Zacks: Brokerages Expect Synopsys, Inc. (NASDAQ:SNPS) Will Post Earnings of $1.57 Per Share

Wall Street brokerages expect that Synopsys, Inc. (NASDAQ:SNPS) will report earnings per share (EPS) of $1.57 for the current quarter, Zacks Investment Research reports. Four analysts have issued estimates for Synopsys’ earnings. The lowest EPS estimate is $1.52 and the highest is $1.68. Synopsys reported earnings per share of $1.15 during the same quarter last year, which suggests a positive year over year growth rate of 36.5%. The business is expected to issue its next earnings report on Wednesday, December 2nd.

On average, analysts expect that Synopsys will report full-year earnings of $5.55 per share for the current year, with EPS estimates ranging from $5.50 to $5.67. For the next year, analysts anticipate that the business will post earnings of $6.19 per share, with EPS estimates ranging from $6.01 to $6.36. Zacks’ earnings per share averages are an average based on a survey of sell-side research analysts that that provide coverage for Synopsys.

Synopsys (NASDAQ:SNPS) last issued its quarterly earnings results on Wednesday, August 19th. The semiconductor company reported $1.74 EPS for the quarter, topping the Zacks’ consensus estimate of $1.34 by $0.40. The company had revenue of $964.10 million during the quarter, compared to analysts’ expectations of $894.23 million. Synopsys had a return on equity of 14.66% and a net margin of 17.88%. The firm’s revenue was up 13.0% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $1.18 EPS.

SNPS has been the topic of a number of research analyst reports. KeyCorp lifted their price target on shares of Synopsys from $200.00 to $225.00 and gave the company an “overweight” rating in a report on Thursday, August 20th. Credit Suisse Group upped their price objective on shares of Synopsys from $180.00 to $225.00 and gave the company an “outperform” rating in a research note on Thursday, August 20th. BidaskClub downgraded shares of Synopsys from a “buy” rating to a “hold” rating in a report on Tuesday, August 11th. Wells Fargo & Company increased their target price on shares of Synopsys from $220.00 to $230.00 and gave the stock an “overweight” rating in a research report on Thursday, August 20th. Finally, Royal Bank of Canada lifted their price objective on shares of Synopsys from $210.00 to $228.00 and gave the stock an “outperform” rating in a research note on Thursday, August 20th. Three equities research analysts have rated the stock with a hold rating and thirteen have assigned a buy rating to the company’s stock. Synopsys presently has a consensus rating of “Buy” and a consensus price target of $205.64.

In other news, insider John F. Runkel, Jr. sold 9,629 shares of Synopsys stock in a transaction on Monday, August 24th. The stock was sold at an average price of $212.03, for a total value of $2,041,636.87. Following the transaction, the insider now directly owns 27,135 shares in the company, valued at approximately $5,753,434.05. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. Also, CEO Chi-Foon Chan sold 198,961 shares of the firm’s stock in a transaction on Friday, August 21st. The stock was sold at an average price of $211.79, for a total value of $42,137,950.19. In the last 90 days, insiders sold 301,727 shares of company stock valued at $63,512,097. Company insiders own 1.87% of the company’s stock.

Several institutional investors have recently made changes to their positions in the stock. Pearl River Capital LLC purchased a new stake in Synopsys during the 1st quarter worth approximately $29,000. Lion Street Advisors LLC acquired a new position in Synopsys in the first quarter valued at approximately $34,000. Blue Square Asset Management LLC acquired a new position in Synopsys in the second quarter valued at approximately $35,000. Sandy Spring Bank acquired a new position in Synopsys in the second quarter valued at approximately $39,000. Finally, Harbor Investment Advisory LLC acquired a new position in Synopsys in the first quarter valued at approximately $49,000. Hedge funds and other institutional investors own 88.30% of the company’s stock.

NASDAQ SNPS traded down $4.09 during trading hours on Wednesday, hitting $206.86. The company had a trading volume of 702,647 shares, compared to its average volume of 1,102,473. Synopsys has a 1-year low of $104.90 and a 1-year high of $230.12. The company has a market cap of $32.01 billion, a PE ratio of 51.19, a price-to-earnings-growth ratio of 3.11 and a beta of 1.15. The business has a 50 day moving average of $205.47 and a 200-day moving average of $172.78. The company has a debt-to-equity ratio of 0.02, a quick ratio of 0.99 and a current ratio of 1.06.

Synopsys announced that its board has approved a share repurchase plan on Friday, June 19th that permits the company to buyback $500.00 million in shares. This buyback authorization permits the semiconductor company to reacquire up to 1.7% of its stock through open market purchases. Stock buyback plans are usually an indication that the company’s board believes its shares are 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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Earnings History and Estimates for Synopsys (NASDAQ:SNPS)

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