SYNOPSYS INC (1SNPS.MI) Stock Fundamental Analysis
Europe - BIT:1SNPS - US8716071076 - Common Stock
385.1 EUR
-16.8 (-4.18%)
Taking everything into account, 1SNPS scores 4 out of 10 in our fundamental rating. 1SNPS was compared to 103 industry peers in the Software industry. 1SNPS scores excellent on profitability, but there are concerns on its financial health. While showing a medium growth rate, 1SNPS is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
1SNPS had positive earnings in the past year.
In the past year 1SNPS had a positive cash flow from operations.
Each year in the past 5 years 1SNPS has been profitable.
1SNPS had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
1SNPS's Return On Assets of 4.14% is in line compared to the rest of the industry. 1SNPS outperforms 54.95% of its industry peers.
Looking at the Return On Equity, with a value of 7.23%, 1SNPS is in line with its industry, outperforming 52.25% of the companies in the same industry.
The Return On Invested Capital of 1SNPS (1.85%) is comparable to the rest of the industry.
Measured over the past 3 years, the Average Return On Invested Capital for 1SNPS is in line with the industry average of 12.76%.
The 3 year average ROIC (12.13%) for 1SNPS is well above the current ROIC(1.85%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.14% | ||
| ROE | 7.23% | ||
| ROIC | 1.85% |
ROA(3y)13.22%
ROA(5y)11.32%
ROE(3y)21.01%
ROE(5y)18.18%
ROIC(3y)12.13%
ROIC(5y)10.7%
1.3 Margins
1SNPS's Profit Margin of 31.04% is amongst the best of the industry. 1SNPS outperforms 90.99% of its industry peers.
1SNPS's Profit Margin has improved in the last couple of years.
With a decent Operating Margin value of 17.16%, 1SNPS is doing good in the industry, outperforming 72.07% of the companies in the same industry.
1SNPS's Operating Margin has improved in the last couple of years.
The Gross Margin of 1SNPS (79.12%) is better than 67.57% of its industry peers.
1SNPS's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 17.16% | ||
| PM (TTM) | 31.04% | ||
| GM | 79.12% |
OM growth 3Y6.59%
OM growth 5Y6.25%
PM growth 3Y27.03%
PM growth 5Y18.45%
GM growth 3Y0.07%
GM growth 5Y0.53%
2. Health
2.1 Basic Checks
1SNPS has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for 1SNPS has been increased compared to 1 year ago.
The number of shares outstanding for 1SNPS has been increased compared to 5 years ago.
1SNPS has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.97 indicates that 1SNPS is not a great score, but indicates only limited risk for bankruptcy at the moment.
1SNPS has a Altman-Z score (2.97) which is comparable to the rest of the industry.
A Debt/Equity ratio of 0.52 indicates that 1SNPS is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.52, 1SNPS is not doing good in the industry: 64.86% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.52 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.97 |
ROIC/WACC0.17
WACC11.03%
2.3 Liquidity
1SNPS has a Current Ratio of 1.62. This is a normal value and indicates that 1SNPS is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.62, 1SNPS is in the better half of the industry, outperforming 61.26% of the companies in the same industry.
1SNPS has a Quick Ratio of 1.51. This is a normal value and indicates that 1SNPS is financially healthy and should not expect problems in meeting its short term obligations.
1SNPS's Quick ratio of 1.51 is fine compared to the rest of the industry. 1SNPS outperforms 61.26% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.62 | ||
| Quick Ratio | 1.51 |
3. Growth
3.1 Past
1SNPS shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 2.51%.
Measured over the past years, 1SNPS shows a very strong growth in Earnings Per Share. The EPS has been growing by 23.99% on average per year.
Looking at the last year, 1SNPS shows a small growth in Revenue. The Revenue has grown by 8.00% in the last year.
1SNPS shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 12.76% yearly.
EPS 1Y (TTM)2.51%
EPS 3Y25.03%
EPS 5Y23.99%
EPS Q2Q%-1.17%
Revenue 1Y (TTM)8%
Revenue growth 3Y13.38%
Revenue growth 5Y12.76%
Sales Q2Q%14.03%
3.2 Future
1SNPS is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 12.59% yearly.
Based on estimates for the next years, 1SNPS will show a quite strong growth in Revenue. The Revenue will grow by 16.71% on average per year.
EPS Next Y-2.19%
EPS Next 2Y3.42%
EPS Next 3Y9.52%
EPS Next 5Y12.59%
Revenue Next Year14.79%
Revenue Next 2Y25.58%
Revenue Next 3Y20.4%
Revenue Next 5Y16.71%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
1SNPS is valuated quite expensively with a Price/Earnings ratio of 33.14.
1SNPS's Price/Earnings ratio is a bit cheaper when compared to the industry. 1SNPS is cheaper than 69.37% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.03, 1SNPS is valued a bit more expensive.
With a Price/Forward Earnings ratio of 31.22, 1SNPS can be considered very expensive at the moment.
1SNPS's Price/Forward Earnings is on the same level as the industry average.
