The stock price of Synopsys, Inc. (NASDAQ: SNPS) has dropped by -1.67 compared to previous close of 538.32. Despite this, the company has seen a gain of 4.58% in its stock price over the last five trading days. Barrons reported 2023-11-15 that The new software results from a “strategic collaboration” with Microsoft, the company said.
Is It Worth Investing in Synopsys, Inc. (NASDAQ: SNPS) Right Now?
Synopsys, Inc. (NASDAQ: SNPS) has a higher price-to-earnings ratio of 79.35x compared to its average ratio, and the 36-month beta value for SNPS is at 1.10. Analysts have varying views on the stock, with 13 analysts rating it as a “buy,” 1 rating it as “overweight,” 1 as “hold,” and 0 as “sell.”
The average price suggested by analysts for SNPS is $517.09, which is -$12.23 below the current market price. The public float for SNPS is 151.16M, and currently, shorts hold a 1.07% of that float. The average trading volume for SNPS on November 16, 2023 was 785.79K shares.
SNPS’s Market Performance
SNPS’s stock has seen a 4.58% increase for the week, with a 7.57% rise in the past month and a 24.81% gain in the past quarter. The volatility ratio for the week is 2.43%, and the volatility levels for the past 30 days are at 2.28% for Synopsys, Inc.. The simple moving average for the past 20 days is 9.25% for SNPS’s stock, with a 25.49% simple moving average for the past 200 days.
Analysts’ Opinion of SNPS
Many brokerage firms have already submitted their reports for SNPS stocks, with Morgan Stanley repeating the rating for SNPS by listing it as a “Overweight.” The predicted price for SNPS in the upcoming period, according to Morgan Stanley is $600 based on the research report published on November 10, 2023 of the current year 2023.
SNPS Trading at 11.95% from the 50-Day Moving Average
After a stumble in the market that brought SNPS to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -1.76% of loss for the given period.
Volatility was left at 2.28%, however, over the last 30 days, the volatility rate increased by 2.43%, as shares surge +8.97% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading +13.66% upper at present.
During the last 5 trading sessions, SNPS rose by +4.58%, which changed the moving average for the period of 200-days by +49.63% in comparison to the 20-day moving average, which settled at $486.68. In addition, Synopsys, Inc. saw 65.78% in overturn over a single year, with a tendency to cut further gains.
Insider Trading
Reports are indicating that there were more than several insider trading activities at SNPS starting from Kankanwadi Sudhindra, who sale 7,355 shares at the price of $491.53 back on Oct 10. After this action, Kankanwadi Sudhindra now owns 17,029 shares of Synopsys, Inc., valued at $3,615,202 using the latest closing price.
Kankanwadi Sudhindra, the Chief Accounting Officer of Synopsys, Inc., sale 5,000 shares at $476.12 during a trade that took place back on Oct 09, which means that Kankanwadi Sudhindra is holding 17,029 shares at $2,380,606 based on the most recent closing price.
Stock Fundamentals for SNPS
Current profitability levels for the company are sitting at:
- +23.53 for the present operating margin
- +75.84 for the gross margin
The net margin for Synopsys, Inc. stands at +19.42. The total capital return value is set at 19.59, while invested capital returns managed to touch 16.51. Equity return is now at value 17.89, with 10.74 for asset returns.
Based on Synopsys, Inc. (SNPS), the company’s capital structure generated 11.90 points at debt to equity in total, while total debt to capital is 10.63. Total debt to assets is 6.97, with long-term debt to equity ratio resting at 10.92. Finally, the long-term debt to capital ratio is 9.76.
When we switch over and look at the enterprise to sales, we see a ratio of 14.64, with the company’s debt to enterprise value settled at 0.01. The receivables turnover for the company is 7.43 and the total asset turnover is 0.56. The liquidity ratio also appears to be rather interesting for investors as it stands at 1.09.
Conclusion
In conclusion, Synopsys, Inc. (SNPS) has had a better performance lately. Opinion on the stock among analysts is bullish, with some giving it a “buy” rating and others a “hold”. It is worth mentioning that the stock is currently trading in close proximity to its 50-day moving average and its 52-week high.
