Citigroup has initiated coverage on Synopsys Inc (SNPS) with a Buy rating. This marks the firm’s first assessment of the company, reflecting its analysis of Synopsys's business, industry dynamics, and growth prospects.
Currently trading at $404.63, Synopsys operates in the technology sector, providing electronic design automation (EDA) software that engineers use to design and test integrated circuits (ICs). Headquartered in Sunnyvale, California, the company employs 20,000 full-time staff and boasts a market capitalization of $71.8 billion. As of November 20, 2025, Synopsys reported a trailing twelve months (TTM) price-to-earnings ratio of 35.92 and an earnings per share (EPS) of 12.74.
Analyst ratings, such as this new Buy designation from Citigroup, offer insights based on professional research and financial modeling. However, while valuable, they are based on assumptions that may not always hold true. Investors should consider a range of factors, including company fundamentals, competitive positioning, and industry trends, before making decisions.
It's also important to note that analyst ratings can evolve as new information emerges. As of November 1, 2025, the consensus among analysts for Synopsys stands at Buy, with 6 Strong Buy, 16 Buy, 5 Hold, and 2 Sell ratings among a total of 29 analysts.
Upcoming earnings reports are scheduled for February 24, 2026, and May 26, 2026, with EPS estimates of $3.33 and $3.26, respectively. This update provides insight into how analysts view Synopsys amidst its recent earnings performance, including a Q3 2025 EPS of $3.39, which fell short of estimates by 10.9%.