts have rated the stock with a hold recommendation and fourteen have given a buy recommendation to the company. The average 1 year price target among analysts that have issued ratings on the stock in the last year is $186.50.

Several equities research analysts recently weighed in on SNPS shares. JPMorgan Chase & Co. boosted their target price on Synopsys from $160.00 to $180.00 and gave the stock an “overweight” rating in a report on Thursday, May 21st. KeyCorp boosted their price objective on Synopsys from $185.00 to $200.00 and gave the company an “overweight” rating in a research report on Wednesday, June 17th. Benchmark upped their price target on Synopsys from $150.00 to $190.00 and gave the company a “buy” rating in a research report on Thursday, May 21st. Royal Bank of Canada upped their price target on Synopsys from $185.00 to $210.00 and gave the company an “outperform” rating in a research report on Monday, June 15th. Finally, UBS Group initiated coverage on Synopsys in a research report on Wednesday, May 27th. They issued a “buy” rating and a $209.00 price target on the stock.

In related news, CFO Trac Pham sold 33,758 shares of the stock in a transaction dated Tuesday, May 26th. The stock was sold at an average price of $170.52, for a total transaction of $5,756,414.16. Following the completion of the transaction, the chief financial officer now directly owns 33,783 shares in the company, valued at $5,760,677.16. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. Also, Director Mercedes Johnson sold 15,838 shares of the stock in a transaction dated Tuesday, June 23rd. The stock was sold at an average price of $193.35, for a total value of $3,062,277.30. Following the transaction, the director now owns 19,893 shares of the company’s stock, valued at $3,846,311.55. The disclosure for this sale can be found here. In the last ninety days, insiders have sold 114,755 shares of company stock worth $20,153,822. 1.84% of the stock is currently owned by insiders.

Hedge funds have recently modified their holdings of the stock. Parnassus Investments CA lifted its stake in shares of Synopsys by 0.7% in the 1st quarter. Parnassus Investments CA now owns 3,798,353 shares of the semiconductor company’s stock valued at $489,190,000 after purchasing an additional 26,504 shares during the period. Pictet Asset Management Ltd. raised its position in shares of Synopsys by 14.2% in the first quarter. Pictet Asset Management Ltd. now owns 3,358,998 shares of the semiconductor company’s stock worth $432,606,000 after buying an additional 418,237 shares in the last quarter. Invesco Ltd. raised its position in Synopsys by 22.2% during the first quarter. Invesco Ltd. now owns 3,003,416 shares of the semiconductor company’s stock valued at $386,809,000 after purchasing an additional 545,577 shares in the last quarter. Geode Capital Management LLC raised its position in Synopsys by 3.4% during the fourth quarter. Geode Capital Management LLC now owns 2,766,857 shares of the semiconductor company’s stock valued at $384,483,000 after purchasing an additional 91,215 shares in the last quarter. Finally, Franklin Resources Inc. raised its position in Synopsys by 31.7% during the first quarter. Franklin Resources Inc. now owns 2,670,356 shares of the semiconductor company’s stock valued at $343,914,000 after purchasing an additional 643,506 shares in the last quarter. Institutional investors and hedge funds own 88.83% of the company’s stock.

Shares of NASDAQ SNPS traded down $0.12 during midday trading on Tuesday, reaching $199.22. 985,479 shares of the company traded hands, compared to its average volume of 676,161. Synopsys has a 52 week low of $104.90 and a 52 week high of $204.90. The stock has a 50-day moving average price of $193.10 and a 200 day moving average price of $160.65. The company has a debt-to-equity ratio of 0.13, a current ratio of 0.95 and a quick ratio of 0.87. The company has a market cap of $29.99 billion, a price-to-earnings ratio of 64.89, a PEG ratio of 3.50 and a beta of 1.18.

Synopsys (NASDAQ:SNPS) last issued its quarterly earnings data on Wednesday, May 20th. The semiconductor company reported $1.22 earnings per share for the quarter, beating analysts’ consensus estimates of $0.99 by $0.23. Synopsys had a net margin of 13.96% and a return on equity of 11.53%. The business had revenue of $861.33 million for the quarter, compared to analysts’ expectations of $836.52 million. During the same period in the previous year, the business earned $1.16 earnings per share. The company’s revenue was up 3.0% on a year-over-year basis. As a group, analysts expect that Synopsys will post 3.75 EPS for the current year.

Synopsys announced that its board has approved a share buyback program on Friday, June 19th that allows the company to buyback $500.00 million in outstanding shares. This buyback authorization allows the semiconductor company to reacquire up to 1.7% of its shares through open market purchases. Shares buyback programs are usually an indication that the company’s board of directors believes its stock is undervalued.

About Synopsys

Synopsys, Inc provides electronic design automation software products used to design and test integrated circuits (ICs). It offers Fusion Design Platform, a digital design implementation solution; Verification Continuum Platform, which provides 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.

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Analyst Recommendations for Synopsys (NASDAQ:SNPS)

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