When deciding whether to buy, sell, or hold a stock, investors often rely on analyst recommendations. Media reports about rating changes by these brokerage-firm-employed (or sell-side) analysts often influence a stock's price, but are they really important?Let's take a look at what these Wall Street heavyweights have to say about Synopsys (SNPS) before we discuss the reliability of brokerage recommendations and how to use them to your advantage.Synopsys currently has an average brokerage recommendation (ABR ...

Solution Helps Future-Proof Infrastructure Using New 1.6T Ethernet Controller IP, Silicon-Proven 224G PHY IP, and Verification IP Highlights: Available now and adopted by multiple customers, Synopsys' complete 1.6T Ethernet IP solution, reduces interconnect power consumption by up to 50% compared to existing implementations New multi-channel/multi-rate Ethernet controllers offer 1.6T support with up to 40% latency reduction and up to 50% area reduction compared to existing multi-rate 800G IP solutions Sili ...

Here is one stock with buy rank and strong momentum characteristics for investors to consider today, February 28:Synopsys, Inc. (SNPS) : This integrated circuit design solutions company has a Zacks Rank #1 and witnessed the Zacks Consensus Estimate for its current year earnings increasing 13.9% over the last 60 days.Synopsys' shares gained 27.1% over the last six months compared with the S&P 500’s advance of 11.4%. The company possesses a Momentum Score of A.See the full list of top ranked stocks here Learn ...

Synopsys (SNPS) appears an attractive pick given a noticeable improvement in the company's earnings outlook. The stock has been a strong performer lately, and the momentum might continue with analysts still raising their earnings estimates for the company.The upward trend in estimate revisions for this maker of software used to test and develop chips reflects growing optimism of analysts on its earnings prospects, which should get reflected in its stock price. After all, empirical research shows a strong co ...

Key TakeawaysSynopsys shares surged to an all-time high Thursday, after the software firm posted better-than-expected first-quarter results and guidance on the back of the AI boom. The Sunnyvale, Calif.-based company projected adjusted earnings per share for the current quarter ranging between $3.09 and $3.14.CEO Sassine Ghazi credited customers' spending on AI for the bullish numbers.Synopsys Inc. (SNPS) shares surged to an all-time high Thursday, after the software firm posted better-than-expected first-q ...

Synopsys (SNPS) shares gained 4.7% during Wednesday’s extended trading session after the company reported better-than-expected first-quarter fiscal 2024 results. The company’s first-quarter non-GAAP earnings per share (EPS) of $3.56 beat the Zacks Consensus Estimate of $3.43. The bottom line improved 35.9% year over year, primarily driven by higher revenues and better cost management.Revenues jumped 21% year over year to $1.65 billion, driven by growth across its business segments. The top line was in line ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q (MARK ONE) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE QUARTERLY PERIOD ENDED JANUARY 31, 2024 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE TRANSITION PERIOD FROM TO COMMISSION FILE NUMBER: 000-19807 SYNOPSYS, INC. (Exact name of registrant as specified in its charter) Delaware 56-1546236 (State or other jurisdiction ...

