Core Insights - Nvidia has purchased $2 billion of Synopsys stock and plans to enhance their existing partnership to improve product upgrades and cloud utilization [1][2] - The partnership aims to revolutionize the design and engineering industry, which is highly compute-intensive [3] Company Performance - Synopsys shares rose 2.01% in the five days ending December 10, but have dropped 1.96% year-to-date [4] - Synopsys has a market capitalization of $86.5 billion, with a trailing price-to-sales ratio of 48.3x and a price-to-book ratio of 2.6x [5] Financial Results - For the year ending in July, Synopsys reported earnings per share (EPS) of $9.60 [6] - In the fiscal third quarter, revenue was $892.36 million, an increase from $803.15 million year-over-year, but operating income fell to $165.27 million from $360.2 million due to rising costs [6] - The weaker performance of Synopsys's IP business was attributed to new export restrictions in China and challenges with a major foundry customer [7] - Despite these challenges, the company anticipates record revenue for the current fiscal year, partly due to the acquisition of Ansys, which closed in July [7][8]