Castleark Management LLC Makes New $612,000 Investment in Synopsys, Inc. $SNPS

Castleark Management LLC acquired a new position in Synopsys, Inc. (NASDAQ:SNPS) in the 2nd quarter, HoldingsChannel.com reports. The firm acquired 1,372 shares of the semiconductor company’s stock, valued at approximately $612,000.

Other hedge funds have also made changes to their positions in the company. Brighton Jones LLC grew its position in Synopsys by 5.7% during the fourth quarter. Brighton Jones LLC now owns 921 shares of the semiconductor company’s stock valued at $447,000 after purchasing an additional 50 shares in the last quarter. Integrated Wealth Concepts LLC boosted its position in Synopsys by 11.6% during the first quarter. Integrated Wealth Concepts LLC now owns 760 shares of the semiconductor company’s stock valued at $326,000 after purchasing an additional 79 shares during the last quarter. NewEdge Advisors LLC boosted its position in Synopsys by 15.1% during the first quarter. NewEdge Advisors LLC now owns 3,010 shares of the semiconductor company’s stock valued at $1,291,000 after purchasing an additional 395 shares during the last quarter. WINTON GROUP Ltd grew its stake in Synopsys by 9.2% in the second quarter. WINTON GROUP Ltd now owns 758 shares of the semiconductor company’s stock valued at $389,000 after purchasing an additional 64 shares in the last quarter. Finally, Treasurer of the State of North Carolina increased its position in Synopsys by 2.1% in the 2nd quarter. Treasurer of the State of North Carolina now owns 72,095 shares of the semiconductor company’s stock worth $36,962,000 after purchasing an additional 1,505 shares during the last quarter. 85.47% of the stock is owned by hedge funds and other institutional investors.

Key Headlines Impacting Synopsys

Here are the key news stories impacting Synopsys this week:

• Positive Sentiment: Synopsys reported fiscal Q3 revenue of $2.477 billion, up 42.4% year over year, while non-GAAP EPS of $3.91 exceeded the $3.67 consensus estimate. Design Automation was the primary contributor, indicating broad demand for chip-design software. Synopsys Posts Financial Results for Third Quarter Fiscal Year 2026
• Positive Sentiment: Management raised its fiscal 2026 outlook to approximately $9.715 billion in revenue and $15.07 in non-GAAP EPS at the midpoints. The company also projected fourth-quarter EPS of $4.10-$4.16, above the $3.78 analyst consensus, citing continued AI-driven demand and benefits from the Ansys business. Synopsys raises annual forecasts on AI-driven chip design software demand
• Positive Sentiment: Synopsys continues to position AI as a growth driver, saying customers are achieving substantial productivity gains and that engineering workflows are moving toward more autonomous systems. Nvidia’s reported $2 billion investment in Synopsys also reinforces the strategic importance of AI-powered design and simulation. Nvidia’s $2 Billion Synopsys Bet Signals AI’s Next Frontier
• Neutral Sentiment: Analyst sentiment remains favorable: Rosenblatt reaffirmed a Buy rating and set a $575 price target. However, SNPS trades at a high earnings multiple, leaving the shares sensitive to guidance, execution and valuation concerns. Rosenblatt Reiterates Buy Rating on Synopsys
• Negative Sentiment: The stock declined even after the earnings beat and guidance increase. The reaction indicates that strong results may already have been priced in, while full-year revenue guidance was broadly aligned with expectations and fourth-quarter revenue guidance of $2.53-$2.58 billion did not clearly exceed consensus. Synopsys slides even as it boosts full-year guidance

Wall Street Analyst Weigh In

SNPS has been the subject of several research reports. Needham & Company LLC reiterated a “buy” rating and set a $580.00 price target on shares of Synopsys in a report on Thursday, May 28th. Piper Sandler raised shares of Synopsys from a “neutral” rating to an “overweight” rating and raised their price objective for the company from $450.00 to $550.00 in a research report on Tuesday, June 23rd. Morgan Stanley reduced their target price on shares of Synopsys from $525.00 to $500.00 and set an “equal weight” rating for the company in a research note on Wednesday, August 19th. Weiss Ratings restated a “hold (c-)” rating on shares of Synopsys in a research note on Monday, June 8th. Finally, Robert W. Baird set a $558.00 price target on shares of Synopsys in a report on Thursday, May 28th. Eleven equities research analysts have rated the stock with a Buy rating, six have given a Hold rating and one has issued a Sell rating to the stock. According to data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average price target of $563.59.

Synopsys Trading Up 0.3%

NASDAQ:SNPS opened at $410.00 on Thursday. The company’s 50 day moving average is $416.71 and its 200-day moving average is $439.84. The company has a quick ratio of 1.32, a current ratio of 1.43 and a debt-to-equity ratio of 0.33. Synopsys, Inc. has a 12 month low of $366.00 and a 12 month high of $615.79. The firm has a market cap of $78.51 billion, a price-to-earnings ratio of 94.91, a P/E/G ratio of 2.40 and a beta of 1.23.

Synopsys (NASDAQ:SNPS) last posted its quarterly earnings data on Wednesday, August 26th. The semiconductor company reported $3.91 earnings per share (EPS) for the quarter, topping the consensus estimate of $3.67 by $0.24. The business had revenue of $2.48 billion during the quarter, compared to the consensus estimate of $2.44 billion. Synopsys had a net margin of 8.91% and a return on equity of 5.83%. Synopsys’s quarterly revenue was up 42.4% compared to the same quarter last year. During the same period in the prior year, the firm earned $3.39 EPS. Synopsys has set its Q4 2026 guidance at 4.100-4.160 EPS and its FY 2026 guidance at 15.040-15.100 EPS. Equities analysts anticipate that Synopsys, Inc. will post 10.64 EPS for the current year.

Insider Activity

In other news, CEO Sassine Ghazi sold 14,603 shares of the firm’s stock in a transaction dated Monday, June 15th. The stock was sold at an average price of $458.96, for a total value of $6,702,192.88. Following the sale, the chief executive officer directly owned 75,020 shares of the company’s stock, valued at approximately $34,431,179.20. This trade represents a 16.29% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CFO Shelagh Glaser sold 3,394 shares of Synopsys stock in a transaction dated Friday, June 12th. The stock was sold at an average price of $450.02, for a total value of $1,527,367.88. Following the completion of the transaction, the chief financial officer owned 14,358 shares in the company, valued at $6,461,387.16. The trade was a 19.12% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Company insiders own 0.56% of the company’s stock.

Synopsys Profile

Synopsys, Inc is a leading provider of electronic design automation (EDA) software and semiconductor intellectual property (IP) used to design, verify and manufacture integrated circuits and complex systems-on-chip (SoCs). Its product portfolio spans tools and technologies for front?end design and synthesis, simulation and verification, physical implementation and signoff, and design-for-manufacturability, enabling chip designers to move from architecture through tape?out.

In addition to core EDA offerings, Synopsys supplies a broad set of semiconductor IP building blocks — such as interface, memory and analog/mixed-signal cores — that customers integrate into SoCs to accelerate development.