Synopsys Inc (SNPS)
Information Technology · Application Software · US stock · S&P 500 component
$454.63
▼ -13.48 (2.88%)
Fair valueOvervalued
$160 −64.8% to fair value
$80fair band $112–$208$240
Day's range
$448.19 – $469.03
52-week range
$362.55 – $539.48
Red flags⚠ Heavy dilution
About Synopsys Inc
Chip designers rely on software and intellectual property from Synopsys to design electronic chips and systems. Its tools cover chip design and verification, and it licenses ready-made design blocks, such as interface and memory components, that chipmakers reuse in their products. Through its combination with Ansys, it also offers engineering simulation software. Customers include semiconductor companies, electronics makers, cloud operators and carmakers.
Software licences and subscriptions, recurring maintenance and the licensing of design blocks generated revenue of $9.4 billion over the last twelve months. Revenue has grown at 11.6% a year across the last three years. The operating margin is 8.5%, the business earns 2% on the capital invested in it, and net debt is 2.8 times EBITDA. No dividend is paid. On the site's X-Ray Score it receives 26 out of 100.
Written with AI from public information and the filing figures on this page, then checked automatically for unsupported numbers. It can contain mistakes: read the company's own filings below before relying on it.
Price chart
52-wk range $362.55 – $539.48Volume 2,516,100Daily, split-adjusted
Vitals
Market cap$87.4B
52-week range$362.55 – $539.48
Volume (last day)2,516,100
P/E (TTM)78.2
EBIT / EV yield0.8%
Free-cash-flow yield3.1%
Dividend yieldNo dividend
Revenue (TTM)$9.4B
Net income (TTM)$1.1B
Operating margin8.5%
Return on capital1.7%
Debt incl. leases$10.8B
Cash & securities$3.6B
Debt = borrowings plus lease liabilities. Cash & securities = cash, equivalents and short-term marketable securities (long-term securities are not counted, so net cash can be understated for companies like Apple). Net debt = debt minus cash & securities. Source: latest SEC 10-Q/10-K. EBIT / EV yield = operating profit divided by market cap plus net debt.
Fair value estimate
$160model spread $160 – $160
Overvalued
−64.8% to fair value
Equal blend of three models: peer multiples, a fundamentals-adjusted multiple (growth, ROIC and margin) and a 10-year DCF scaled to the market's average. Earnings-power value (no growth) is a floor and not part of the blend. Model uncertainty is Medium, so the safety margin is 30%.
Price $455
Undervalued < $112Fair $112 – $208Overvalued > $208
10-year DCF (market-scaled) · excluded
$16
Peer multiples
$191
Earnings power floor (not blended)
$38
Fundamentals-adjusted multiple
$128
A model estimate, not a price target or recommendation. Inputs: risk-free 5.09%, equity risk premium 4.23% (Damodaran). How it works.
What this means
Weak business, priced high
Our models put fair value below today's price, so a lot of good news may already be in the price. A high score does not guarantee a good outcome; it shifts the odds a little. Use the checklist as a prompt for your own research.
Before you invest · decision checklist
Ticked boxes are filled in from our data; the rest are yours to answer.
The five-lens scan
Every score explained in one sentence, ranked against Information Technology peers. Open a lens to see the numbers behind it.
Valuation
Weak
25/100
Expensive against its sector on earnings and cash flow.
See the numbers →
EBIT / EV yield0.8%
Free-cash-flow yield3.1%
Fair value vs price0.4×
Growth
Weak
45/100
Growing slower than most of its sector.
See the numbers →
Revenue growth (3y)11.6%
EPS growth (3y)8.5%
Growth consistency90%
Profitability
Weak
21/100
Earns lower returns on its capital than most peers.
See the numbers →
Return on invested capital1.7%
Operating margin8.5%
Gross profitability14.3%
Financial health
Weak
16/100
Balance sheet is more stretched than most peers.
See the numbers →
Piotroski F-Score3 / 9
Net debt / EBITDA2.8×
Interest cover1.3×
Dividends
None
–/100
Pays no dividend.
See the numbers →
Quarterly results: last 6 quarters
+10.3%
Apr '25
+14.0%
Jul '25
+37.8%
Oct '25
+65.5%
Jan '26
+41.9%
Apr '26
+42.4%
Jul '26
Revenue against the same quarter a year earlier. Latest quarter revenue $2.5B, diluted EPS $2.84.
