Synopsys, Inc.

Fundamentals7.5
Price Action6.5
News Sentiment6.5
AI Rating
7.0

Key Drivers

  • Cash Generation
  • Premium Valuation
  • Intangible Heavy

AI
AI Summary

7.0

SNPS should be viewed less as a premium EDA compounder and more as a broader silicon-to-systems platform with AI and Ansys expanding its long-term market, but FY26 is likely a transition year where integration, China weakness, and delayed joint monetization keep near-term earnings and multiple expansion capped until FY27.

PlatformGrowth
ExecutionRisk
FY26‍

Price Chart

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Financial Metrics

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Revenue (TTM)
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Net Income (TTM)
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EPS (Q)
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MCAP

Deep Analysis

Research tool. Not personalized advice.

Fundamental Analysis

7.5

Key Financial Insights:

  • Cash Generation
  • Premium Valuation
  • Intangible Heavy

SNPS generates strong cash flow and solid annual margins, but the latest quarter softened and the stock looks expensive with a balance sheet heavy on intangibles.

CashFlow
Overvalued

Price Behavior

6.5
Research tool. Not personalized advice. Technical analysis is for informational purposes only.

Key Price Behavior Insights:

  • Higher low trend
  • Near-term pullback
  • Resistance retest

SNPS has trended higher over the last month, but after stalling near $516 and slipping to $502, it now looks like a healthy consolidation above key support at $500 with $489 as the main downside line.

bullish
consolidation
Support Level: $500, then $489
Resistance Level: $516.48

Pullback from the recent peak near $516.48 to $502.42 looks like consolidation rather than a trend break

Sentiment & News

6.5

Key News Insights:

  • AI momentum
  • Valuation debate
  • Mixed positioning

SNPS remains in focus as AI-driven design momentum and the Ansys/TSMC strategic expansion support the growth story, while valuation debate, shareholder scrutiny, and mixed trading keep volatility elevated.

AIGrowth
Valuation

The news flow is constructive for Synopsys's long-term growth case, but ongoing valuation and legal/investor overhangs may limit near-term upside