CleaRank Financial AI • AI-powered analysis using real-time market data from TwelveData
Analysis reviewed by Anthony Beachey, Financial Journalist. Data refreshed daily. Not financial advice.
Synopsys Inc. (SNPS) is trading at $479.93, above its 50-day and 200-day moving averages ($425.69 and $446.07), indicating positive short-to-medium term momentum. The company's strong revenue growth of 42.4% in the latest reported quarter significantly outpaces the technology sector median of 24.1%, driven by strong demand for its electronic design automation (EDA) and semiconductor IP solutions. Analysts maintain a largely positive outlook, with a consensus 'Buy' rating and a median price target of $580, suggesting a 20.9% upside potential. Despite the positive technical and fundamental signals, significant insider selling totaling $84.5 million presents a notable risk. The company's P/E ratio of 87.37 is substantially higher than the sector average of 34, indicating a premium valuation. While recent earnings have consistently beaten estimates, the high valuation requires sustained strong growth to justify current price levels. Investors should monitor the impact of insider selling and the company's ability to continue delivering above-average revenue growth.
SNPS at a glance
Synopsys Inc. (SNPS): Buy, 77/100 on CleaRank's AI score.
TrendUp: the price is above both its 50- and 200-day moving averages ($425.69 and $446.07).
EarningsSNPS beat estimates in 3 of its last 3 quarters, yet fell the next day after 2 of those beats.
InsidersInsiders sold $84.5M and bought $149K over the last 18 months.
ValuationP/E of 87.4 against 34.0 for the Technology sector: a premium to peers (+157%).
As of October 15, 2026, Synopsys Inc. (SNPS) trades at $479.93. Wall Street's consensus target is $580.00 across 25 analysts. The 14-day RSI (daily closes) is 59.7, in neutral territory, and the price is above its 50-day simple moving average of $425.69.
Figures as of October 15, 2026.
Only on CleaRank
Figures we compute ourselves from SNPS's own price, earnings and insider-filing history. Tap one to see it in context.
Trading at a significant premium to sector peers (+157%), suggesting market expectations for superior growth or market position.
SNPS Financial Performance
Revenue vs. Earnings
Annual
Quarterly
Earnings Reality Check
In the last 3 quarters, SNPS beat the analyst estimate 3 times; the stock fell in the first session after 2 of those beats.
SNPS earnings surprises and the stock's reaction
Report
EPS estimate
EPS actual
Surprise
First session
5 sessions
Aug 26, 2026
$3.67
$3.91
+6.54%
+13.39%
+1.46%
May 27, 2026
$3.16
$3.35
+6.01%
-8.61%
-5.30%
Feb 25, 2026
$3.56
$3.77
+5.90%
-5.16%
-4.05%
The first session is the first full trading day on the news: the report day itself for a report before the open, the next day for one after the close. Surprise is actual EPS against the consensus estimate.
As of October 15, 2026, SNPS has beaten the analyst EPS estimate in 3 of its last 3 reported quarters and fell in the first trading session after 2 of those beats; its latest report, on August 26, 2026, came in 6.54% above the estimate and the stock moved +13.39% in the first session.
SNPS Analysis
Company's Health4/5
12-Month Analyst Target+20.85% above price
Median of 25 analysts (12-month)
$580.00
AI Analyst Consensus ScoreBuy
Synopsys Inc. (SNPS) volume was 3.2 million shares, 6.6% above its average volume of 3.0 million, suggesting increased investor interest. The stock is trading above its 50-day SMA of $425.69 and its 200-day SMA of $446.07, indicating an overall bullish trend. The 14-day RSI is at 59.73, reflecting neutral momentum, neither overbought nor oversold. The chart structure shows SNPS trading above its 20-day EMA of $464.07, reinforcing the upward trajectory. Key support levels are near the 50-day SMA, while resistance may be found near previous highs. The current price action suggests continued strength, but the neutral RSI indicates a potential pause or consolidation before the next significant move.