Financial Data and Key Metrics - Revenue for Q1 2024 was $1.65 billion, up 21% year-over-year, at the upper end of the guidance range [3] - Non-GAAP operating margin was 38.7%, up approximately 3.5 points year-over-year [3] - Non-GAAP EPS was $3.56, up 36% year-over-year, surpassing the upper end of the guidance range [3][23] - Operating cash outflow was $88 million for the quarter, with cash and short-term investments ending at $1.27 billion [14] - Full-year 2024 revenue guidance is $6.57 billion to $6.63 billion, with non-GAAP EPS expected to grow 20% to 21% [15][56] Segment Performance Design Automation - Revenue was $985.3 million, up 11% year-over-year, with an adjusted operating margin of 37% [14] - Strong design win activity, including industry-first tape-outs for GAA-based mobile cores and server SoCs at advanced nodes [6] - VSO.ai saw strong demand, with a large North American HPC semiconductor company deploying it across four projects [7] - TSO.ai demonstrated a 20% reduction in total pattern count, and Silicon.da analytics saw significant engagement growth [8] Design IP - Revenue was $525.7 million, up 53% year-over-year, driven by broad-based strength, with an adjusted operating margin of 47.5% [14] - Closed multiyear, multinode, and multi-foundry agreements for next-generation automotive and IoT platforms [10] - PCIe 6.0 IP led the industry with over 50 lifetime wins, and PCIe 7.0 technology was showcased at DesignCon 2024 [10] - Launched the new ARC 5 RISC-V-based portfolio, attracting strong customer interest [11] Software Integrity - Revenue was $138.2 million, up 8% year-over-year, with an adjusted operating margin of 17.3% [14] - The company continues to evaluate strategic alternatives for this business [144] Market Trends and Strategic Direction - The semiconductor industry is scaling towards $1 trillion in revenue by the end of the decade, driven by AI, silicon proliferation, and software-defined systems [4] - Synopsys is positioned to capitalize on the shift towards a silicon-to-systems approach, with customers increasingly adopting system-level design methodologies [5] - The company announced its intent to acquire Ansys, which will expand its TAM by 1.5 times to $28 billion and enhance its silicon-to-systems strategy [25] - Multi-die packaging is a significant growth driver, with Synopsys securing four die-to-die IP engagements in the quarter [30] Management Commentary on Operating Environment and Future Outlook - The company is confident in its leadership position, robust customer design activity, and the resilience of its time-based business model [15] - Synopsys is entering an era of pervasive intelligence, with AI and smart technologies driving demand for more sophisticated silicon and system-level solutions [24] - The Ansys acquisition is expected to close in the first half of 2024, with customer feedback being overwhelmingly positive [25][92] Other Important Information - The company launched Synopsys.ai, focusing on optimization, XSO.ai analytics, and generative AI, including a copilot for chip design [26] - Synopsys.ai copilot, developed in collaboration with Microsoft, aims to accelerate chip design through generative AI capabilities [28] - The company demonstrated the industry's first silicon success for UCIeS IP in TSMC's N5 process, highlighting its leadership in multi-die packaging [30] Q&A Session Summary China Market and Revenue Trends - Q1 sales in China were modestly accretive to overall growth, but the company expects headwinds to continue for the remainder of the year [36][37] - The backlog stood at $8.2 billion, down from a record $8.6 billion in Q4, reflecting normal lumpiness in timing of big orders [38] IP Business Performance - The IP business saw 50% growth in Q1, driven by new standards, multi-die packaging, and increased demand for interface IP [42][65][66] - The company expects IP demand to remain strong due to the secular trend of silicon proliferation and more sophisticated chip designs [66] Ansys Acquisition and Customer Feedback - Customer feedback on the Ansys acquisition has been overwhelmingly positive, with customers looking forward to deeper integration and system-level solutions [92][119] - The acquisition is expected to bring cross-sell opportunities and synergies, with a projected run rate of $400 million in synergies by year four [100] Hardware Business and Inventory - Inventory grew by 17% quarter-on-quarter to support record hardware demand, with hardware becoming a critical part of customer design processes [86][113] - The company anticipates another record year for hardware, driven by the increasing complexity of chip designs [86] AI and Edge Computing Trends - AI is expanding beyond data centers into edge and endpoint devices, creating opportunities for Synopsys in automotive, smartphones, and IoT [90][91] - The company is engaged with customers developing AI capabilities for a wide range of applications, reinforcing its position in the era of pervasive intelligence [91]

Synopsys (SNPS) reported $1.65 billion in revenue for the quarter ended January 2024, representing a year-over-year increase of 21.2%. EPS of $3.56 for the same period compares to $2.62 a year ago.The reported revenue represents a surprise of +0.23% over the Zacks Consensus Estimate of $1.65 billion. With the consensus EPS estimate being $3.43, the EPS surprise was +3.79%.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine th ...

Synopsys (SNPS) came out with quarterly earnings of $3.56 per share, beating the Zacks Consensus Estimate of $3.43 per share. This compares to earnings of $2.62 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 3.79%. A quarter ago, it was expected that this maker of software used to test and develop chips would post earnings of $3.04 per share when it actually produced earnings of $3.17, delivering a surprise of 4.28%.Over the ...