Compare with peers
ADBE Adobe Inc.77 INTU Intuit Inc.72 FICO Fair Isaac Corp70 ADSK Autodesk, Inc.67Other Application Software companies by X-Ray Score.
Fundamentals checklist
● 0 Good · ● 7 Average · ● 9 BadCash quality
Earnings backed by cashAverage
Free-cash-flow yieldAverage
Risk models
Altman Z''Average
Piotroski F-ScoreBad
Growth
EPS growth (3y)Average
Free-cash-flow growth (3y)Bad
Revenue growth (3y)Average
Growth consistencyAverage
Balance sheet
Current ratioAverage
Net debt / EBITDABad
Interest coverBad
Valuation
Fair value vs priceBad
EBIT / EV yieldBad
Profitability
Return on invested capitalBad
Operating marginBad
Gross profitabilityBad
Each check is graded against the company's sector, not a fixed number. Checklist score 26/100.
Financials
| FY21 | FY22 | FY23 | FY24 | FY25 | |
|---|---|---|---|---|---|
| Revenue | $4.2B | $5.1B | $5.3B | $6.1B | $7.1B |
| Operating income | $735M | $1.1B | $1.3B | $1.4B | $915M |
| Net income | $758M | $985M | $1.2B | $2.3B | $1.3B |
| Operating cash flow | $1.5B | $1.7B | $1.7B | $1.4B | $1.5B |
| Operating margin | 17.5% | 22.6% | 23.9% | 22.1% | 13.0% |
| Free cash flow | $1.4B | $1.6B | $1.5B | $1.3B | $1.3B |
| Diluted EPS | $4.81 | $6.29 | $7.92 | $14.51 | $8.04 |
Fiscal years, from SEC filings.
Technical summary
Daily
Bullish
8 bullish · 4 neutral · 4 bearish
Weekly
Bullish
8 bullish · 1 neutral · 3 bearish
Monthly
Neutral
3 bullish · 1 neutral · 4 bearish
Moving averages (daily)
| SMA 10 | 490.4 | Bearish |
| EMA 10 | 476.6 | Bearish |
| SMA 20 | 461.3 | Bearish |
| EMA 20 | 463.5 | Bearish |
| SMA 50 | 428.0 | Bullish |
| EMA 50 | 441.2 | Bullish |
| SMA 100 | 432.5 | Bullish |
| EMA 100 | 437.5 | Bullish |
| SMA 200 | 445.9 | Bullish |
| EMA 200 | 445.8 | Bullish |
Oscillators (daily)
| RSI (14) | 49.78 | Neutral |
| MACD (12, 26) | 18.26 | Bullish |
| Momentum (12) | 4.53 | Bullish |
| Stochastic %K (14) | 47.00 | Neutral |
| Williams %R (14) | -53.00 | Neutral |
| CCI (20) | -7.31 | Neutral |
Pivot points (classic, last session)
S3 424.7 | S2 436.4 | S1 445.5 | Pivot 457.3 | R1 466.4 | R2 478.1 | R3 487.2 |
Signals describe what the chart is doing, not what to do. Moving averages: price above the average is bullish. Oscillators use the usual thresholds (RSI 30/70, Stochastic 20/80, CCI ±100, Williams %R −80/−20; MACD and momentum above zero are bullish). Weekly and monthly views use closing prices only.
SNPS SEC filings
5 Oct 2026
8-KSEC EDGAR
Other events
26 Aug 2026
8-KSEC EDGAR
Results of operations
26 Aug 2026
10-QSEC EDGAR
Quarterly report
12 Aug 2026
8-KSEC EDGAR
Director or officer change
27 May 2026
8-KSEC EDGAR
Entered a material agreement; Director or officer change
27 May 2026
8-KSEC EDGAR
Results of operations
27 May 2026
10-QSEC EDGAR
Quarterly report
20 Apr 2026
8-KSEC EDGAR
Director or officer change; Shareholder vote results
Where the numbers come from
Statements SEC EDGAR filings (10-K, 10-Q), quarters derived from year-to-date figures.
Prices end-of-day closes, split-adjusted.
Industry inputs beta, multiples and equity risk premium from Damodaran Online (NYU Stern).
StocksXray is for education only and is not financial advice. Scores and fair values are model estimates from public filings and carry uncertainty.