Synopsys, Inc. (SNPS)

Synopsys's stock price experienced a 36% drop on September 10, 2025, following the company's Q3 2025 financial results due to underperformance in its IP business. On December 10, 2025, Synopsys reported its quarterly earnings data with $2.90 earnings per share (EPS), exceeding the consensus estimate of $2.79. Several analyst rating and price target adjustments occurred between December 2025 and January 2026. On January 13, 2026, Piper Sandler downgraded Synopsys from "Overweight" to "Neutral," citing concerns over challenges in the semiconductor sector. As of January 12, 2026, SNPS stock was up 17.32% over the past 30 days and 9.44% over the past 12 months.

Information directly detailing the demand seasonality for Synopsys's products and services is not explicitly provided. The company's business is intrinsically linked to technology innovation cycles, suggesting a continuous and potentially growing demand driven by technological evolution rather than strict seasonal patterns. Stock seasonality tools indicate that Synopsys has historically shown recurring monthly trends in its stock performance.

Synopsys, Inc. is a multinational company specializing in electronic design automation (EDA) and silicon intellectual property (IP), headquartered in Sunnyvale, California. It operates within the technology sector, primarily serving the semiconductor and electronics industries, and is a leading provider of tools and services for the design and verification of silicon chips. Synopsys's products and services encompass EDA software for IC design and testing, AI-driven chip design solutions, and a range of semiconductor IP solutions, which are crucial for designing chips from concept to fabrication and are utilized across various industries.

Synopsys has a global presence with offices across North America, Asia, and Europe, with its headquarters in Sunnyvale, California. In the United States, the company has a significant concentration of employees in the San Francisco Bay Area, with additional clusters in Austin, Boston, Portland, and Hillsboro. India serves as a critical hub, particularly in Bengaluru, Noida, and Hyderabad, employing over 7,000 people. Synopsys Armenia is another large site outside the U.S. The United States was its largest market, contributing 44.71% of total revenue in fiscal year 2024, with other significant markets including China, Korea, and Europe.

Synopsys has been actively involved in discussions around software supply chain security. A report released in May 2024 indicated that a majority of global organizations experienced a software supply chain attack over the past year, positioning Synopsys as a thought leader in software integrity and security. The company's strategic focus on leveraging mega-trends like AI, software-defined systems, and silicon proliferation, and its partnerships, suggest a proactive approach to maintaining its leadership and reputation in the evolving technology landscape.

Synopsys, Inc. is predominantly owned by institutional shareholders, who hold approximately 87.73% to 91.81% of the company's shares. Insiders own a smaller portion, around 0.77% to 0.62%, while retail investors hold about 11.50%. Major institutional owners of Synopsys include Vanguard Group Inc., BlackRock, Inc., and State Street Corp. As of September 30, 2025, Vanguard Group Inc. held the largest shareholding position with over 18.18 million shares, representing 11.25% of total outstanding shares.