Synopsys Inc. (NASDAQ:SNPS) saw an upside of 0.45% to close Friday at $426.02 after adding $1.92 on the day. The 5-day average trading volume is 950,920 shares of the company’s common stock. It has gained $451.99 in the past week and touched a new high 3 times within the past 5 days. An average of 703,440 shares of the company has been traded in the last 20 days, and the 50-day average volume stands at 910,452.
SNPS’s 1-month performance is -5.69% or -$36.91 on its low of $418.51 reached on 08/18/23. The company’s shares have touched a 52-week low of $267.00 and high of $468.03, with the stock’s rally to the 52-week high happening on 05/30/23. YTD, SNPS has achieved 33.43% or $106.73 and has reached a new high 22 times. However, the current price is down -8.98% from the 52-week high price.
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Insider Transactions
SNPS stock investors last saw insider trading activity on Jun 21.DE GEUS AART (Chairman of the Board & CEO) most recently sold 40,839 shares at $428.18 per share on Jun 21. This transaction cost the insider $17,486,606. Chief Revenue Officer, MAHONEY RICHARD S., sold 9,257 shares at a price of $448.74 on Jun 16. Then, on Jun 13, Chairman of the Board & CEO DE GEUS AART sold 40,000 shares at a price of $447.40 per share. This transaction amounted to $17,896,136.
Valuation Metrics
SNPS stock has a beta of 1.12. Moving on to other valuation ratios, the trailing price-to-sales (P/S) ratio is 11.67 while the price-to-book (PB) in the most recent quarter is 11.12, with the price to cash flow ratio at 55.88.
Synopsys Inc.’s quick ratio for the period ended July 30 was 1.10, with the current ratio over the same period at 1.10. In terms of profitability, the gross margin trailing 12 months is 78.80%. The trailing 12-month EBITDA margin is 29.80% while for the period ending July 30, Synopsys Inc.’s operating margin was 19.40%. The firm’s gross profit as reported stood at $4.02 billion against revenue of $5.08 billion.
Earnings Surprise
For the quarterly period ending July 30 this year, Net income and sales went up compared to those figures reported in the previous quarter. Net income shrunk -8.01% to $272.91 million, while revenue of $271.54 million was 0.5% off the previous quarter. Analysts expected SNPS to announce $2.74 per share in earnings in its latest quarter, but it posted $2.88, representing a 5.10% surprise. SNPS stock balance sheet for the quarter ending July 30 shows that total liabilities totaled 3.96 billion, with total debt at $689.18 million.
Let’s look briefly at Synopsys Inc. (SNPS) price momentum from a technical analysis perspective. The 9-day relative strength index as at close on 18 August was 35.93% to suggest the stock is trending Neutral, with historical volatility in this time period at 18.13%.
The stock’s 5-day moving average is $429.98, reflecting a -0.57% or -$2.44 change from its current price. SNPS is currently trading -6.16% above its 20-day SMA, +13.93% above its 100-day SMA. However, the stock’s current price level is away from the SMA50 by -2.14% and SMA200 by+45.62%.
Stochastic %K and %D was 10.84% and 16.14% and the average true range (ATR) pointed at 11.01. The RSI (14) points at 39.90%, while the 14-day stochastic is at 20.84% with the period’s ATR at 10.54. The stock’s 9-day MACD Oscillator is pointing at -4.41 and -9.24 on the 14-day charts.
Analyst Ratings
In the most recent analyst report for Synopsys Inc. (NASDAQ: SNPS), BofA Securities upgraded it to a Buy rating. They previously had a Neutral rating on the stock. Analysts offering their rating for SNPS stock have a consensus rating for the stock as Buy. Currently, 0 brokerage advisors rate SNPS as a “sell,”, while 2 advise that investors “Hold.” 0 analysts have rated the stock as underweight. 1 rates the stock as overweight while 12 have offered a “buy” rating.
What is SNPS’s price target for the next 12 months?
Analysts have a consensus price target ranging from a low of $465.00 and a high of $515.00, with their median price target at $485.00. Looking at these predictions, the average price target given by analysts is for Synopsys Inc. (SNPS) stock is $489.61.
