Gold Just Hit Another Record. This Junior Could Be Next.

This copper junior was the smallest company invited to a top global mining conference. With nearly 1B pounds CuEq and 50,000m of funded drilling, this story won't stay quiet for long.

Synopsys Hits Record Backlog In Q4, Analysts Elevate Price Targets Citing Fundamental Strength

Nabaparna Bhattacharya
November 30, 2023

Needham analyst Charles Shi reiterated a Buy rating on Synopsys, Inc (NASDAQ:SNPS), raising the price target to $660 from $500.

Synopsys recently posted street-beating performance in Q4, where quarterly revenue was $1.599 billion, up approximately 25% year over year.

Synopsys provided an FY24 outlook that stipulates 13% revenue growth and ~200bps of operating margin expansion.

The analyst sees Synopsys, as the leading company in EDA and IP, in an enabling role for a new breed of semiconductor startups, particularly artificial intelligence (AI) startups, at the turn of the decade. 

Shi notes that the $8.6 billion backlog is a new record for SNPS, and the implied booking is likely the second highest in history. 

The strong backlog increase in the fourth quarter suggests that SNPS likely booked $3.1 billion over the past three months, the analyst writes.

While the stock's valuation is at the high end of its historical range, the analyst notes that the secular growth of semiconductors, the company's recurring business model with little exposure to cyclicality, and its industry-leading profitability justify a premium. 

Following Q4, the analyst raised the FY24 EPS estimate to $13.36 from $12.47. 

KeyBanc Capital Markets analyst Jason Celino reiterated the Overweight rating on Synopsys, raising the price target to $675 from $600.

The analyst applauds the company's impressive backlog figure, that grew 21% YoY, meaningfully above the analyst's previewed expectations of flat growth.

Synopsys announced that it is exploring strategic alternatives for Software Integrity (SIG). 

Per the analyst, investors will view this as a positive, but ultimately, it'll come down to what the company does with any potential proceeds.

The analyst raised FY24 EPS estimate to $13.36 from $12.65.

Stifel analyst Ruben Roy reiterated a Buy rating on Synopsys, raising the price target to $620 from $550.

SNPS is the market share leader in the EDA industry and is diversifying its revenue base into a broader set of software tools, the analyst notes.

Importantly, given the acceleration of design automation opportunities ahead, SNPS, following a strategic portfolio review, has decided to explore strategic alternatives for its SIG business segment (~8% of revenue). 

The analyst said he would view an outcome wherein the SIG business is divested or spun out as a meaningful positive, longer-term outcome for SNPS.

SNPS is taking a more pragmatic view on its China business, given strong growth in recent fiscal years and the ongoing macroeconomic downturn in the region. 

SNPS has not seen any changes to existing export restrictions on its technology, the analyst adds.

Read Next: Ford Rebounds With Bold EBIT Forecast Post-UAW Strike, Showcasing Ford+ Plan's Strength

Price Action: SNPS shares are trading lower by 2.31% to $539.70 on the last check Thursday.

Photo Via Company

Continue Reading...

Popular

America's only rare earth producer gets a boost from Apple and Pentagon agreements

MP Materials, which runs the , announced a new $500 million agreement with tech giant Apple on Tuesday to produce more of the powerful magnets used in iPhones as well as other high-tech products like electric vehicles.

Trump's 'Big, Beautiful Bill' Offers Seniors A $6,000 'Bonus' Tax Deduction: Here's How You Qualify For The Benefit

Trump's Big, Beautiful Bill offers a $6,000 senior bonus deduction from 2025-28. Couples can save $12,000. Retirees with incomes up to $75,000 benefit most.

Unveil the 365X Crypto Secret - Replay Disappearing Soon! - Ad

Only 12 hours left! Watch the replay of the "365x Return in 90 Days" crypto Workshop before it's gone. Discover Joel and Adam's 4-part system, real success stories, and how to start mirroring their trades. This is your last chance-don't miss out.

After Diddy's conviction, here's where his business ventures stand

LOS ANGELES (AP) — Sean “Diddy” Combs has been in his federal sex trafficking trial, but that doesn't mean the once-celebrated music mogul will see his business empire restored.