Key Catalysts
BullishStrong Earnings Beat and Positive Guidance
Synopsys Inc. (SNPS) recently beat EPS estimates by 6.54% and saw its stock price rise 13.39%, indicating strong operational performance and positive market reception.
Source: Company PR
BullishUpgraded Analyst Ratings
Several analysts have recently upgraded or maintained 'Buy' ratings on SNPS, reflecting confidence in its growth prospects and market position.
Source: Analyst Reports
BearishSignificant Insider Selling
Insiders have sold approximately $84.5 million worth of stock, contrasting with minimal purchases, which could signal concerns about future performance or valuation.
Source: Insider Filings
NeutralContinued Sector Growth
The broader technology and semiconductor sectors are experiencing strong growth, providing a favorable environment for Synopsys Inc. (SNPS) to expand its market share.
Source: Market Data
Market Outlook
Synopsys Inc. (SNPS) is expected to maintain its growth trajectory, driven by the increasing complexity and demand for advanced semiconductor designs. The company's strong position in EDA and IP provides a solid foundation for continued revenue expansion, with current year revenue growth estimated at 38.00% and next year's at 13.00%. The median analyst price target of $580 suggests a belief in the company's ability to sustain its growth and command a premium valuation. Potential upside catalysts include continued market share gains in the semiconductor design space and successful integration of new technologies. Any failure to meet ambitious growth expectations, coupled with the high P/E ratio, could lead to a sharp correction. The company's ability to navigate competitive pressures and evolving technological demands will be critical.
Key Statistics
Market Cap
91.97B
P/E Ratio
87.37
EPS (TTM)
5.66
Dividend Yield
0.00%
52 Week High
539.48
52 Week Low
362.55
As of October 15, 2026, SNPS trades at $479.93, with a market value of $91.97B and a P/E ratio of 87.37.
Synopsys Inc. (SNPS) exhibits strong revenue growth, with the current year's estimate at +38.00% year-over-year, far exceeding the sector median of 24.1%. Its profit margin of 11.43% and operating margin of 14.52% are healthy, though its return on equity at 3.66% is below the sector median of 13.4%. The company's debt-to-equity ratio of 0.35 is in line with the sector average. The stock's P/E ratio of 87.37 is significantly higher than the sector median of 34, suggesting a substantial valuation premium. This premium is partially supported by strong forward growth estimates, with next year's EPS expected to grow by 22.8% and revenue by 13.00%. However, the high P/E ratio implies that the company must consistently meet or exceed these growth expectations to justify its current market valuation.
Earnings & Growth Analysis
The company's ability to surpass earnings estimates suggests a resilient business model and strong demand for its products.
Key Risks
The stock's high P/E ratio of 87.37, substantially above the sector average, makes it vulnerable to market corrections or any slowdown in its projected growth trajectory. Also, while recent earnings have been strong, a significant portion of the stock's valuation is based on future growth expectations, creating a risk if these are not met.
Technical Indicators i
RSI (14-day)
59.73
MACD (12, 26)
24.51
SMA (50-day)
425.69
SMA (200-day)
446.07
Technical RatingBullish
RSI
Neutral
SMA Cross
Bearish
Price vs SMA
Bullish
MACD
Bullish
Moving averages show a lagging Death Cross (50-day: $425.69, 200-day: $446.07), price action is firmly bullish above key moving averages.
As of October 15, 2026, with SNPS at $479.93, its 14-day RSI is 59.7 (neutral territory), its 50-day simple moving average is $425.69 and its 200-day is $446.07.
Calculated by CleaRank on daily closes as of October 15, 2026: Wilder's 14-day RSI, 50- and 200-day simple moving averages, MACD line (12, 26).
Market Correlations
How this stock moves relative to other assets
Based on 1 year of daily price data. Correlations may vary over different time periods.
S&P 500 (SPY)+0.42
Moderate correlation
Nasdaq 100 (QQQ)+0.45
Moderate correlation
Bitcoin (BTC)+0.29
Weak correlation
Gold (XAU)+0.05
Weak correlation
As of October 15, 2026, SNPS's 1-year correlation of daily returns is +0.42 with S&P 500 (SPY), +0.45 with Nasdaq 100 (QQQ), +0.29 with Bitcoin (BTC) and +0.05 with gold (XAU).
