Synopsys(US:SNPS) ZACKSยท2024-07-26 22:52Company Overview - Synopsys (SNPS) closed at $546.38, reflecting a +1.42% change from the previous day, outperforming the S&P 500's gain of 1.11% [1] - The stock has decreased by 9.46% over the past month, underperforming the Computer and Technology sector's loss of 5.32% and the S&P 500's loss of 1.16% [1] Earnings Projections - The upcoming earnings report is expected on August 21, 2024, with projected earnings per share (EPS) of $3.26, indicating a 13.19% increase year-over-year [2] - Quarterly revenue is anticipated to be $1.53 billion, up 2.55% from the same period last year [2] - For the full year, earnings are projected at $13.03 per share and revenue at $6.19 billion, reflecting increases of +16.44% and +5.91% respectively from the previous year [6] Valuation Metrics - Synopsys is currently trading at a Forward P/E ratio of 41.34, which is higher than the industry average of 29.3, suggesting a premium valuation [4] - The PEG ratio for Synopsys stands at 2.58, compared to the industry average PEG ratio of 2.4 [4] Analyst Sentiment - Recent shifts in analyst projections for Synopsys are important, as positive estimate revisions indicate optimism about the company's business outlook [7] - The Zacks Rank system currently rates Synopsys at 3 (Hold), with the consensus EPS estimate remaining steady over the past month [8] Industry Context - The Computer - Software industry is part of the broader Computer and Technology sector, currently holding a Zacks Industry Rank of 160, placing it in the bottom 37% of all industries [9] - Research indicates that the top 50% rated industries outperform the bottom half by a factor of 2 to 1 [9]