SYNOPSYS INC (1SNPS.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:1SNPS - US8716071076 - Common Stock
439.7 EUR
+42.25 (+10.63%)
Taking everything into account, 1SNPS scores 4 out of 10 in our fundamental rating. 1SNPS was compared to 115 industry peers in the Software industry. 1SNPS has an average financial health and profitability rating. 1SNPS has a expensive valuation and it also scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year 1SNPS was profitable.
In the past year 1SNPS had a positive cash flow from operations.
1SNPS had positive earnings in 4 of the past 5 years.
1SNPS had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 4.14%, 1SNPS is in line with its industry, outperforming 53.45% of the companies in the same industry.
Looking at the Return On Equity, with a value of 7.23%, 1SNPS is in line with its industry, outperforming 50.86% of the companies in the same industry.
The Return On Invested Capital of 1SNPS (1.85%) is comparable to the rest of the industry.
1SNPS had an Average Return On Invested Capital over the past 3 years of 12.13%. This is in line with the industry average of 12.49%.
The last Return On Invested Capital (1.85%) for 1SNPS is well below the 3 year average (12.13%), which needs to be investigated, but indicates that 1SNPS had better years and this may not be a problem.
| 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 has a Profit Margin of 31.04%. This is amongst the best in the industry. 1SNPS outperforms 90.52% of its industry peers.
In the last couple of years the Profit Margin of 1SNPS has grown nicely.
1SNPS has a Operating Margin of 17.16%. This is in the better half of the industry: 1SNPS outperforms 70.69% of its industry peers.
In the last couple of years the Operating Margin of 1SNPS has grown nicely.
The Gross Margin of 1SNPS (79.12%) is better than 65.52% of its industry peers.
In the last couple of years the Gross Margin of 1SNPS has remained more or less at the same level.
| 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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so 1SNPS is still creating some value.
There is no outstanding debt for 1SNPS. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
An Altman-Z score of 3.10 indicates that 1SNPS is not in any danger for bankruptcy at the moment.
The Altman-Z score of 1SNPS (3.10) is comparable to the rest of the industry.
A Debt/Equity ratio of 0.52 indicates that 1SNPS is somewhat dependend on debt financing.
1SNPS's Debt to Equity ratio of 0.52 is on the low side compared to the rest of the industry. 1SNPS is outperformed by 62.07% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.52 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 3.1 |
ROIC/WACC0.17
WACC10.99%
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.
The Current ratio of 1SNPS (1.62) is better than 61.21% of its industry peers.
A Quick Ratio of 1.51 indicates that 1SNPS should not have too much problems paying its short term obligations.
1SNPS's Quick ratio of 1.51 is in line compared to the rest of the industry. 1SNPS outperforms 58.62% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.62 | ||
| Quick Ratio | 1.51 |
3. Growth
3.1 Past
The earnings per share for 1SNPS have decreased by -1.67% in the last year.
Measured over the past years, 1SNPS shows a quite strong growth in Earnings Per Share. The EPS has been growing by 18.54% on average per year.
EPS 1Y (TTM)-1.67%
EPS 3Y13.39%
EPS 5Y18.54%
EPS Q2Q%-14.71%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%37.83%
3.2 Future
Based on estimates for the next years, 1SNPS will show a quite strong growth in Earnings Per Share. The EPS will grow by 15.84% on average per year.
The Revenue is expected to grow by 15.94% on average over the next years. This is quite good.
EPS Next Y12.9%
EPS Next 2Y15.44%
EPS Next 3Y16.32%
EPS Next 5Y15.84%
Revenue Next Year36.7%
Revenue Next 2Y23.08%
Revenue Next 3Y19.01%
Revenue Next 5Y15.94%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 39.90, which means the current valuation is very expensive for 1SNPS.
1SNPS's Price/Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Earnings ratio of 27.19, 1SNPS is valued a bit more expensive.
1SNPS is valuated quite expensively with a Price/Forward Earnings ratio of 35.34.
Compared to the rest of the industry, the Price/Forward Earnings ratio of 1SNPS is on the same level as its industry peers.
When comparing the Price/Forward Earnings ratio of 1SNPS to the average of the S&P500 Index (23.88), we can say 1SNPS is valued slightly more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 39.9 | ||
| Fwd PE | 35.34 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of 1SNPS indicates a slightly more expensive valuation: 1SNPS is more expensive than 64.66% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 69.39 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
1SNPS has a very decent profitability rating, which may justify a higher PE ratio.
1SNPS's earnings are expected to grow with 16.32% in the coming years. This may justify a more expensive valuation.
PEG (NY)3.09
PEG (5Y)2.15
EPS Next 2Y15.44%
EPS Next 3Y16.32%
5. Dividend
5.1 Amount
No dividends for 1SNPS!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
BIT:1SNPS (1/8/2026, 7:00:00 PM)
439.7
+42.25 (+10.63%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners96.34%
Inst Owner ChangeN/A
Ins Owners0.42%
Ins Owner ChangeN/A
Market Cap83.79B
Revenue(TTM)N/A
Net Income(TTM)2.00B
Analysts79.35
Price Target480.93 (9.38%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
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)5
Avg EPS beat(8)0.24%
EPS beat(12)9
Avg EPS beat(12)0.86%
EPS beat(16)12
Avg EPS beat(16)1.03%
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)-0.87%
PT rev (3m)N/A
EPS NQ rev (1m)0.03%
EPS NQ rev (3m)-25.69%
EPS NY rev (1m)0.03%
EPS NY rev (3m)-3.82%
Revenue NQ rev (1m)-0.09%
Revenue NQ rev (3m)-1.21%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.39%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 39.9 | ||
| Fwd PE | 35.34 | ||
| P/S | 15.35 | ||
| P/FCF | N/A | ||
| P/OCF | 68.51 | ||
| P/B | 3.58 | ||
| P/tB | N/A | ||
| EV/EBITDA | 69.39 |
EPS(TTM)11.02
EY2.51%
EPS(NY)12.44
Fwd EY2.83%
FCF(TTM)-68.46
FCFYN/A
OCF(TTM)6.42
OCFY1.46%
SpS28.65
BVpS122.94
TBVpS-55.25
PEG (NY)3.09
PEG (5Y)2.15
Graham Number174.59
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 | 3.1 |
F-Score2
WACC10.99%
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)-1.67%
EPS 3Y13.39%
EPS 5Y18.54%
EPS Q2Q%-14.71%
EPS Next Y12.9%
EPS Next 2Y15.44%
EPS Next 3Y16.32%
EPS Next 5Y15.84%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%37.83%
Revenue Next Year36.7%
Revenue Next 2Y23.08%
Revenue Next 3Y19.01%
Revenue Next 5Y15.94%
EBIT growth 1Y-24.76%
EBIT growth 3Y20.85%
EBIT growth 5Y19.81%
EBIT Next Year23.73%
EBIT Next 3Y31.33%
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 for 1SNPS stock?
ChartMill assigns a valuation rating of 1 / 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 6 / 10.
Can you provide the expected EPS growth for 1SNPS stock?
The Earnings per Share (EPS) of SYNOPSYS INC (1SNPS.MI) is expected to grow by 12.9% in the next year.