Check Custom Correlation
How does any other asset move with SNPS? One year of daily closes, Pearson correlation.
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SNPS Wall Street View
12-month price targets
Low $414.77Median $580.00 (+20.9%)High $700.00
Ratings
Buy 23Hold 2Sell 03 months ago: 18 of 24 buy
Recent rating actions
Recent analyst rating actions on SNPS
Date
Firm
Action
Rating
Oct 1, 2026
Wells Fargo
Maintains
Overweight
Oct 1, 2026
Keybanc
Maintains
Overweight
Oct 1, 2026
Rosenblatt
Maintains
Buy
Sep 25, 2026
HSBC
Upgrade
Buy
Sep 24, 2026
BNP Paribas
Upgrade
Neutral
Sep 10, 2026
Wells Fargo
Upgrade
Overweight
As of October 15, 2026, 25 Wall Street analysts cover SNPS: 23 rate it a buy or strong buy, 2 a hold and 0 a sell or strong sell. Their 12-month price targets range from $414.77 to $700.00, with a median of $580.00, 20.9% above the price of $479.93.
Source: TwelveData analyst consensus. Targets and ratings belong to the analysts, not to CleaRank.
SNPS Trade Plans
Specific entry, exit, and risk management levels
Select Your Trade Bias
Risk Tolerance
Conservative2%Aggressive
Portfolio Value
$
Position Size: Enter portfolio size →
Long entry pick an entry style
Conservative
$470.33
2% below current price (Pullback entry)
Lower risk, wait for pullback
Aggressive
$479.93
Buy at current price
Higher risk, immediate entry
Risk Management
STOP LOSS
$437.41
MAX LOSS
-7.0%
Volatility-Adjusted Stop Loss
Calculated based on RSI (59.7) and current market volatility
SNPS moves about 3.3% a day on average, so a stop can fill well past its level. Educational levels, not financial advice; the full disclaimer is at the foot of the page.
Growth of $10,000
A $10,000 investment in SNPS in October 2016 would be worth about $80,323 today, compared with about $36,237 for the same investment in the S&P 500 benchmark.
Compare with Another Ticker
SNPS Drawdowns & Recovery
Worst fall, last 10 years
-42.2%
August 2025 to September 2026
Recovery
Not yet
still 24.5% below the August 2025 peak
From the 10-year high
-25.6%
highest close, July 2025
1-year holds that gained
79%
of every 1-year window
As of October 15, 2026, SNPS's worst peak-to-trough fall over the last 10 years was -42.2% (August 2025 to September 2026); it is still 24.5% below that peak, and 79% of 1-year holding periods ended with a gain.
From weekly closing values. A drawdown is the fall from the highest value reached so far to a later low.
Monte Carlo Projection (10yr)
CleaRank's 10-year Monte Carlo simulation projects that a $10,000 investment in SNPS today could grow to about $27,630 by 2036 in the base case, with a 90th-percentile outcome near $123,614 and a 10th-percentile outcome around $6,176. Projections are statistical simulations, not guarantees.
SNPS Stock Price Prediction: 2030
CleaRank's simulation projects a price near $721 for SNPS by 2030 in the base case, from $480 today (1.5x over 4 years). The 10th-percentile path ends near $279. These are outcomes of a Monte Carlo simulation run on SNPS's historical return distribution, not price targets, and they assume no dividends are reinvested.
SNPS simulated price paths by year
Year
10th percentile
Base case
90th percentile
2027
$331
$531
$853
2028
$301
$588
$1,149
2029
$287
$651
$1,479
2030
$279
$721
$1,859
2031
$277
$798
$2,301
Method: a lognormal simulation of SNPS's own volatility and capped historical trend, re-run daily; base case is the median path, the outer columns the 10th and 90th percentiles.