1SNPS is valuated rather expensively when we compare the Price/Forward Earnings ratio to 22.27, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.14 | ||
| Fwd PE | 31.22 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as 1SNPS.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 66.23 |
4.3 Compensation for Growth
The decent profitability rating of 1SNPS may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.38
EPS Next 2Y3.42%
EPS Next 3Y9.52%
5. Dividend
5.1 Amount
1SNPS does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
BIT:1SNPS (10/14/2025, 7:00:00 PM)
385.1
-16.8 (-4.18%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners80.76%
Inst Owner ChangeN/A
Ins Owners0.42%
Ins Owner ChangeN/A
Market Cap71.53B
Revenue(TTM)6.44B
Net Income(TTM)2.00B
Analysts79.29
Price TargetN/A
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-2.32%
Min EPS beat(2)-10.9%
Max EPS beat(2)6.25%
EPS beat(4)3
Avg EPS beat(4)0.22%
Min EPS beat(4)-10.9%
Max EPS beat(4)6.25%
EPS beat(8)6
Avg EPS beat(8)0.89%
EPS beat(12)10
Avg EPS beat(12)1.29%
EPS beat(16)13
Avg EPS beat(16)1.35%
Revenue beat(2)0
Avg Revenue beat(2)-2.57%
Min Revenue beat(2)-3.51%
Max Revenue beat(2)-1.64%
Revenue beat(4)0
Avg Revenue beat(4)-2.36%
Min Revenue beat(4)-3.51%
Max Revenue beat(4)-1.62%
Revenue beat(8)0
Avg Revenue beat(8)-4.24%
Revenue beat(12)0
Avg Revenue beat(12)-8.61%
Revenue beat(16)0
Avg Revenue beat(16)-6.71%
PT rev (1m)N/A
PT rev (3m)N/A
EPS NQ rev (1m)-25.72%
EPS NQ rev (3m)-39.34%
EPS NY rev (1m)-3.87%
EPS NY rev (3m)-13.9%
Revenue NQ rev (1m)-1.12%
Revenue NQ rev (3m)15.45%
Revenue NY rev (1m)-0.39%
Revenue NY rev (3m)4.22%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 33.14 | ||
| Fwd PE | 31.22 | ||
| P/S | 12.91 | ||
| P/FCF | N/A | ||
| P/OCF | 57.62 | ||
| P/B | 3.01 | ||
| P/tB | N/A | ||
| EV/EBITDA | 66.23 |
EPS(TTM)11.62
EY3.02%
EPS(NY)12.33
Fwd EY3.2%
FCF(TTM)-71.3
FCFYN/A
OCF(TTM)6.68
OCFY1.74%
SpS29.84
BVpS128.03
TBVpS-57.54
PEG (NY)N/A
PEG (5Y)1.38
Graham Number182.96
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.14% | ||
| ROE | 7.23% | ||
| ROCE | 2.47% | ||
| ROIC | 1.85% | ||
| ROICexc | 1.96% | ||
| ROICexgc | 38.23% | ||
| OM | 17.16% | ||
| PM (TTM) | 31.04% | ||
| GM | 79.12% | ||
| FCFM | N/A |
ROA(3y)13.22%
ROA(5y)11.32%
ROE(3y)21.01%
ROE(5y)18.18%
ROIC(3y)12.13%
ROIC(5y)10.7%
ROICexc(3y)16.79%
ROICexc(5y)14.53%
ROICexgc(3y)71.82%
ROICexgc(5y)65.01%
ROCE(3y)16.17%
ROCE(5y)14.27%
ROICexgc growth 3Y-16.41%
ROICexgc growth 5Y-15.59%
ROICexc growth 3Y9.63%
ROICexc growth 5Y8.74%
OM growth 3Y6.59%
OM growth 5Y6.25%
PM growth 3Y27.03%
PM growth 5Y18.45%
GM growth 3Y0.07%
GM growth 5Y0.53%
F-Score2
Asset Turnover0.13
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.52 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 10.01 | ||
| Cap/Depr | 5156.15% | ||
| Cap/Sales | 261.38% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 100.78% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.62 | ||
| Quick Ratio | 1.51 | ||
| Altman-Z | 2.97 |
F-Score2
WACC11.03%
ROIC/WACC0.17
Cap/Depr(3y)179.61%
Cap/Depr(5y)180.51%
Cap/Sales(3y)8.65%
Cap/Sales(5y)9%
Profit Quality(3y)89.35%
Profit Quality(5y)101.69%
High Growth Momentum
Growth
EPS 1Y (TTM)2.51%
EPS 3Y25.03%
EPS 5Y23.99%
EPS Q2Q%-1.17%
EPS Next Y-2.19%
EPS Next 2Y3.42%
EPS Next 3Y9.52%
EPS Next 5Y12.59%
Revenue 1Y (TTM)8%
Revenue growth 3Y13.38%
Revenue growth 5Y12.76%
Sales Q2Q%14.03%
Revenue Next Year14.79%
Revenue Next 2Y25.58%
Revenue Next 3Y20.4%
Revenue Next 5Y16.71%
EBIT growth 1Y-24.76%
EBIT growth 3Y20.85%
EBIT growth 5Y19.81%
EBIT Next Year17.77%
EBIT Next 3Y25.97%
EBIT Next 5Y24.99%
FCF growth 1Y-1098.34%
FCF growth 3Y0.78%
FCF growth 5Y14.95%
OCF growth 1Y-18.58%
OCF growth 3Y-1.95%
OCF growth 5Y11.94%
SYNOPSYS INC / 1SNPS.MI FAQ
What is the fundamental rating for 1SNPS stock?
ChartMill assigns a fundamental rating of 4 / 10 to 1SNPS.MI.
What is the valuation status of SYNOPSYS INC (1SNPS.MI) stock?
ChartMill assigns a valuation rating of 2 / 10 to SYNOPSYS INC (1SNPS.MI). This can be considered as Overvalued.
Can you provide the profitability details for SYNOPSYS INC?
SYNOPSYS INC (1SNPS.MI) has a profitability rating of 7 / 10.
What are the PE and PB ratios of SYNOPSYS INC (1SNPS.MI) stock?
The Price/Earnings (PE) ratio for SYNOPSYS INC (1SNPS.MI) is 33.14 and the Price/Book (PB) ratio is 3.01.