Synopsys (NASDAQ:SNPS) CFO Sudhindra Kankanwadi Sells 9,170 Shares of Company Stock

Synopsys, Inc. (NASDAQ:SNPS) CFO Sudhindra Kankanwadi sold 9,170 shares of Synopsys stock in a transaction on Tuesday, October 6th. The shares were sold at an average price of $500.00, for a total value of $4,585,000.00. Following the completion of the transaction, the chief financial officer owned 22,717 shares in the company, valued at $11,358,500. The trade was a 28.76% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through the SEC website.

Sudhindra Kankanwadi also recently made the following trade(s):

• On Monday, October 5th, Sudhindra Kankanwadi sold 3,000 shares of Synopsys stock. The stock was sold at an average price of $484.78, for a total transaction of $1,454,340.00.

Synopsys Stock Up 3.4%

Shares of NASDAQ:SNPS traded up $16.70 during mid-day trading on Tuesday, hitting $505.17. 2,737,287 shares of the company traded hands, compared to its average volume of 2,364,103. The firm has a market cap of $96.81 billion, a P/E ratio of 89.25, a PEG ratio of 1.99 and a beta of 1.21. The firm’s 50 day simple moving average is $412.43 and its 200 day simple moving average is $437.43. Synopsys, Inc. has a 52-week low of $362.55 and a 52-week high of $539.48. The company has a debt-to-equity ratio of 0.29, a quick ratio of 1.24 and a current ratio of 1.34.

Synopsys (NASDAQ:SNPS) last announced its earnings results on Wednesday, August 26th. The semiconductor company reported $3.91 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $3.67 by $0.24. Synopsys had a return on equity of 6.24% and a net margin of 11.43%.The business had revenue of $2.48 billion for the quarter, compared to analyst estimates of $2.44 billion. During the same period in the previous year, the company earned $3.39 earnings per share. The company’s revenue for the quarter was up 42.4% compared to the same quarter last year. Synopsys has set its Q4 2026 guidance at 4.100-4.160 EPS and its FY 2026 guidance at 15.040-15.100 EPS. On average, equities analysts anticipate that Synopsys, Inc. will post 10.97 EPS for the current year.

Synopsys declared that its Board of Directors has initiated a share buyback program on Monday, October 5th that allows the company to repurchase $1.00 billion in outstanding shares. This repurchase authorization allows the semiconductor company to buy up to 1.1% of its shares through open market purchases. Shares repurchase programs are usually a sign that the company’s leadership believes its stock is undervalued.

Analyst Ratings Changes

SNPS has been the topic of a number of recent analyst reports. Piper Sandler upgraded shares of Synopsys from a “neutral” rating to an “overweight” rating and lifted their price objective for the company from $450.00 to $550.00 in a research note on Tuesday, June 23rd. HSBC lowered shares of Synopsys from a “buy” rating to a “reduce” rating in a research note on Friday, September 25th. Zacks Research upgraded shares of Synopsys from a “hold” rating to a “strong-buy” rating in a research note on Friday. Rosenblatt Securities upped their target price on Synopsys from $575.00 to $620.00 and gave the stock a “buy” rating in a research report on Thursday, October 1st. Finally, BNP Paribas Exane upgraded Synopsys from an “underperform” rating to a “neutral” rating and set a $420.00 price target on the stock in a research report on Thursday, September 24th. One research analyst has rated the stock with a Strong Buy rating, seventeen have issued a Buy rating, three have issued a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus target price of $584.11.

Synopsys News Summary

Here are the key news stories impacting Synopsys this week:

• Positive Sentiment: Synopsys announced new AI chip-design alliances with OpenAI and Amazon, reinforcing its position as a supplier of electronic-design-automation tools for the growing AI infrastructure market. The expanded Amazon relationship is described as a potential $1 billion catalyst. Synopsys Is Up 17.7% After New AI Chip-Design Alliances With OpenAI And Amazon
• Positive Sentiment: Synopsys initiated an accelerated share-repurchase agreement with JPMorgan to buy back approximately $1 billion of stock, equal to as much as 1.1% of outstanding shares. The program may support earnings per share and signals management’s confidence in the company’s long-term value. Synopsys Initiates $1 Billion Accelerated Share Repurchase Agreement
• Neutral Sentiment: A valuation comparison with Progress Software examines whether SNPS offers better value among computer-software stocks. The discussion is relevant because Synopsys has strong AI-growth exposure, but investors must weigh that opportunity against its premium valuation. PRGS vs. SNPS: Which Stock Should Value Investors Buy Now?
• Negative Sentiment: Despite beating earnings estimates three times this year, Synopsys has reportedly seen its shares decline after each earnings release. The recurring pattern suggests investors may continue to sell the stock on strong results if expectations are already high. Synopsys is Hot Again But a Pattern Has Emerged

Hedge Funds Weigh In On Synopsys

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. BlackRock Inc. acquired a new stake in shares of Synopsys during the 2nd quarter valued at $7,228,099,000. State Street Corp grew its stake in Synopsys by 0.3% in the fourth quarter. State Street Corp now owns 8,788,890 shares of the semiconductor company’s stock valued at $4,128,317,000 after purchasing an additional 28,532 shares in the last quarter. Van ECK Associates Corp increased its position in Synopsys by 19.7% in the 2nd quarter. Van ECK Associates Corp now owns 3,457,249 shares of the semiconductor company’s stock worth $1,542,175,000 after purchasing an additional 569,687 shares during the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC raised its stake in shares of Synopsys by 40.7% during the 2nd quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 3,087,349 shares of the semiconductor company’s stock worth $1,377,174,000 after purchasing an additional 892,736 shares in the last quarter. Finally, Assenagon Asset Management S.A. raised its stake in shares of Synopsys by 39.5% during the 2nd quarter. Assenagon Asset Management S.A. now owns 2,455,402 shares of the semiconductor company’s stock worth $1,095,281,000 after purchasing an additional 695,146 shares in the last quarter. Institutional investors and hedge funds own 85.47% of the company’s stock.

About Synopsys

Synopsys, Inc is a technology company that develops electronic design automation (EDA) software, semiconductor intellectual property (IP), and software tools used to design, verify, and manufacture advanced electronic systems. Its solutions support the development of semiconductors, systems-on-chip, and electronic products across the design cycle, from initial specification and architecture through testing and production.

The company’s offerings include digital and custom integrated-circuit design tools, simulation and verification software, physical design and signoff products, and semiconductor IP such as processor cores, interface technologies, and foundational components.