Synopsys(US:SNPS) ZACKS·2024-12-05 00:01Core Insights - Synopsys reported revenue of $1.64 billion for the quarter ended October 2024, reflecting a 2.3% increase year-over-year, with EPS at $3.40 compared to $3.17 in the same quarter last year [1] - The revenue exceeded the Zacks Consensus Estimate of $1.63 billion, resulting in a surprise of +0.23%, while the EPS also surpassed expectations by +3.34% [1] Revenue Breakdown - Maintenance and service revenue was $280.67 million, exceeding the average estimate of $249.31 million, marking a year-over-year increase of +0.4% [3] - Total products revenue reached $1.36 billion, slightly below the estimated $1.38 billion, but still showing a +2.7% change from the previous year [3] - Design IP revenue was reported at $517.80 million, lower than the estimated $537.96 million, with a +0.8% year-over-year change [3] - Design Automation revenue was $1.12 billion, surpassing the estimate of $1.09 billion, reflecting a significant year-over-year increase of +17.3% [3] - Upfront products revenue was $520.94 million, exceeding the estimate of $475.29 million, with a year-over-year change of +16% [3] - Time-based products revenue was $834.38 million, falling short of the estimated $910.83 million, representing a decline of -4.1% year-over-year [3] Stock Performance - Synopsys shares have returned +9.2% over the past month, outperforming the Zacks S&P 500 composite's +5.8% change [4] - The stock currently holds a Zacks Rank 4 (Sell), indicating potential underperformance relative to the broader market in the near term [4]