Royal London Asset Management Ltd. decreased its position in Synopsys, Inc. (NASDAQ:SNPS – Free Report) by 1.5% during the 2nd quarter, Holdings Channel reports. The fund owned 294,428 shares of the semiconductor company’s stock after selling 4,587 shares during the quarter. Royal London Asset Management Ltd.’s holdings in Synopsys were worth $131,335,000 as of its most recent SEC filing.
Several other institutional investors and hedge funds also recently added to or reduced their stakes in SNPS. Sankala Group LLC acquired a new stake in shares of Synopsys in the 4th quarter valued at $25,000. Elevation Wealth Partners LLC lifted its holdings in Synopsys by 96.4% during the 2nd quarter. Elevation Wealth Partners LLC now owns 55 shares of the semiconductor company’s stock worth $25,000 after buying an additional 27 shares during the last quarter. Osbon Capital Management LLC purchased a new position in shares of Synopsys in the 2nd quarter valued at about $25,000. IMG Wealth Management Inc. acquired a new stake in shares of Synopsys during the 2nd quarter worth about $28,000. Finally, Caitong International Asset Management Co. Ltd purchased a new stake in Synopsys during the fourth quarter worth approximately $28,000. Institutional investors and hedge funds own 85.47% of the company’s stock.
Key Synopsys News
Here are the key news stories impacting Synopsys this week:
- Positive Sentiment: Strong Q3 performance: Synopsys reported adjusted earnings of $3.91 per share versus expectations of $3.67, while revenue reached $2.48 billion, up 42.4% year over year and ahead of estimates. Strength in electronic design automation (EDA) and the Ansys acquisition supported the results. SNPS Q3 Earnings Beat Estimates on EDA and Ansys Strength
- Positive Sentiment: Higher outlook and AI momentum: Management raised fiscal 2026 guidance, citing accelerating EDA demand, recovering Design IP activity, interest in agentic AI and additional opportunities from integrating Ansys. Fiscal 2026 EPS guidance is $15.04–$15.10, with revenue guidance reportedly raised to approximately $9.72 billion. SNPS Q3 Earnings Call Highlights EDA Acceleration, Outlook Raised
- Positive Sentiment: Analyst and strategic support: Goldman Sachs, Benchmark and Needham reaffirmed Buy ratings, with price targets ranging from $570 to $600. Elliott Investment Management also reportedly built a multibillion-dollar position, betting Synopsys can narrow its discount to peers. Elliott Bets Multibillion-Dollar Position on Closing Synopsys’ Peer Discount
- Neutral Sentiment: Commentators view Synopsys as a key supplier to major technology companies, including Nvidia, and believe Ansys has strengthened its competitive moat; however, the acquisition’s full contribution depends on successful integration and future synergies. SNPS in Right Place, Right Time?
- Negative Sentiment: Valuation and peer concerns: Following the earnings rally, investors are refocusing on valuation, with Synopsys trading at a high earnings multiple. A comparison with PDF Solutions also highlighted stronger growth and margin improvement at the smaller rival, potentially limiting near-term enthusiasm for SNPS. SNPS vs. PDFS: Which Semiconductor Software Stock Has an Edge?
Synopsys Trading Down 4.8%
Synopsys (NASDAQ:SNPS – Get Free Report) last issued its quarterly earnings results on Wednesday, August 26th. The semiconductor company reported $3.91 earnings per share for the quarter, topping the consensus estimate of $3.67 by $0.24. The firm had revenue of $2.48 billion during the quarter, compared to the consensus estimate of $2.44 billion. Synopsys had a return on equity of 6.24% and a net margin of 11.43%.The company’s revenue for the quarter was up 42.4% on a year-over-year basis. During the same period last year, the company earned $3.39 earnings per share. Synopsys has set its Q4 2026 guidance at 4.100-4.160 EPS and its FY 2026 guidance at 15.040-15.100 EPS. Equities analysts forecast that Synopsys, Inc. will post 10.64 EPS for the current year.
Analysts Set New Price Targets
Several equities analysts have commented on the stock. Citigroup increased their price target on shares of Synopsys from $600.00 to $610.00 and gave the company a “buy” rating in a research note on Thursday, May 28th. Berenberg Bank set a $633.00 target price on shares of Synopsys in a report on Wednesday, May 27th. Benchmark reaffirmed a “buy” rating and issued a $570.00 target price on shares of Synopsys in a research report on Thursday. Robert W. Baird raised Synopsys from a “neutral” rating to an “outperform” rating and boosted their target price for the company from $558.00 to $560.00 in a report on Thursday. Finally, Rosenblatt Securities restated a “buy” rating and set a $575.00 price target on shares of Synopsys in a research note on Tuesday. Twelve analysts have rated the stock with a Buy rating, five have given a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average price target of $561.28.
Get Our Latest Research Report on SNPS
Insider Buying and Selling
In other Synopsys news, CEO Sassine Ghazi sold 14,603 shares of Synopsys stock in a transaction that occurred on Monday, June 15th. The stock was sold at an average price of $458.96, for a total value of $6,702,192.88. Following the sale, the chief executive officer owned 75,020 shares of the company’s stock, valued at approximately $34,431,179.20. The trade was a 16.29% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CFO Shelagh Glaser sold 3,394 shares of the stock in a transaction that occurred on Friday, June 12th. The stock was sold at an average price of $450.02, for a total value of $1,527,367.88. Following the transaction, the chief financial officer directly owned 14,358 shares of the company’s stock, valued at approximately $6,461,387.16. This trade represents a 19.12% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 0.56% of the stock is currently owned by insiders.
Synopsys Company Profile
Synopsys, Inc is a leading provider of electronic design automation (EDA) software and semiconductor intellectual property (IP) used to design, verify and manufacture integrated circuits and complex systems-on-chip (SoCs). Its product portfolio spans tools and technologies for front‑end design and synthesis, simulation and verification, physical implementation and signoff, and design-for-manufacturability, enabling chip designers to move from architecture through tape‑out.
In addition to core EDA offerings, Synopsys supplies a broad set of semiconductor IP building blocks — such as interface, memory and analog/mixed-signal cores — that customers integrate into SoCs to accelerate development.
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