Meta, KKR, Lululemon And An Industrial Stock On CNBC's 'Final Trades'

Experts predict KKR, Lululemon, Meta Platforms, and Rockwell Automation to perform well.

China is Tightening Critical Metal Supply-Investors Wondering Who Will Step Up - Ad

This metal powers everything from munitions to batteries. But with China imposing export controls, the West is scrambling for supply. One tiny firm may control a key N. American site-and investors are watching closely.

Greenland has a message for the rest of the world: Come visit

NUUK, Greenland (AP) — has a message for the rest of the world: We’re waiting for you.

Trump Brokers Peace Deal Between DR Congo And Rwanda — Now Eyes Billions In US Investment

Trump brokers a peace deal between DR Congo and Rwanda, aiming to end conflict and unlock U.S. investment in critical African minerals.

This Tiny Tech Stock Could Be the Next Big Platform Play - Ad

One under-the-radar company is embedding intelligence into everyday glass-already powering Ferraris, aircraft, and city buses with adaptive surfaces and vision systems. It's not just a product. It's a platform.

What's in the latest version of Trump's big bill that passed the Senate

WASHINGTON (AP) — Republicans are getting closer to the finish line in getting their tax and spending cut bill through Congress with a final House vote possible on Wednesday.

Gold Just Hit Another Record. This Junior Could Be Next. - Ad

This copper junior was the smallest company invited to a top global mining conference. With nearly 1B pounds CuEq and 50,000m of funded drilling, this story won't stay quiet for long.

Senate Republicans are in a sprint on Trump's big bill after a weekend of setbacks

WASHINGTON (AP) — After a weekend of setbacks, the Senate will try to sprint ahead Monday on big bill of despite a series of challenges, including the sudden announcement from that he won't run for reelection after opposing the package over its Medicaid health care cuts.

Buffett Tells Trustee to Put 90% of Money in This One Stock? - Ad

In a surprising move, Warren Buffett (the world's greatest investor, whose firm returned more than 5,000,000% gains), has instructed his trustee to put 90% of his personal money into one stock investment. Buffett says regular folks should be in this stock, too. A CPA and member of the Global CFA Institute explains how to use this stock to optimize your holdings.

Boeing Rises 2.8% After Key Trading Signal

A significant trading signal occurred for Boeing stock, as it demonstrated a power inflow at $209.02, after which BA rose up to 2.8%.

Bitcoin Just Crossed $120,000 ... How High Will It Go? - Ad

Weiss Ratings Crypto Expert, Juan Villaverde believes that 2025 will be the biggest year in crypto history and there is a new coin that he believes could change Bitcoin and Ethereum from the "Big Two" to the "Big Three" this year.

Tesla Rival BYD Reports 2025's Best-Selling Month In June Amid Exports Surge

BYD's June sales hit 377,628 units, a 11% YoY growth, with 54.8% being EVs. BYD also saw a 234% increase in exports.

Diddy Jury Deadlocked On Racketeering Conspiracy Charge As Verdicts Reached On Sex Trafficking Counts — Jurors To Return Wednesday

Jurors in Sean "Diddy" Combs' trial reached verdicts on four charges related to sex trafficking but remain deadlocked on the racketeering conspiracy charge, with deliberations set to continue.

Leaked: Jobs' Final Apple Project Exposed - Ad

Bloomberg just leaked details of a secret project Steve Jobs set in motion before his death. After more than a decade under wraps, Apple is finally preparing to unleash this breakthrough - one that could reshape a $9 trillion industry overnight.

Lisa Murkowski Defends Alaska Carveouts As Elizabeth Warren, Bernie Sanders And Rand Paul Condemn Trump's 'Big Beautiful' Bill: 'Not Good Enough For The Rest Of Our Nation'

Senators across party lines are fiercely divided over Donald Trump's $3.3 trillion "Big Beautiful Bill," which narrowly passed the Senate and now heads to the House amid concerns over debt, tax cuts, and social program rollbacks.

Copper's Spiking - And This Junior Has the Grades to Match - Ad

Copper is climbing again - and this time, it looks tariff-proof. A $31M junior just posted nearly 1B lbs of copper equivalent. With insiders and institutions piling in, this could be the next breakout.

