Synopsys (SNPS) Stock News

Synopsys is looking to work with Chinese AI labs to speed up chip design.

Synopsys announced a $1 billion accelerated share repurchase agreement with JPMorgan Chase. The company will receive an initial delivery of about 1.735 million shares, with final settlement based on the daily volume-weighted average price during the period, expected by January 5, 2027.

Synopsys targets mid-teens revenue growth, mid-20% EPS growth through FY30.

Synopsys issued FY2027 revenue guidance of $11.10-$11.20 billion, above the $10.81 billion consensus, and non-GAAP EPS guidance of $19.04-$19.12 versus a $17.81 view. The company also plans to repurchase about $1 billion in shares over the coming months.

Synopsys and OpenAI signed a multi-year deal to develop GPT-Synopsys, a specialized AI model for semiconductor design. The model will directly use Synopsys EDA tools for tasks like optimization and verification. Revenue sharing and joint go-to-market are included. Early customer engagements are underway.

Synopsys announced AgentEngineer solutions, a portfolio of domain-specific long-horizon agents for silicon-to-systems workflows, built on the Autopilot Platform. Claims include up to 50x faster verification closure, 20% higher coverage, and 30% productivity boost. More than 50 engagements are underway, with general availability planned for end of 2026. Customer endorsements from AheadComputing, Fujitsu, Intel, MediaTek, NVIDIA, Samsung, and TSMC.

HSBC upgraded Synopsys to Buy from Hold, raising the price target to $700 from $490. The upgrade is based on a shift to a royalty-based licensing model and AI integration, which analysts project will drive 28% annualized earnings growth through fiscal 2028.

HSBC raised its ratings on Synopsys and BP to Buy from Hold.

BNP Paribas upgraded Synopsys (SNPS) to Neutral from Underperform.

Synopsys and TSMC announced new collaborations including A14 design enablement, AI-assisted workflows, CoWoS support for multi-die designs, and unified multiphysics signoff to accelerate AI, HPC, and advanced semiconductor systems.