Synopsys, Inc.

$ 455.51 -1.35 %

Synopsys, Inc. is a leading provider of electronic design automation (EDA) software, instrumental in the creation and validation of integrated circuits. The company offers a robust portfolio of platforms, including the Fusion Design Platform for digital implementation, and the comprehensive Verification Continuum Platform. The latter provides a suite of solutions such as virtual prototyping, static and formal verification, simulation, emulation, and FPGA-based prototyping with integrated debugging tools. Synopsys also develops FPGA design products, which enable programming for specific functions. A significant part of its business involves intellectual property (IP) solutions. This encompasses IP for widely adopted communication standards like USB, PCI Express, DDR, Ethernet, SATA, MIPI, HDMI, and Bluetooth Low Energy. They also furnish analog IP, including data converters and audio codecs, alongside system-on-chip (SoC) infrastructure IP, specialized datapath and building block IP, and verification IP products. Furthermore, their offerings include mathematical and floating-point components, as well as Arm AMBA interconnect fabric and peripherals. Beyond core IP, Synopsys supplies logic libraries, embedded memories, and configurable processor cores, complemented by application-specific instruction-set processor tools for embedded applications. They also develop IP subsystems for audio, sensor, and data fusion functionalities, in addition to specialized security IP solutions. For advanced system design and analysis, Synopsys provides Platform Architect solutions for SoC architecture optimization, along with general virtual prototyping tools and HAPS FPGA-based prototyping systems. Their expertise extends to tools designed for optical systems and photonic devices. In addition to software and IP, the company delivers a range of services, including security testing, managed services, professional programs, and training. These services are designed to help customers identify and resolve security vulnerabilities and defects across the software development lifecycle. Manufacturing solutions are also part of their extensive offerings. Synopsys serves a diverse global client base, with applications across electronics, financial services, automotive, medicine, energy, and various industrial sectors. The company was founded in 1986 and is headquartered in Mountain View, California.

CEO: Sassine Ghazi - https://www.synopsys.com

Price objectif

$544.5 19.54 %

Recommandation

Buy

DCF

$ 250.53

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SNPS vs S&P500

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Quick ratio

1.32

suggests a healthy liquidity position, showing that the company can likely meet its short-term obligations.

P/E ratio

104.71

is considered reasonable, suggesting that the company has a valuation in line with its current profits.

EPS

4.35

is the net profit of a company divided by the number of outstanding shares, indicating the profit earned per share.

ROE

2.64 %

indicates low profitability, suggesting that the company is not using equity efficiently to generate profits.

ROIC

1.61 %

does not generate enough return to cover its financing costs, which indicates value destruction and may pose long-term profitability issues.

WACC

8.99

is a company's average cost of capital, weighted by the proportion of debt and equity in its financing. It represents the minimum return the company must generate to satisfy its investors.

Debt-to-Equity Ratio

0.36

indicates that the company uses more equity than debt, suggesting prudent management.

Free cash flow per share

14.05

is a measure of a company's financial flexibility that is determined by dividing free cash flow by the total number of shares outstanding.

Dividend payout ratio

0.00 %

the dividend payout ratio is the measure of dividends paid out to shareholders relative to the company's net income.

Earnings per share

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Financials

Piotroski score
5 indicates moderate financial health
Altman score
3.83 indicates good financial health and low risk of bankruptcy
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Cash / Debt

Cash Ratio
0.64 indicates that the company has a moderate ability to cover its short-term debts with its cash
Debt Ratio
0.23 indicates that the company uses little debt to finance its assets, suggesting good financial stability
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Free Cash Flow

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Earnings Per Share (annual)

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Sales

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