As of October 15, 2026, SNPS insiders reported 16 open-market sales worth $84.5M and 1 open-market purchase worth $149K over the last 18 months; grants and option exercises are not counted.
Recent insider transactions in SNPS
Date
Insider
Type
Shares
Value
Oct 6, 2026
KANKANWADI SUDHINDRA
Officer
Sell
12.2K
$6.0M
Oct 6, 2026
LEE JANET
General Counsel
Sell
1.1K
$574.7K
Oct 6, 2026
KANKANWADI SUDHINDRA
Officer
Option
12.2K
$1.7M
Sep 15, 2026
GHAZI SASSINE E
Chief Executive Officer
Sell
14.6K
$5.5M
Sep 15, 2026
GHAZI SASSINE E
Chief Executive Officer
Option
14.6K
$2.0M
Sep 11, 2026
LEE JANET
General Counsel
Grant
2.3K
-
Sep 1, 2026
DE GEUS AART J
Officer and Director
Sell
49.6K
$21.4M
Sep 1, 2026
DE GEUS AART J
Officer and Director
Option
49.6K
$6.7M
Sep 1, 2026
LEE JANET
General Counsel
Grant
699
-
Aug 28, 2026
DE GEUS AART J
Officer and Director
Sell
25.0K
$11.1M
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Frequently Asked Questions
What are the main risks facing Synopsys Inc. (SNPS)?
The primary risks for Synopsys Inc. (SNPS) include substantial insider selling totaling $84.5 million, a high P/E ratio of 87.37 compared to the sector average, and the potential for future growth to fall short of market expectations.
How does Synopsys Inc.'s (SNPS) valuation compare to its peers?
Synopsys Inc. (SNPS) trades at a significant premium, with a P/E ratio of 87.37, compared to the technology sector median of 34. While its revenue growth is exceptional, this valuation suggests high investor expectations.
What is the analyst consensus for Synopsys Inc. (SNPS)?
The consensus rating for Synopsys Inc. (SNPS) among 25 analysts is 'Buy', with a median price target of $580, indicating a potential upside of 20.9% from the current price.
What is the long-term outlook for Synopsys Inc. (SNPS)?
The long-term outlook for Synopsys Inc. (SNPS) appears positive, with projected earnings growth of 22.8% next year and a 5-year average annual growth rate of 19.8%. However, sustained execution and managing its premium valuation will be key.
Is SNPS in an uptrend?
Yes. Synopsys Inc. (SNPS) trades at $479.93, above both its 50- and 200-day moving averages ($425.69 and $446.07). Its 14-day RSI on daily closes is 59.7, in neutral territory.
How does SNPS stock react to earnings?
Of its last 3 reports, SNPS beat the estimate 3 times, and the shares still fell the next day after 2 of those beats. Most recently, on Aug 26, 2026, earnings came in 6.5% above the estimate and the stock moved +13.4% the next day.
Are insiders buying or selling SNPS?
Selling, on balance. In the last 18 months, SNPS's officers, directors and large holders reported 16 sales worth $84.5M and 1 open-market purchase worth $149K. Grants and option exercises are not counted as buying.
What is the analyst price target for SNPS?
As of October 15, 2026, the 25 Wall Street analysts covering SNPS have 12-month targets from $414.77 to $700.00, with a median of $580.00, 20.9% above the current price of $479.93. 23 rate it a buy or strong buy, 2 a hold and 0 a sell or strong sell. Three months ago 18 of 24 rated it a buy.
What is SNPS's biggest drop in the last 10 years?
Synopsys Inc. (SNPS)'s worst peak-to-trough fall over the last 10 years was -42.2%, from August 2025 to September 2026. It has not regained that peak yet and is still 24.5% below it. Over the same period, 79% of 1-year holding periods ended with a gain.
What are SNPS's best and worst months?
Over the last 10 years, May has been SNPS's strongest month on average (+5.37%, rising in 7 of 10 years) and September its weakest (-4.98%, rising in 3 of 10 years). Seasonal averages describe the past and do not predict a given year.
