
Synopsys (SNPS) Stock Forecast & Price Target
Synopsys (SNPS) Analyst Ratings
Bulls say
Synopsys is positioned for robust financial growth, with projected revenue increasing approximately 36.6% in FY26 to $9.637 billion, driven by strong demand across semiconductor and aerospace industries. The integration of Ansys is expected to contribute significantly, forecasted to achieve double-digit growth year-over-year, further enhancing the company's revenue outlook for FY27 at approximately $10.67 billion. Additionally, the company's enterprise operating margins are anticipated to reach 40% or higher by the end of 2025, reflecting improved operational efficiencies amidst favorable market dynamics in the electronic design automation sector.
Bears say
The fundamental outlook for Synopsys's stock appears negative primarily due to a significant year-over-year decline of 21% in IP revenue, leading to lower growth expectations and the potential for a slowdown in the EDA market to high single-digit CAGR. Additionally, the company's revenue growth forecast for FY26 and FY27 has been trimmed, reflecting ongoing challenges in market performance and the underperformance of the Chinese market, which may hinder the IP segment's recovery. Furthermore, Synopsys's efforts to exit certain lower-growth product lines highlight concerns regarding the company's ability to achieve an operating margin of 40% by the end of 2025 amidst muted growth projections.
This aggregate rating is based on analysts' research of Synopsys and is not a guaranteed prediction by Public.com or investment advice.
Synopsys (SNPS) Analyst Forecast & Price Prediction
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