In a blow to Milei, a US judge orders Argentina to turn over its majority stake in state oil company

BUENOS AIRES, Argentina (AP) — The fate of Argentina’s state-run oil company was thrown into doubt Monday as a U.S. judge ordered the cash-strapped country to give up its 51% controlling stake in YPF in partial compensation for seizing the shares of former investors during its 2012 nationalization of the energy group.

$1,016/Day in Crypto - Witness the Proven Strategy Now - Ad

Last chance! The "365x Return in 90 Days" crypto Workshop replay disappears this [DAY]. Discover the simple, 92%-win-rate system that turned $250 into $91,457-no charts, no stress.

Inside The Trump Family's $620 Million Crypto Empire

Since retaking the White House, Donald Trump's reported net worth has remained broadly stable, around $6.5 billion on Election Day to roughly $6.4 billion today.

Most Bitcoin Holders Have No Idea This Exists - Ad

I call it "Bitcoin Skimming"... and it allows you to "skim" cash into your account thanks to 2025's surging Bitcoin market. You don't have to buy or sell Bitcoin. Not one single penny's worth. In my latest video briefing, I'll give you everything you need to "skim" your first payout -- and it won't cost you a penny.

California energy regulator recommends pause on plan to penalize excess oil profits

SACRAMENTO, Calif. (AP) — California should pause Gov. Gavin Newsom's plan to penalize oil companies if their profits climb too high, a top energy regulator said Friday while unveiling proposals aimed at addressing high gas prices.

Stunning Trump Policy Unlocks Upfront Cash Payouts - Ad

The U.S. has collected $15B from Trump's tariffs - and now, thanks to Title 15, you could claim your own $100-$1,000 instant upfront cash payouts. No stocks needed. Use your phone and this income technique to collect upfront payouts now.

Carnival's Wild New Private Resort Makes Waves With Huge Swim-Up Bar, Giant Sandcastle

Celebration Key features a mile-long beach, the world's largest swim-up bar, a 10-story sandcastle featuring two water slides and a massive man-made lagoon. 

Trump Says Israel Ready For 60 Day Ceasefire In Gaza, Hopes Hamas Takes The Deal Because It Won't 'Get Better'

Trump proposed 60-day ceasefire in Gaza, which Israel has agreed to. Qatar and Egypt will deliver the proposal to Hamas. Trump meets Netanyahu next week.

Revived Wartime Resource May Soon Power Everything from Bullets to Batteries - Ad

This overlooked metal isn't just for the battlefield anymore. It's part of the future energy grid, too. This could be a rare early-stage play in a market that's heating up fast.

Drone debris found in Ukraine indicates Russia is using new technology from Iran

Last week, Ukrainian drone hunters picking up the debris from Russia’s nightly assault on their cities found a weapon that stood out from the rest.

US Credit Card Debt Hits $1.18 Trillion As Americans Downplay What They Owe

American credit card debt has surged to an astronomical $1.18 trillion, with a significant number of individuals reportedly concealing their financial predicaments.

Copper's Rally Is Back. This $31M Junior Is Sitting on a Potential Fortune - Ad

A high-grade copper-gold discovery in Quebec just delivered extremely high grade intercepts. Valuation? Just $31M. With copper breaking out, the timing here could be perfect. Get the symbol here.

Trending Now

Information, charts or examples are for illustration and educational purposes only and not for individualized investment management This message contains commercial elements, such as advertising. We only send these offers to those who have opted in to our newsletter. Past performance is not indicative of future results. For these reasons we strongly suggest trading in a DEMO/Simulated account. The information provided by us is for educational and informational purposes only. We make no representations or warranties concerning the products, practices or procedures of any company or entity mentioned or recommended and have not determined if the statements and opinions of the advertiser are accurate, correct or truthful. If you use, act upon or make decisions in reliance on information contained or any external source linked within it, you do so at your own peril and agree to hold us, our officers, directors, shareholders, affiliates and agents without fault.

Copyright trendadvisor.net
Privacy Policy | Terms of Service