Synopsys (SNPS) Stock Price, Fundamentals & Analysis

What SNPS does

Synopsys (SNPS) is a US stock in the Technology sector, specifically the Software - Infrastructure industry, headquartered in Sunnyvale, United States. The company provides design IP solutions and software for the semiconductor and electronics industries. It operates in two segments: Design Automation and Design IP, offering tools for digital and custom IC design, verification, FPGA design, and AI-driven electronic design automation (EDA). It also supplies pre-verified IP solutions, logic libraries, processor and security IP, and automotive market offerings. Synopsys has a strategic collaboration with Arm Holdings plc for the development of AGI CPU solutions.

Key numbers explained

• The current price is 413.06 USD, with a daily change of +0.93%.
• The marketCap of 79.16B USD shows the total market value of all outstanding shares.
• The trailing P/E ratio of 72.1 indicates investors are paying 72.1 times the last 12 months' earnings per share of 5.73 USD.
• The forward P/E ratio of 23.6 uses expected future earnings, often seen as a more forward-looking valuation measure.
• The dividend yield is 0%, meaning the company pays no dividends and retains 0% of earnings for shareholders.
• The beta of 1.23 suggests the stock is typically 23% more volatile than the overall market.
• The 52-week price range is 362.55 – 539.48, with a one-year price change of -12.6%.
• Revenue for the trailing 12 months is 9.42B USD, growing 42.4% year over year.

Recent news

Recent headlines highlight a collaboration between Synopsys and Taiwan Semiconductor to accelerate AI systems innovation. Other stories include a partnership with TSMC using agentic AI and advanced design, as well as broader industry coverage on AI-driven chip design. Financial news also notes an adjusted price target for Synopsys and questions about the company's future if AI begins designing chips independently.

What to watch

As a part of the S&P 500, Synopsys is influenced by broader market trends and semiconductor industry cycles. Investors often monitor its high valuation multiples and revenue growth relative to peers like NXP Semiconductors (NXPI) and KLA Corporation (KLAC). The company's strategic partnerships, such as the one with Arm Holdings plc, and its exposure to AI-driven design tools are key factors. General considerations include global chip demand, competitive dynamics in EDA software, and macroeconomic conditions affecting the technology sector.