SYNOPSYS INC (SYP.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:SYP - US8716071076 - Common Stock
407.45 EUR
+1.85 (+0.46%)
Overall SYP gets a fundamental rating of 3 out of 10. We evaluated SYP against 105 industry peers in the Software industry. There are concerns on the financial health of SYP while its profitability can be described as average. SYP is valued expensive and it does not seem to be growing.
1. Profitability
1.1 Basic Checks
SYP had positive earnings in the past year.
SYP had a positive operating cash flow in the past year.
Of the past 5 years SYP 4 years were profitable.
Of the past 5 years SYP 4 years had a positive operating cash flow.
1.2 Ratios
SYP has a Return On Assets of 4.14%. This is comparable to the rest of the industry: SYP outperforms 50.48% of its industry peers.
SYP has a Return On Equity of 7.23%. This is comparable to the rest of the industry: SYP outperforms 47.62% of its industry peers.
SYP has a Return On Invested Capital (1.74%) which is in line with its industry peers.
The Average Return On Invested Capital over the past 3 years for SYP is in line with the industry average of 13.30%.
The 3 year average ROIC (11.39%) for SYP is well above the current ROIC(1.74%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.14% | ||
| ROE | 7.23% | ||
| ROIC | 1.74% |
ROA(3y)13.22%
ROA(5y)11.32%
ROE(3y)21.01%
ROE(5y)18.18%
ROIC(3y)11.39%
ROIC(5y)10.05%
1.3 Margins
With an excellent Profit Margin value of 31.04%, SYP belongs to the best of the industry, outperforming 91.43% of the companies in the same industry.
SYP's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 17.16%, SYP is in the better half of the industry, outperforming 68.57% of the companies in the same industry.
SYP's Operating Margin has improved in the last couple of years.
SYP's Gross Margin of 79.12% is fine compared to the rest of the industry. SYP outperforms 62.86% of its industry peers.
In the last couple of years the Gross Margin of SYP 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
SYP has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
SYP has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
An Altman-Z score of 3.20 indicates that SYP is not in any danger for bankruptcy at the moment.
SYP has a Altman-Z score of 3.20. This is comparable to the rest of the industry: SYP outperforms 53.33% of its industry peers.
SYP has a Debt/Equity ratio of 0.52. This is a neutral value indicating SYP is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.52, SYP is not doing good in the industry: 64.76% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.52 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 3.2 |
ROIC/WACC0.16
WACC10.99%
2.3 Liquidity
SYP has a Current Ratio of 1.62. This is a normal value and indicates that SYP 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, SYP is in line with its industry, outperforming 60.00% of the companies in the same industry.
A Quick Ratio of 1.51 indicates that SYP should not have too much problems paying its short term obligations.
The Quick ratio of SYP (1.51) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.62 | ||
| Quick Ratio | 1.51 |
3. Growth
3.1 Past
The earnings per share for SYP have decreased by -1.67% in the last year.
SYP shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 18.54% yearly.
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
The Earnings Per Share is expected to grow by 15.84% on average over the next years. This is quite good.
SYP is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 15.94% yearly.
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
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 36.84, SYP can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Earnings ratio of SYP is on the same level as its industry peers.
Compared to an average S&P500 Price/Earnings ratio of 26.51, SYP is valued a bit more expensive.
SYP is valuated quite expensively with a Price/Forward Earnings ratio of 32.64.
SYP's Price/Forward Earnings is on the same level as the industry average.
SYP is valuated rather expensively when we compare the Price/Forward Earnings ratio to 23.13, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 36.84 | ||
| Fwd PE | 32.64 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of SYP indicates a slightly more expensive valuation: SYP is more expensive than 64.76% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 71.94 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of SYP may justify a higher PE ratio.
A more expensive valuation may be justified as SYP's earnings are expected to grow with 16.32% in the coming years.
PEG (NY)2.86
PEG (5Y)1.99
EPS Next 2Y15.44%
EPS Next 3Y16.32%
5. Dividend
5.1 Amount
No dividends for SYP!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
FRA:SYP (12/30/2025, 7:00:00 PM)
407.45
+1.85 (+0.46%)
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 Cap77.65B
Revenue(TTM)N/A
Net Income(TTM)2.00B
Analysts79.35
Price Target486.13 (19.31%)
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)-2.19%
Revenue beat(12)0
Avg Revenue beat(12)-5.73%
Revenue beat(16)0
Avg Revenue beat(16)-4.55%
PT rev (1m)-1.85%
PT rev (3m)0.43%
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 | 36.84 | ||
| Fwd PE | 32.64 | ||
| P/S | 14.18 | ||
| P/FCF | N/A | ||
| P/OCF | 63.28 | ||
| P/B | 3.3 | ||
| P/tB | N/A | ||
| EV/EBITDA | 71.94 |
EPS(TTM)11.06
EY2.71%
EPS(NY)12.48
Fwd EY3.06%
FCF(TTM)-68.68
FCFYN/A
OCF(TTM)6.44
OCFY1.58%
SpS28.74
BVpS123.32
TBVpS-55.43
PEG (NY)2.86
PEG (5Y)1.99
Graham Number175.18
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.14% | ||
| ROE | 7.23% | ||
| ROCE | 2.47% | ||
| ROIC | 1.74% | ||
| ROICexc | 1.84% | ||
| ROICexgc | 35.88% | ||
| 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)11.39%
ROIC(5y)10.05%
ROICexc(3y)15.76%
ROICexc(5y)13.64%
ROICexgc(3y)67.42%
ROICexgc(5y)61.02%
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 | 3.2 |
F-Score2
WACC10.99%
ROIC/WACC0.16
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 / SYP.DE FAQ
What is the ChartMill fundamental rating of SYNOPSYS INC (SYP.DE) stock?
ChartMill assigns a fundamental rating of 3 / 10 to SYP.DE.
What is the valuation status for SYP stock?
ChartMill assigns a valuation rating of 1 / 10 to SYNOPSYS INC (SYP.DE). This can be considered as Overvalued.
How profitable is SYNOPSYS INC (SYP.DE) stock?
SYNOPSYS INC (SYP.DE) has a profitability rating of 6 / 10.
Can you provide the PE and PB ratios for SYP stock?
The Price/Earnings (PE) ratio for SYNOPSYS INC (SYP.DE) is 36.84 and the Price/Book (PB) ratio is 3.3.
How financially healthy is SYNOPSYS INC?
The financial health rating of SYNOPSYS INC (SYP.DE) is 3 / 10.