
Synopsys (SNPS) Stock Forecast & Price Target
Synopsys (SNPS) Analyst Ratings
Bulls say
The financial outlook for Synopsys is bolstered by an expected revenue growth of approximately 36.6% in FY26, reaching $9.637 billion, alongside continued positive growth projected for FY27 at 10.7%. The integration of Ansys is anticipated to contribute significantly, with a double-digit growth rate benefiting from strong demand in the aerospace sector and a $2.9 billion forecasted contribution. Additionally, with a potential acceleration of the EDA market growth driven by generative AI and an expected recovery in the IP business, Synopsys is well-positioned for long-term profitability, aiming for an operating margin of over 40% by the end of 2025.
Bears say
Synopsys has reported a significant 21% year-over-year decline in IP revenue, highlighting an overall downturn in this segment despite being better than previous estimates. The company's outlook for FY26 indicates a muted growth forecast, with anticipated EDA growth dropping to around 8%, influenced by weaker performance in China and ongoing repositioning efforts in the IP space. Additionally, Synopsys plans to reassess its product portfolio, potentially exiting lower-growth product lines, which raises concerns about its operational margins and long-term growth potential.
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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